Refex Industries Limited has submitted its Monitoring Agency Reports for the quarter ended June 30, 2026, detailing the utilization of funds from its preferential issues of equity shares and warrants. The reports, issued by CARE Ratings Limited, cover two distinct preferential issues and indicate the progress on fund deployment. Notably, the company’s Board of Directors has also approved a reallocation of ₹19.07 crore from earmarked capital expenditure to working capital requirements, subject to shareholder approval.
Monitoring Agency Reports Submitted for Preferential Issues
Refex Industries Limited has filed its Monitoring Agency Reports for the quarter ending June 30, 2026. These reports, prepared by CARE Ratings Limited, provide an overview of the utilization of funds raised through two significant preferential issues. The first report (Annexure-A) pertains to a preferential issue of 50,00,000 equity shares and 1,25,75,000 warrants, aggregating to ₹62.50 crores and ₹157.19 crores respectively, as per the EGM Notice dated March 27, 2024. The second report (Annexure-B) covers a preferential issue of 81,77,068 equity shares and 1,11,70,000 warrants, aggregating to ₹382.69 crores and ₹522.75 crores respectively, following the EGM Notice dated October 26, 2024.
Fund Reallocation Approved by Board
In a significant development, the Board of Directors has approved and recommended the reallocation of ₹19.07 crore. These funds were originally earmarked for capital expenditure but will now be directed towards working capital requirements. This proposed reallocation is contingent upon shareholder approval and aims to adjust fund allocation based on evolving business needs. Consequently, the allocation for capital expenditure is projected to reduce from ₹19.68 crore to ₹0.62 crore, while working capital allocation will increase from ₹96.00 crore to ₹115.06 crore.
Key Operational and Financial Updates
The reports also highlight various details regarding the utilization of proceeds. For the preferential issue detailed in Annexure-A, the total issue size was ₹220 crores. The company has fully utilized its working capital allocation of ₹96 crores, with ₹85.37 crores utilized as of the quarter-end. Capital expenditure saw an utilization of ₹0.62 crores out of the original ₹20 crores. Investment in subsidiaries was fully utilized (₹50 crores), and general corporate purposes saw an utilization of ₹48.70 crores out of ₹54 crores, with ₹5.30 crores unutilized.
For the preferential issue detailed in Annexure-B, the total issue size was originally envisaged at ₹927.81 crores, reduced to ₹905.44 crores due to undersubscription of equity shares and forfeiture of warrant subscription amounts. Working capital utilization stands at ₹276.08 crores out of ₹323.81 crores. Capital expenditure utilization was ₹3.48 crores out of ₹85.00 crores. Investment in subsidiaries was ₹104.48 crores out of ₹260.00 crores. Repayment of loans was revised to ₹36.63 crores from ₹59 crores, and general corporate purposes saw utilization of ₹89.21 crores out of ₹200.00 crores.
Other Relevant Information
The reports mention several other events, including the forfeiture of upfront subscription amounts for warrants totaling ₹130.69 crore, Income Tax Department search operations at the company’s premises in December 2025, and a penalty imposed by SEBI on the Promoter and CMD, Anil Jain, for communicating Unpublished Price Sensitive Information (UPSI). The Securities Appellate Tribunal granted a stay on the recovery of this penalty.
The reports are also accessible on the company’s investor relations website.
Source: BSE
