Sihora Industries Limited has confirmed the utilization of its Initial Public Offer (IPO) proceeds up to September 30, 2026. The company reported minor deviations in the allocation of funds, primarily affecting capital expenditure for machinery and the reallocation of public issue-related expenses. These changes were approved by shareholders via a special resolution passed through postal ballot on August 17, 2026, following a proposal from the Audit Committee and Board of Directors on July 15, 2026.
IPO Proceeds Utilization Certified
Sihora Industries Limited has provided a certification regarding the utilization of funds raised through its Initial Public Offer (IPO). The audit firm, Lakhankiya & Dosi LLP, acting as the Statutory Auditor, has certified that the proceeds have been utilized as per the enclosed statements up to September 30, 2026. The company’s use of funds largely adhered to the original plan, with specific deviations being duly noted and approved.
Shareholder-Approved Deviations in Fund Allocation
The primary deviation involved a reallocation of ₹60.50 lakh from the original capital expenditure objective towards the acquisition of additional machinery. Specifically, the funds were used to purchase 4 Crochet Knitting Machines, 12 Coiling Machines, and 12 Stitching Machines to enhance integrated zipper manufacturing. Additionally, ₹3.23 lakh of unutilized Public Issue Related Expenses were diverted towards capital expenditure for new machinery.
These alterations to the initial object of the issue were formally proposed by the Audit Committee and Board of Directors on July 15, 2026. Subsequently, the shareholders of Sihora Industries Limited approved these deviations through a Special Resolution passed via postal ballot on August 17, 2026. This ensures transparency and compliance with corporate governance norms regarding the use of public funds.
Fund Utilization Details
The total funds raised through the IPO amounted to ₹1056.00 lakh. As of September 30, 2026, the utilized amount stands at ₹983.87 lakh, leaving an unutilized balance of ₹72.13 lakh. The utilized funds were primarily allocated to funding capital expenditure (₹137.10 lakh), repayment of borrowings (₹257.63 lakh), meeting working capital requirements (₹350.00 lakh), general corporate purposes (₹155.00 lakh), and public issue-related expenses (₹84.14 lakh).
Source: BSE
