Balrampur Chini Mills gets trading approval for preferential issue

Balrampur Chini Mills Limited has received trading approval from the National Stock Exchange of India Limited and BSE Limited for 93,16,771 equity shares allotted on a preferential basis to promoters and non-promoters. The shares, issued at a price of ₹483 per share, including a premium of ₹482 per share, will be listed and admitted to dealings on the exchanges starting July 1, 2026. The allotment, totaling ₹450 crores, was approved by shareholders in an Extraordinary General Meeting held on May 20, 2026.

The National Stock Exchange of India Limited issued reference number NSE/LIST/55999, while BSE Limited issued reference number LOD/PREF/JW/5/2026-2027. The shares bear distinctive numbers ranging from 260649654 to 269966424. The company must ensure compliance with Regulation 167 of SEBI (ICDR) Regulations and file the shareholding pattern in XBRL mode if the change in paid-up capital exceeds two percent.

Lock-in Details

A portion of the allotted shares is subject to a lock-in period ending December 31, 2026, while the remaining shares are locked in until December 31, 2027.

No. of Shares	Distinctive Numbers Range		Date upto which lock-in
	From	To
39,95,864	260649654	264645517	31-Dec-2027
53,20,907	264645518	269966424	31-Dec-2026
93,16,771	Total

Key Allotment Details

Promoters Vivek Saraogi and Sumedha Saraogi, along with Meenakshi Mercantiles Limited, subscribed to a significant portion, while non-promoter investors included Tata Small Cap Fund, IKIGAI Emerging Equity Fund, and schemes from ICICI Prudential Mutual Fund.

Sr. No.	Name of Proposed Allottees	Category	Maximum No. of Equity Shares	Proposed Investment Amount (₹)
1	Vivek Saraogi	Promoter	24,00,000	115,92,00,000
2	Sumedha Saraogi	Promoter	3,45,864	16,70,52,312
3	Meenakshi Mercantiles Limited	Promoter Group	12,50,000	60,37,50,000
4	TATA Small Cap Fund	Non-Promoter	20,70,393	99,99,99,819
5	IKIGAI Emerging Equity Fund	Non-Promoter	4,55,485	21,99,99,255
6	Alchemy Long Term Ventures Fund, Series 2	Non-Promoter	1,86,335	8,99,99,805
7	Alchemy Long Term Ventures Fund, Series 3	Non-Promoter	62,111	2,99,99,613
8	360 One Pipe Fund	Non-Promoter	18,21,946	87,99,99,918
9	ICICI Prudential Emerging Leaders Fund - Series II	Non-Promoter	1,03,519	4,99,99,677
10	ICICI Prudential Equity Opportunities Fund Series -II	Non-Promoter	3,10,559	14,99,99,997
11	ICICI Prudential Alpha Opportunities Fund	Non-Promoter	3,10,559	14,99,99,997
Total			93,16,771	450,00,00,393

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.12%	+4.77%	+16.43%	+57.05%	+1.91%	+83.00%

Balrampur Chini Mills Limited released its investor presentation for Q1FY26, detailing a revenue of ₹6,271 crore and an EBITDA of ₹741 crore for FY26. The company highlighted its strategic diversification into bioplastics with a Poly Lactic Acid (PLA) plant announced in February 2024, which is currently under implementation. The presentation, submitted to the exchanges on June 20, 2026, outlines the company's operational performance, financial metrics, and future outlook.

Operational and Financial Overview

The company operates ten sugar units with an aggregate cane crushing capacity of 80,000 TCD and five distillery units with a capacity of 1,050 KLPD. Its aggregate installed co-generation capacity stands at 288.47 MW, with a saleable capacity of 175.7 MW. The company reported a five-year average EBITDA of ₹689 crore. For FY26, the standalone financial numbers indicate a profit before tax of ₹523.69 crore and cash generated from operating activities of ₹599.47 crore.

Key Financial Metrics (FY26)

Metric	Value (₹ Crore)
Revenue	6,271
EBITDA	741
Profit Before Tax	523.69
Cash from Operations	599.47

Strategic Expansion into Bioplastics

Balrampur Chini Mills is establishing India’s first industrial bio-polymer plant for PLA production with a capacity of 80,000 TPA. This initiative aligns with the government's BioE3 Policy introduced in August 2024 to promote bio-manufacturing. The company views PLA as a strategic diversification to create a new ecosystem for the sugar industry and meet eco-friendly standards. The project is being funded by long-term debt, with borrowings for the PLA segment standing at ₹903.00 crore as of March 31, 2026.

Policy and Market Environment

The presentation noted several policy interventions, including the revision of the Fair and Remunerative Price (FRP) of sugarcane to ₹355 per quintal for the 2025-26 season and ₹365 per quintal for 2026-27. The State Advised Price (SAP) was increased by ₹30 per quintal to ₹400 per quintal for early variety sugarcane. The government imposed a ban on sugar exports on May 13, 2026, after initially announcing an export quota of 1.58 million tonnes for the 2025-26 season.

Dividend and Shareholder Returns

The company has a consistent track record of returning value to shareholders. In Q2FY26, it announced an interim dividend of ₹3.50 per equity share, resulting in an outflow of approximately ₹70.68 crore. Over the last decade up to March 2026, the company conducted six share buybacks worth ₹1,009.49 crore and a cumulative dividend payout of ₹655.20 crore.