AYM Syntex Reports No Deviation in Rs 141.76 Crore Preferential Issue Fund Utilization

AYM Syntex Limited , a leading player in the manmade fibers industry, has submitted its monitoring agency report for the quarter ended September 30, 2025, regarding its preferential issue of Rs 141.76 crore. The report, prepared by Care Ratings Limited, the appointed monitoring agency, indicates no deviation from the stated objectives of the fund utilization.

Key Highlights

Total Issue Size: Rs 141.76 crore
Monitoring Period: Quarter ended September 30, 2025
Monitoring Agency: Care Ratings Limited

Fund Utilization

AYM Syntex has reported the following progress in fund utilization:

Objective	Amount Proposed (Rs Crore)	Amount Utilized (Rs Crore)	Unutilized Amount (Rs Crore)
Repayment of Debt	24.00	24.00	0.00
Reduction in Working Capital Borrowings	25.00	25.00	0.00
General Corporate Purposes	33.76	33.76	0.00
Capital Expenditure	59.00	54.57	4.43
Total	141.76	137.33	4.43

Capital Expenditure Progress

During the quarter ended September 30, 2025, AYM Syntex incurred capital expenditure totaling Rs 21.05 crore. The company has utilized Rs 54.57 crore out of the allocated Rs 59.00 crore for capital expenditure purposes.

Future Plans

AYM Syntex has outlined plans for capacity expansion of its IDY (Industrial Drawn Yarn) and BCF (Bulk Continuous Filament) capacities in FY26. The total cost of this expansion is estimated at Rs 100 crore, which will be funded through:

Rs 59 crore raised through the preferential issue
The balance through loans

The company expects the capacity expansion project to be completed within 1-1.5 years.

Unutilized Funds

The remaining unutilized funds of Rs 4.43 crore are currently parked in Cash Credit accounts maintained with various banks, including State Bank of India, Bank of Baroda, and Indian Bank.

Compliance and Transparency

The monitoring agency report confirms that all utilizations are in line with the disclosures made in the offer document. No material deviations or changes in the means of finance for the disclosed objects have been reported.

AYM Syntex's adherence to the fund utilization plan as outlined in its preferential issue document demonstrates the company's commitment to transparency and efficient capital allocation. The ongoing capital expenditure and capacity expansion plans suggest that the company is focusing on growth and strengthening its position in the manmade fibers market.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.16%	+3.13%	+0.19%	-14.67%	-22.95%	+457.81%

AYM Syntex Limited , a leading synthetic yarn manufacturer, has announced its financial results for the second quarter and half-year ended September 30, 2025, revealing a challenging period for the company. The results, approved by the Board of Directors on November 8, 2025, show a shift from profit to loss compared to the previous year.

Financial Performance

For the half-year ended September 30, 2025, AYM Syntex reported:

Metric	H1 FY2026	H1 FY2025	Change
Revenue from Operations	₹74,158.00 lakhs	₹75,301.00 lakhs	-1.52%
Loss Before Tax	₹(611.00) lakhs	₹959.00 lakhs (Profit)	Turned to Loss
Total Assets	₹107,729.00 lakhs	₹103,093.00 lakhs*	+4.50%

*As of March 31, 2025

The company's performance shows a decline, with revenue slightly decreasing and profitability turning negative compared to the same period last year.

Operational Highlights

The company's total expenses for the half-year stood at ₹74,381.00 lakhs.
Employee benefit expenses increased to ₹4,508.00 lakhs from ₹4,288.00 lakhs in the previous year.
Finance costs reduced to ₹2,839.00 lakhs from ₹3,277.00 lakhs, indicating some improvement in debt management.

Corporate Actions and Future Plans

AYM Syntex has been active in corporate actions and strategic planning:

Employee Stock Options: The company allotted 60,000 equity shares under AYMSOP 2021 and 22,000 equity shares under AYMSOP 2022, increasing its paid-up share capital and securities premium.
Preferential Share Issue: In FY 2024-2025, AYM Syntex raised ₹14,176.00 lakhs through a preferential issue of 77,67,828 equity shares at ₹182.50 per share. The proceeds are being utilized for debt repayment, working capital, capital expenditure, and general corporate purposes.
Merger Scheme: The Board has approved a merger scheme with Mandawewala Enterprises Limited. The company has received "no adverse observations" from BSE Limited and the National Stock Exchange of India Limited on the draft scheme. The merger application is currently being filed with the National Company Law Tribunal, Mumbai Bench.

Segment Information

AYM Syntex continues to operate solely in the "Synthetic Yarn" business segment, as per Indian Accounting Standard 108.

Outlook

While the company faces short-term challenges reflected in its financial performance, the strategic moves such as the proposed merger and capital raising initiatives suggest a focus on long-term growth and operational efficiency. The company's ability to navigate the current economic environment, manage costs, and successfully implement its merger plans will be crucial in the coming quarters.