GK Energy Limited has filed its monitoring agency report for the quarter ended December 31, 2025, detailing the utilization of proceeds from its Rs.400.00 crore Initial Public Offering. The report, prepared by CARE Ratings Limited and reviewed by the company's Audit Committee and Board of Directors on February 13, 2026, shows substantial progress in fund deployment across designated objectives.

IPO Proceeds Utilization Summary

The company has utilized Rs.292.32 crore of the total Rs.400.00 crore raised through its IPO conducted from September 19, 2025 to September 23, 2025. The monitoring agency reported no deviation from the stated objects of the issue.

Object-wise Fund Deployment

The company allocated funds across three primary objectives as outlined in its offer document:

Long-term Working Capital Requirements: Rs.242.56 crore was utilized during the quarter for vendor payments related to raw material purchases, including solar modules, cables, and connectors. The total allocation for this objective stands at Rs.322.46 crore, with Rs.9.68 crore remaining unutilized.

General Corporate Purposes: The company deployed Rs.30.25 crore during the quarter, bringing total utilization to Rs.31.55 crore against the allocated Rs.46.48 crore. This included:

• Purchase and maintenance of office property: Rs.13.63 crore
• Salaries to directors: Rs.7.71 crore
• Tax payments: Rs.5.53 crore
• Purchase of office equipment: Rs.2.61 crore
• Royalty payment to director: Rs.0.77 crore

Issue-related Expenses: Rs.19.51 crore was utilized against the allocated Rs.31.06 crore, including Rs.12.49 crore for reimbursement of pre-IPO expenses.

Deployment of Unutilized Funds

The remaining Rs.36.16 crore is strategically deployed in fixed deposits and bank balances. The company has placed Rs.25.00 crore in fixed deposits with IndusInd Bank earning 6.20% returns, maturing on January 26, 2026. The balance Rs.11.22 crore is maintained in dedicated bank accounts with HDFC Bank and IndusInd Bank.

Regulatory Compliance and Timeline

CARE Ratings Limited confirmed that all utilization aligns with the offer document disclosures, with no material deviations observed. The monitoring agency verified details through chartered accountant certificates, bank statements, invoices, and management certifications. The company maintains its completion timeline of March 31, 2026, for working capital and general corporate purpose objectives, with no delays reported in implementation.

GK Energy Limited has announced a significant credit rating upgrade from CARE Ratings Limited, enhancing the company's financial standing in the market. The Pune-based energy company informed stock exchanges about this development on February 04, 2026, in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015.

Credit Rating Details

CARE Ratings Limited has assigned upgraded ratings for the company's bank facilities totaling ₹300.00 crore. The rating action demonstrates improved creditworthiness and financial stability of the organization.

Banking Facility Structure

The rated facilities are distributed across multiple banking partners, providing diversified funding sources for the company's operations. The long-term/short-term facilities worth ₹235.00 crore include various sublimits across different banks.

Long Term/Short Term Facilities Breakdown:

Short Term Facilities (Non-Fund Based):

Regulatory Compliance

The company has fulfilled its disclosure obligations by informing both NSE (Symbol: GKENERGY) and BSE (Scrip Code: 544525) about the rating upgrade. The rating letter dated February 04, 2026, from CARE Ratings Limited has been enclosed as an annexure with the regulatory filing.

Rating Validity and Surveillance

The assigned ratings are normally valid for one year from February 03, 2026. CARE Ratings Limited reserves the right to undertake surveillance and review of the rating based on circumstances warranting such review, with at least one review annually. The rating agency may revise, reaffirm, or withdraw the rating based on periodic reviews and surveillance activities.

The upgraded credit ratings reflect the company's improved financial profile and enhanced ability to meet its debt obligations. This development is expected to provide better access to funding and potentially reduce borrowing costs for GK Energy Limited's future business operations.

Source: GK Energy Limited regulatory filing