News Earnings LGT Business Connextions Reports Compliant IPO Proceeds Utilization in Q3 FY26 Monitoring ReportLGT Business Connextions Reports Compliant IPO Proceeds Utilization in Q3 FY26 Monitoring Report
LGT Business Connextions Limited submitted its Q3 FY26 monitoring agency report confirming compliant utilization of ₹21.92 crore IPO proceeds with no deviations from stated objects. The company has utilized ₹10.50 crore across capital expenditure, working capital, and general corporate purposes, with ₹11.42 crore remaining unutilized and deployed in fixed deposits. Infomerics Valuation and Rating Limited reported no implementation delays, with all activities progressing as planned within the FY 2025-26 timeline.
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LGT Business Connextions Limited has filed its quarterly monitoring agency report for the period ended December 31, 2025, demonstrating compliant utilization of proceeds from its public issue. The Chennai-based travel and tourism service aggregator submitted the report to BSE Limited on February 15, 2026, in accordance with SEBI regulations governing IPO proceeds monitoring.
IPO Proceeds and Allocation Structure
The company's public issue, conducted from August 19 to August 21, 2025, comprised 26,25,600 equity shares at ₹107 per share, raising total proceeds of ₹28.09 crore. The issue structure included a fresh issue of 23,62,800 shares worth ₹25.28 crore and an offer for sale of 2,62,800 shares valued at ₹2.81 crore.
| Component | Amount (₹ crore) |
|---|---|
| Total Issue Size | 28.09 |
| Issue Expenses | 3.36 |
| Offer for Sale | 2.81 |
| Net Proceeds | 21.92 |
Fund Utilization Across Objects
The net proceeds of ₹21.92 crore were allocated across three primary objects as outlined in the offer document. The monitoring report confirms no deviations from the original cost estimates or intended purposes.
| Object | Allocated Amount (₹ crore) | Utilized as of Dec 31, 2025 (₹ crore) | Unutilized (₹ crore) |
|---|---|---|---|
| Capital Expenditure | 10.43 | 1.68 | 8.76 |
| Working Capital Requirements | 7.70 | 5.59 | 2.11 |
| General Corporate Purposes | 3.79 | 3.23 | 0.55 |
| Total | 21.92 | 10.50 | 11.42 |
Capital Expenditure Plans
The capital expenditure allocation of ₹10.43 crore encompasses three key initiatives. The company plans to invest ₹4.00 crore for purchasing corporate offices in Chennai, with a Memorandum of Understanding executed on June 10, 2025. Additionally, ₹4.66 crore is earmarked for implementing Travel Cloud Suite & Sales CRM systems, Travel Operations, MICE Solution, and Finance System through TI Infotech Private Limited. The remaining ₹1.77 crore will fund the establishment of a Customer Care Centre in Chennai under a Leave and License Agreement dated July 7, 2025.
Deployment of Unutilized Funds
The company has deployed the unutilized amount of ₹11.42 crore in secure instruments to ensure capital preservation while maintaining liquidity for planned expenditures.
| Investment Type | Amount (₹ crore) |
|---|---|
| IndusInd Bank Fixed Deposits | 9.06 |
| Bank of India Current Account | 2.42 |
| Total Deployed | 11.48 |
Monitoring Agency Assessment
Infomerics Valuation and Rating Limited, serving as the monitoring agency, reported no deviations from the objects stated in the offer document. The agency confirmed that all utilization has been made as per the prospectus dated August 12, 2025, with verification provided by statutory auditor M/s. NRG Associates through their certificate dated February 12, 2026. The report indicates no delays in implementation of the stated objects, with all activities progressing as planned within the Financial Year 2025-26 timeline.
The monitoring report demonstrates LGT Business Connextions' adherence to regulatory requirements and disciplined approach to IPO proceeds utilization, providing transparency to investors regarding fund deployment across the company's growth initiatives.
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