Kross Limited has achieved a groundbreaking manufacturing milestone with the commissioning of its new Axle Beam Extrusion Plant on 27th February 2026. The company announced this development through regulatory filing, marking the establishment of India's first facility capable of producing seamless, single-piece axle beams for heavy commercial vehicles. This technological advancement represents a significant departure from traditional welded axle beam manufacturing methods.

Revolutionary Manufacturing Technology

The newly commissioned plant introduces pioneering extrusion technology that eliminates welding processes entirely. Traditional axle beam manufacturing in India relies on fabricated, welded versions, but this innovative facility uses seamless tube extrusion to create single-piece axle beams. This technological breakthrough enhances strength, reduces weight, and improves reliability while aligning with advanced manufacturing standards and evolving customer requirements in the automotive sector.

Enhanced Production Capacity

The facility expansion significantly boosts the company's manufacturing capabilities with strategic capacity additions:

Strategic Investment and Market Positioning

The substantial investment in this state-of-the-art facility underscores Kross Limited's commitment to innovation and operational excellence. With the addition of 3,000 units per month, the company anticipates improved production efficiency and enhanced product characteristics for heavy commercial vehicles. This expansion positions the company to support growing demand from Medium & Heavy Commercial Vehicles, tractors, and off-highway vehicles, contributing to overall revenue growth.

Leadership Vision and Future Outlook

Commenting on this development, Mr. Sudhir Rai, Chairman & Managing Director, emphasized the strategic significance of this initiative. He highlighted that the facility represents a first-of-its-kind development in India, designed to optimize production efficiency while reinforcing the company's commitment to cutting-edge technology and product reliability. The leadership expressed confidence that continued emphasis on innovation, efficiency, and strategic investments will enable the company to address evolving market demands and generate sustainable value for shareholders.

Operational Benefits and Industry Impact

The successful commissioning underscores Kross Limited's commitment to adopting innovative technologies and achieving greater self-reliance in critical component manufacturing. The seamless axle beam technology offers multiple operational advantages including enhanced strength characteristics, reduced component weight, improved reliability standards, and superior performance for heavy commercial vehicles. With continued emphasis on operational excellence and long-term stakeholder value creation, the company remains well-positioned for sustained growth in the automotive component manufacturing sector.

KROSS Limited has submitted its quarterly monitoring agency report for the period ended December 31, 2025, detailing the utilization of proceeds from its Initial Public Offer (IPO). The report, filed with BSE and NSE on January 29, 2026, was prepared by India Ratings & Research Private Limited as the appointed monitoring agency.

IPO Details and Fund Utilization

The company's IPO, conducted from September 9-11, 2024, comprised a fresh issue of ₹2,500.00 million and an offer for sale of ₹2,500.00 million, totaling ₹5,000.00 million. The fresh issue involved 1,04,16,666 equity shares of face value ₹5 each, priced at ₹240.00 per share.

Fund Deployment Status

As of December 31, 2025, KROSS Limited has utilized ₹2,197.04 million from the IPO proceeds across four primary objectives. The monitoring agency confirmed no deviation from the objects stated in the offer document.

Investment of Unutilized Proceeds

The company has deployed the unutilized IPO proceeds of ₹302.96 million in fixed deposits with Axis Bank and HDFC Bank. These investments are earning annualized returns ranging from 4.25% to 6.70%, with maturity dates extending from January 2026 to February 2027.

Key Investment Details:

• Total amount invested in FDs: ₹283.76 million
• Cash balance in monitoring account: ₹27.59 million
• Return on investment range: 4.25% - 6.70% per annum

Implementation Progress and Timeline

The monitoring agency noted delays in certain object implementations. The capital expenditure for machinery and equipment shows significant progress with ₹553.29 million utilized against the allocated ₹700.00 million. However, the completion timeline has been extended to Fiscal 2026, as approved by the Board of Directors.

The debt repayment objective was completed by September 30, 2024, with the full allocated amount of ₹900.00 million utilized. Working capital funding remains ongoing with ₹144.80 million deployed so far.

Regulatory Compliance

The report was filed pursuant to Regulation 32(6) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 and Regulation 41(4) of SEBI (Issue of Capital Disclosure Requirements) Regulations 2018. The monitoring agency confirmed that all utilization aligns with disclosures in the offer document, with no material deviations requiring shareholder approval.

KROSS Limited, engaged in manufacturing automobile parts, operates from its registered office in Jamshedpur, Jharkhand. The company maintains ISO certifications including IATF 16949, ISO 9001, ISO 14001, and ISO 45001, reflecting its commitment to quality and environmental standards.