VRAJ Iron and Steel Limited has submitted its monitoring agency report for the quarter ended December 31, 2025, in compliance with SEBI regulations. The report, prepared by CARE Ratings Limited as the appointed monitoring agency, provides a comprehensive overview of the company's IPO proceeds utilization and project implementation status.

IPO Proceeds Utilization Overview

The company raised ₹171 crore through its Initial Public Offering conducted from June 26, 2024, to June 28, 2024. As of December 31, 2025, the monitoring report shows substantial utilization of the raised funds across various objectives.

Project Implementation Status

The expansion project at the Bilaspur plant has shown mixed progress across different components. The company successfully completed the prepayment of term loan borrowings as planned, utilizing the full allocated amount of ₹70.00 crore.

Plant Completion Timeline

Implementation Challenges

The monitoring report highlights specific challenges affecting project timelines. The captive power plant experienced a 2-month delay beyond its January 2025 target, completing in March 2025 due to delayed supply from suppliers. The billet plant implementation faces more significant delays, with the exact number of delay days not ascertainable as the project remains ongoing.

According to the Board of Directors' comments in the report, the billet plant delays stem from two primary factors:

• Delayed supply from suppliers
• Heavy rainfall in the operational region

Financial Management

The company demonstrates efficient fund management with minimal unutilized proceeds. The remaining ₹0.25 crore is maintained in a monitoring account with HDFC Bank, earning interest on the deposited amount. The actual IPO issue expenses amounted to ₹18.40 crore against the projected ₹18.70 crore, with the saved ₹0.30 crore redirected toward general corporate purposes as disclosed in the offer document.

Regulatory Compliance

CARE Ratings Limited, serving as the monitoring agency, confirmed no deviations from the objects stated in the offer document. The report indicates that all government and statutory approvals related to the project objectives have been obtained, including the Consent to Operate (CTO). The monitoring agency found no material deviations requiring shareholder approval and noted no changes in the means of finance for the disclosed objects.

The company maintains its focus on the iron and steel sector, with promoters including Vijay Anand Jhanwar, Kusum Lata Maheshwari, and several private limited companies in the group structure.

VRAJ Iron and Steel Limited has announced the reaffirmation of its credit ratings by CARE Ratings Limited, maintaining stable outlook across its banking facilities. The rating agency has reviewed and reaffirmed the company's creditworthiness based on recent operational and financial performance data.

Credit Rating Details

CARE Ratings Limited has reaffirmed the credit ratings for VRAJ Iron and Steel's banking facilities totaling ₹70.00 crore. The rating review was conducted based on the company's operational and financial performance for FY25 (Audited) and H1FY26 (Unaudited).

Banking Arrangements

All banking facilities are provided by HDFC Bank Ltd. The long-term facilities of ₹40.00 crore comprise cash credit arrangements, while the long-term/short-term facilities worth ₹30.00 crore consist of Letter of Credit and Bank Guarantee (LC/BG) facilities.

Regulatory Compliance

The company has informed both BSE Limited and NSE Limited about the credit rating reaffirmation as required under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notification was signed by Priya Namdeo, Company Secretary and Compliance Officer, and submitted on January 02, 2026.

Rating Methodology

CARE Ratings Limited conducted the review based on recent developments including the company's operational and financial performance. The rating agency has reserved the right to undertake surveillance and review of the rating from time to time, with at least one such review required annually. The ratings reflect opinions on the likelihood of timely payment of obligations and do not constitute recommendations for sanctioning, renewing, or recalling bank facilities.