News Stocks Walchandnagar Industries Reports No Deviation in Preferential Issue Fund Utilization for Q3 FY26Walchandnagar Industries Reports No Deviation in Preferential Issue Fund Utilization for Q3 FY26
Walchandnagar Industries Limited reported no deviation in its Rs. 247.59 crores preferential issue fund utilization for Q3 FY26. The company raised funds through fully convertible equity warrants in November 2023, with proceeds allocated across loan repayment, capital expenditure, and working capital. Strategic reallocations were implemented with board approval, and the Audit Committee confirmed compliance with all regulatory requirements.
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Walchandnagar Industries Limited has filed its quarterly statement confirming no deviation in the use of proceeds raised through its preferential issue for the quarter ended December 31, 2025. The statement, submitted to stock exchanges on January 29, 2026, demonstrates the company's adherence to its original fund utilization plan as outlined in the Letter of Offer.
Fund Raising Details
The company raised Rs. 247.59 crores through the issue of fully convertible equity warrants on a preferential basis on November 03, 2023. The fund structure comprised Rs. 216.00 crores received from investors and Rs. 31.59 crores adjusted towards conversion of outstanding loans. ICRA Limited serves as the monitoring agency for the fund utilization.
Fund Utilization Breakdown
The proceeds have been allocated across five strategic objectives with specific utilization patterns:
| Object | Original Allocation | Revised Allocation | Funds Utilized |
|---|---|---|---|
| Loan Repayment to Promoters | Rs. 31.59 crores | Not Applicable | Rs. 31.59 crores |
| Term Loan/Working Capital Repayment | Rs. 41.00 crores | Rs. 45.00 crores | Rs. 45.00 crores |
| Capital Expenditure | Rs. 105.00 crores | Rs. 84.00 crores | Rs. 59.96 crores |
| Working Capital | Rs. 50.00 crores | Rs. 67.00 crores | Rs. 64.19 crores |
| General Corporate Purposes | Rs. 20.00 crores | Not Applicable | Rs. 20.00 crores |
Strategic Reallocation
The company implemented board-approved reallocations to optimize fund deployment. Rs. 4.00 crores was reallocated from capital expenditure to loan repayment, while Rs. 17.00 crores was shifted from capital expenditure to working capital requirements. Additionally, Rs. 21.00 crores from the capital expenditure allocation was utilized for loan repayment and working capital needs.
Compliance and Oversight
The Audit Committee reviewed the fund utilization in its meeting held on January 29, 2026, confirming compliance with regulatory requirements under Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's auditors provided no adverse comments on the fund deployment strategy.
Current Status
As of December 31, 2025, the company has successfully utilized the raised funds according to its strategic priorities without any deviation from the approved objectives. The reallocations were executed through proper board resolutions, ensuring transparency and regulatory compliance throughout the process.
Historical Stock Returns for Walchandnagar Industries
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.75% | -1.17% | +13.50% | -5.98% | -4.60% | +170.78% |
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