PG Electroplast: QIP funds allocated to working capital, capex and debt repayment

PG Electroplast Limited confirmed the utilization of its Qualified Institutional Placement (QIP) proceeds through a monitoring agency report for the quarter ended September 30, 2025. The total issue size for the QIP, which took place from December 4 to December 9, 2024, was Rs 1,500.00 crore, with net proceeds amounting to Rs 1,477.56 crore. The company stated that the proceeds were primarily utilized towards working capital requirements and capital expenditure in its subsidiaries.

As of September 30, 2025, a total of Rs 1,036.03 crore of the net proceeds has been utilized, leaving Rs 441.53 crore unutilized. Key expenditures include Rs 618.48 crore for investment in wholly-owned subsidiary PG Technoplast for working capital, Rs 98.37 crore for capital expenditure for expansion at the Supa Unit, and Rs 35.26 crore for capital expenditure at the Karoli Unit. Additionally, Rs 96.61 crore was used for repayment of certain borrowings through investment in a subsidiary, and Rs 122.38 crore for general corporate purposes.

The monitoring agency, CRISIL Ratings Limited, confirmed that the utilization is as per the disclosures in the Offer Document, relying on management undertakings, ICA certificates, the final offer document, and bank statements. A delay in implementation was noted due to delays in bank approvals for loan repayment and regulatory approvals for other objects.