Sigachi Industries Reports Monitoring Agency Findings on IPO Proceeds Utilization for Q3FY26

Sigachi Industries Limited has submitted its monitoring agency report for the quarter ended December 31, 2025, revealing significant challenges in the execution of its fundraising objectives. The comprehensive report, prepared by CARE Ratings Limited as the monitoring agency, provides detailed insights into the utilization of proceeds from the company's convertible share warrants issue. Issue Overview and Fund Shortfall The monitoring agency report covers the convertible share warrants issue worth Rs. 286.45 crore, conducted through private placement between July 27, 2023, and August 10, 2023. However, a significant shortfall has emerged, with Rs. 68.63 crore not received from warrant holders within the stipulated timeline. Parameter Details Total Issue Size Rs. 286.45 crore Amount Raised Till December 31, 2025 Rs. 217.82 crore Shortfall Rs. 68.63 crore Issue Type Private Placement - Convertible Share Warrants Fund Utilization Progress Despite the shortfall, the company has achieved complete utilization of the funds received across most objectives. The monitoring agency confirmed that Rs. 217.82 crore has been fully utilized by Q3FY26 across various strategic initiatives. Objective Proposed Amount (Rs. Crore) Amount Raised (Rs. Crore) Utilization Status API Manufacturing Facility Acquisition/Expansion 160.00 217.82 Fully Utilized Dahej and Jhagadia Facility Upgradation 50.00 50.00 Fully Utilized Hyderabad Facility Upgradation 21.45 21.45 Fully Utilized Working Capital 30.00 30.00 Fully Utilized General Corporate Purposes 25.00 25.00 Fully Utilized Timeline Deviations and Compliance Issues The report identifies minor timeline deviations in fund utilization. While proceeds were originally required to be utilized by September 2025, an unutilized balance of Rs. 0.43 crore was subsequently utilized in Q3FY26 by November 19, 2025, representing a 19-day delay. Notably, the company did not obtain board approval for this timeline extension. Additionally, the monitoring agency noted that funds of Rs. 16.75 crore transferred from the monitoring agency account to inter-corporate deposits were not received back within the stipulated period. However, internal accruals were utilized to meet the issue objectives. Impact of Fire Incident A major fire incident at the Hyderabad facility in Q1FY26 has significantly impacted the company's expansion plans. The monitoring agency specifically noted that this unfavorable event is expected to adversely affect planned capital expenditure and expansion initiatives, which are now unlikely to progress as originally envisaged. Promoter Investment Shortfall The report reveals that promoters have not fully met their investment commitments. Of the envisaged promoter investment of Rs. 135.72 crore, 41% of the funds (Rs. 56.77 crore) have not been infused by the promoters, representing a significant shortfall in the planned financing structure. Regulatory Compliance The monitoring agency confirmed that all government and statutory approvals related to existing plants in Gujarat are in place. However, Sigachi Industries may require fresh approvals for the manufacturing plant to be reconstructed in Hyderabad following the fire incident. The report concludes that while there are no material deviations in terms of fund deployment objectives, the combination of warrant holder payment delays, fire incident impact, and promoter investment shortfall may materially affect investor decision-making going forward. Sigachi Industries Limited has announced its quarterly earnings conference call to discuss Q3 FY 2025-26 unaudited financial results. The company informed stock exchanges BSE and NSE about this scheduled investor interaction through a regulatory filing dated February 09, 2026. Earnings Call Schedule and Details The earnings conference call is scheduled for Saturday, February 14, 2026 at 4:30 PM IST. Go India Advisors will host the call, providing a platform for investors and analysts to engage with the company's management regarding quarterly performance and business updates. Parameter: Details Date: February 14, 2026 Time: 4:30 PM IST Host: Go India Advisors Purpose: Q3 FY 2025-26 Unaudited Financial Results Registration: Pre-registration available with Diamond Pass Management Participation The earnings call will feature key members of Sigachi Industries' senior management team who will present the quarterly results and address investor queries. Key Management Representatives: Mr. Amit Raj Sinha – Managing Director & CEO Mr. O. Subbarami Reddy – Chief Financial Officer Mr. Vivek Kumar – Company Secretary & Compliance Officer Participation Guidelines The company has provided comprehensive dial-in information for participants. Investors and analysts are advised to dial-in at least 5-10 minutes prior to the scheduled time to ensure proper connection. The universal dial-in numbers provided are +91 22 6280 1557 and +91 22 7115 8383. Participants can also pre-register through the provided registration link to avoid wait time and join with Diamond Pass access. For additional information regarding the earnings call, participants can contact Priya Sen at priya@goinadiaadvisors.com or Riddhi Shah at riddhi@goinadiaadvisors.com . Regulatory Compliance The earnings call announcement was made in compliance with Regulation 30 of SEBI regulations, ensuring proper disclosure to stock exchanges. The notification was signed by Company Secretary & Compliance Officer Vivek Kumar and submitted to both BSE Limited (Scrip Code: 543389) and National Stock Exchange of India Limited (Symbol: SIGACHI). We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better. Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians. As financial services are becoming more accessible, there is now a large set of Indians today who are financially aware and literate. They value time and seek high quality products & services. Most screening, trading, investing platforms available today are more or less similar to each other, and they have not evolved with time. 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