Submission of the report of Monitoring Agency pursuant to Regulation 32(6) for the Quarter ended 31st December 2025 as per SEBI (LODR) Regulations, 2015.
KRITI · price
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Awaiting price reaction for this filing.
Kriti Industries had originally planned to raise Rs. 149.96 crore through a preferential issue of equity warrants, but only Rs. 74.25 crore was actually received. Warrant holders holding 63,69,000 warrants did not convert them into equity shares by the January 26, 2026 deadline, so those warrants lapsed and were cancelled, leaving a Rs. 75.71 crore shortfall. The Monitoring Agency (CARE Ratings) confirmed there is no deviation in use of funds raised so far – Rs. 40 crore used for working capital and Rs. 33.73 crore deployed toward capex for new pipe manufacturing lines (mainly land stamp duty and registration). Only Rs. 0.52 crore remains unutilized, parked in HDFC Bank fixed deposits. The report flags that the shortfall may force the company to take on debt, increasing its interest burden, and notes the share price of Rs. 75 was well below the warrant conversion price of Rs. 158.50, which explains the non-conversion.
Shareholders should note that nearly half of the planned Rs. 150 crore fundraise did not materialize because warrant holders chose not to convert at a price much higher than the current market price. The company now faces a Rs. 75.71 crore funding gap for its expansion plans, which may need to be bridged through borrowing, potentially raising interest costs and affecting future earnings.