News ArticleLloyds Metals and Energy Utilizes Rs 2,722.83 Crores from Preferential Warrants as Planned in Q2 2026
Monitoring Agency confirms no deviation from fund utilization for capacity expansion and pellet plant setup for quarter ended 30 September 2026
Lloyds Metals and Energy Limited submitted its Monitoring Agency Report for the quarter ending 30 September 2026 confirming the utilization of Rs 2,722.83 crores raised through preferential warrants. The proceeds are being used for sponge iron capacity expansion, pellet plant setup, and general corporate purposes as planned, with no deviations reported.
Lloyds Metals and Energy Limited
Preferential Issue
Lloyds Metals and Energy Limited's Monitoring Agency Report for Q2 2026 confirms the utilization of Rs 2,722.83 crores raised via preferential issue of warrants with no deviations from the stated objectives as per the offer document.
The funds raised through the preferential issue, amounting to Rs 2,722.83 crores from 3,67,95,000 convertible warrants priced at Rs 740 each, are being used primarily for the expansion of sponge iron manufacturing capacity at Ghugus, Chandrapur, and setting up a 1 x 4 MTPA pellet plant at Konsari, Gadhchiroli, along with general corporate purposes.
No material deviations from the objects disclosed in the offer document were found by ACER Credit Rating Private Limited, the appointed monitoring agency, during the reviewed quarter ended 30 September 2026.
The monitoring report has been reviewed and taken on record by Lloyds Metals and Energy’s Audit Committee and Board of Directors on 3 November 2026 and is available on the company’s website.
All statutory approvals related to the project objects have been obtained, and the means of finance have not changed during the period. The monitoring agency did not observe any major deviations compared to earlier reports.
Lloyds Metals and Energy subscribed 3,67,95,000 warrants out of the total issue size of 4 crore warrants, with actual funds received amounting to Rs 2,722.83 crores as of 30 September 2026.
Highlights
- Rs 2,722.83 crores received from preferential issue of 3,67,95,000 convertible warrants at Rs 740 each.
- Funds utilized for sponge iron capacity expansion and 1 x 4 MTPA pellet plant setup as per offer document.
- No deviations observed in fund utilization for the quarter ended 30 September 2026.
- Statutory approvals secured and no changes to means of finance reported.
- Monitoring agency report dated 3 November 2026 reviewed by company’s Audit Committee and Board.
Key Data Snapshot
What happened
- Lloyds Metals and Energy Limited released the Monitoring Agency Report for funds raised via preferential issue of warrants during Q2 2026.
- The report confirms utilization of Rs 2,722.83 crores as per the objects stated in the offer document.
- No deviations were found in fund utilization, with all statutory and operational approvals in place.
Key details
- The preferential issue consisted of 4 crore convertible warrants at Rs 740 each, with 3,67,95,000 warrants subscribed.
- Proceeds are used for capital expenditure on sponge iron plant expansion and a new pellet plant, plus general corporate purposes.
- The monitoring agency confirmed the source of information including CFO certifications and statutory auditor certificates.
Regulatory and governance context
- The report is issued in compliance with SEBI ICDR Regulations 2018 and SEBI LODR Regulations 2015.
- It is reviewed by the Audit Committee and Board of Directors.
- The monitoring agency does not audit but reviews the utilization based on information provided by the issuer.
Highlights
- Rs 2,722.83 crores received from preferential issue of 3,67,95,000 convertible warrants at Rs 740 each.
- Funds utilized for sponge iron capacity expansion and 1 x 4 MTPA pellet plant setup as per offer document.
- No deviations observed in fund utilization for the quarter ended 30 September 2026.
- Statutory approvals secured and no changes to means of finance reported.
- Monitoring agency report dated 3 November 2026 reviewed by company’s Audit Committee and Board.
Disclosures
- SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
- SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018
Source Information
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