Shanti Gold International Ltd: IPO Fund Utilization Update

Total IPO Proceeds Utilized: Rs 321.12 crore
Unutilized IPO Proceeds: Rs 38.99 crore

Reader Takeaway: Construction delays in Jaipur facility are offset by active working capital management.

What just happened

Shanti Gold International Limited has released its Monitoring Agency Report for the quarter ending June 30, 2026. The report details the utilization of funds raised through its Initial Public Offering (IPO). Out of a total IPO size of Rs 360.11 crore, the company has utilized Rs 321.12 crore.

Why this matters

This report provides crucial transparency for investors on how the IPO funds are being deployed. It highlights progress against the stated objectives in the Letter of Offer, indicating how the capital is being used for expansion and operational needs.

The backstory

The company raised Rs 360.11 crore through its IPO. The funds were earmarked for specific purposes including a Jaipur facility, working capital, loan repayment, general corporate purposes, and issue expenses.

What changes now

The report indicates a delay in the construction of the Jaipur facility due to ongoing fit-out, construction, and design modifications. Working capital utilization exceeded the original allocation by Rs 1.08 crore, covered by diverting funds from general corporate purposes and issue expenses. The remaining unutilized funds of Rs 38.99 crore are placed in fixed deposits with Yes Bank.

Risks to watch

Investors should monitor the progress of the Jaipur facility to understand when it will become fully operational. Any further delays could impact the company's expansion plans and projected revenue.

Peer comparison

While specific peer data is not provided in the filing, timely utilization of IPO funds is a key performance indicator for companies seeking capital for growth. Deviations, if not adequately explained or managed, can raise concerns among investors.

Context metrics (time-bound)

As of June 30, 2026:

• Total IPO Proceeds: Rs 360.11 crore.
• Amount Utilized: Rs 321.12 crore.
• Amount Unutilized: Rs 38.99 crore.
• Unutilized funds deployed in Fixed Deposits earning 6.70% - 7.00%.

What to track next

Investors should look for updates on the completion of the Jaipur facility and its commissioning. Continued monitoring of fund utilization against planned objectives will be important.