Neogen Chemicals Preferential Issue Funds Fully Utilized

Disclosure Context

Neogen Chemicals Limited (Scrip Code: 542665, NSE Symbol: NEOGEN) submitted a regulatory filing to BSE Limited and National Stock Exchange of India Limited on July 24, 2026, pursuant to Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing concerns the utilization of funds raised through a preferential issue of equity shares for the quarter ended June 30, 2026.

Fund Raising Details

• Mode of Fund Raising: Preferential Issue of Equity Shares
• Date of Raising Funds: April 18, 2026
• Amount Raised: ₹161.00 crore
• Monitoring Agency: CRISIL Ratings Limited
• Report Period: Quarter ended June 30, 2026

Utilization Statement

The company confirmed there has been no deviation or variation in the utilization of proceeds from the preferential issue. The Audit Committee reviewed the statement at its meeting held on July 24, 2026, and had no comments. The statutory auditors also had no comments.

Fund Utilization Breakdown

The entire ₹161.00 crore has been fully utilized as follows:

• Investment in wholly owned subsidiary (Neogen Ionics Limited): ₹100.00 crore (100% of allocated amount)
• Meeting working capital requirements: ₹21.00 crore (100% of allocated amount)
• General corporate purposes: ₹40.00 crore (100% of allocated amount)

The amount utilized for general corporate purposes does not exceed 25% of the gross proceeds.

Monitoring Agency Report Details

CRISIL Ratings Limited issued the Final Monitoring Agency Report (CRL/MAR/NECL/2026-27/1800) dated July 24, 2026, pursuant to Regulation 162A of SEBI ICDR Regulations and the Monitoring Agency Agreement dated March 06, 2026.

Key Findings from CRISIL Report:

• No deviation from objects: All utilization is as per disclosures in the offer document
• No shareholder approval needed: No material deviations requiring shareholder approval
• No change in means of finance: The financing means for disclosed objects remains unchanged
• No government/statutory approval issues: Not applicable for this monitoring
• No viability events: No favorable or unfavorable events affecting object viability
• No other material information: No other information that might affect investor decisions

Detailed Fund Deployment

Investment in Neogen Ionics Limited (₹100.00 crore):

• Funds utilized for capital expenditure for the Pakhanjan project
• Movement of funds: NCL subscribed to CCDs issued by NIL → NIL subscribed to rights issue of Neogen Morita New Materials Limited → NML remitted funds to NIL as advance payment for acquisition of salt business → NIL utilized funds for equipment purchase, civil work, and fabrication work for Pakhanjan project
• Business Transfer Agreement between NIL and NML for salt business is under process and expected to be completed in coming months

Working Capital Requirements (₹21.00 crore):

• Proceeds fully utilized towards adjustment of cash credit facility maintained with State Bank of India

General Corporate Purposes (₹40.00 crore):

• Proceeds fully utilized towards adjustment of cash credit facility maintained with State Bank of India

Unutilized Proceeds

As of June 30, 2026, the entire issue proceeds of ₹161.00 crore have been fully utilized. The preferential issue account/monitoring account shows zero balance, making this the final monitoring agency report for this preferential issue.