Subam Papers Limited submitted its Second Monitoring Agency Report to BSE Limited, prepared by Brickwork Ratings India Private Limited, for the quarter ended June 30, 2026. The report was issued pursuant to Regulation 162A of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 and Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The monitoring report covers the utilization of proceeds from a preferential issue that raised ₹104.37 crore through the issuance of 44,09,600 equity shares at ₹152 per share (raising ₹64.36 crore instead of the proposed ₹67.02 crore due to undersubscription) and 26,32,800 convertible warrants at ₹152 per warrant (with ₹10.00 crore received as 25% consideration). The total issue size was revised from ₹107.04 crore to ₹104.37 crore due to undersubscription.

Key Findings:

  • No Material Deviations: The report confirms no deviations from the objects of the issue as disclosed in the offer document
  • Full Utilization: The issue proceeds were fully utilized as of March 31, 2026
  • No Additional Funds: During Q2 2026, no further funds were received through share warrants
  • Statutory Approvals: All necessary government/statutory approvals related to the objects have been obtained
  • No Viability Events: No favorable or unfavorable events affecting the viability of the objects were reported

Utilization Details:

1. Debt Repayment: ₹73.00 crore fully utilized for pre-payment of debt and interest on borrowings

2. Subsidiary Investment: ₹30.01 crore allocated for investment in wholly-owned subsidiary "Subam Paper & Borads Private Limited" for setting up a corrugated box unit (0% utilized as of June 30, 2026)

3. General Corporate Purposes: ₹1.36 crore utilized (reduced from ₹4.03 crore due to undersubscription)

Implementation Status:

  • Debt repayment completed within FY 2025-26 timeframe
  • Subsidiary investment project ongoing with completion expected by FY 2027-28
  • General corporate purposes utilization completed within FY 2026-27 timeframe

Verification:

The report was verified by M/s. CNGSN & Associates LLP (FRN Number: 049155/S200036) through CA certificate and company statements dated August 03, 2026. The monitoring agency confirmed no conflict of interest with the company or its promoters.

The convertible warrants balance of 75% consideration (₹30.01 crore) is expected to be received within 18 months from the date of warrant allotment (February 03, 2026) upon exercise of conversion options by warrant holders.