Key Quantitative Figures
- Total amount raised through preferential issue: ₹165.34 crore (dated February 16, 2026)
- Funds utilized as of September 30, 2026:
- Capital expenditure and capacity enhancement: ₹3.63 crore
- Acquisition of land and building: ₹20.00 crore
- Working capital requirement: ₹21.10 crore
- General corporate purpose and issue related expenses: ₹14.40 crore
Dates of Action
- Fund raising date: February 16, 2026
- Shareholder approval for revised utilization: July 22, 2026
- Audit Committee review meeting: June 18, 2026
- Board and Audit Committee approval of this statement: November 14, 2026
- Quarter ended: September 30, 2026
Parties Involved
- Listed Entity: Candour Techtex Limited
- Monitoring Agency: Brickwork Rating India Private Limited
- Regulatory Authorities: BSE Limited, Metropolitan Stock Exchange of India Limited
Purpose and Rationale
The deviation/variation arose primarily due to undersubscription of the preferential issue, resulting in lower actual proceeds than originally envisaged. The company reassessed and realigned the fund utilization based on actual consideration received, considering its business plans, operational requirements, and proposed entry into new business activities pursuant to alteration of the Object Clause of the Memorandum of Association.
Specific Allocation Changes
Original vs Modified Allocation (₹ in crore):
- Capital expenditure and capacity enhancement: Original 62.32 → Modified 67.32 (+5.00)
- Acquisition of land and building: Original 25.00 → Modified 25.00 (unchanged)
- Working capital requirement: Original 21.68 → Modified 36.68 (+15.00)
- Investment in subsidiaries and strategic acquisitions: Original 15.00 → Dropped entirely
- General corporate purpose and issue related expenses: Original 41.34 → Modified 36.34 (-5.00)
Financial Impact
The revised utilization aims to ensure optimum deployment of available funds toward the company's business objectives and future growth plans. The actual utilization amounts represent the deployed funds as of the quarter end.
Audit Committee Comments
The Audit Committee, at its meeting held on June 18, 2026, reviewed the proposed deviation/variation and was satisfied that the changes are reasonable and warranted in view of the actual proceeds received and the company's revised business plans and operational requirements. The Committee expressed its positive recommendation and accorded affirmative consent to the proposed deviation/variation.
Auditor Comments
No comments from auditors were provided (stated as NIL).