Sobha Ltd Reports Utilization of Rights Issue Proceeds, Details Key Allocations for Quarter Ended June 30, 2026
Sobha Limited has provided a statement detailing the utilization and deviation status regarding the funds raised through its Rights Issue. The company reported that out of the total amount raised, it utilized INR 1,829.93 crore toward specified corporate objectives as of the quarter ending June 30, 2026.The funds were originally raised via a Rights Issue on July 11, 2024, amounting to INR 1,999.03 crore. The utilization statement was reviewed by the company’s Audit Committee and is subject to monitoring by ICRA Limited.
The utilized amounts across the various objects for which funds were raised showed zero deviation from the originally stated plans, according to the provided data. The overall allocation and consumption status is summarized below:
| Object of Funds Raised | Original Allocation (INR Crore) | Modified Allocation (if any) | Funds Utilized (INR Crore) | Deviation/Variation (INR Crore) |
|---|---|---|---|---|
| Repayment or Prepayment of Borrowings | 905.00 | - | 905.00 | Nil |
| Funding Project Related Expenses for Ongoing and Forthcoming Projects | 212.36 | - | 162.86 | Nil |
| Purchase of Equipment and Machinery | 210.03 | - | 118.95 | Nil |
| Funding Acquisition Unidentified Land Parcels (General Corporate Purposes) | 658.59 | - | 658.09 | Nil |
| Not Issue Related Expenses | 13.05 | - | 12.89 | Nil |
The utilization of funds was managed across several core areas, including the repayment or prepayment of borrowings, which accounted for an allocation of INR 905.00 crore and saw full utilization at INR 905.00 crore.
For ongoing projects and forthcoming projects, the company had allocated INR 212.36 crore. As of June 30, 2026, INR 162.86 crore had been utilized towards this purpose. Similarly, for the purchase of equipment and machinery, an allocation of INR 210.03 crore was made, with INR 118.95 crore utilized.
In terms of land acquisition, the company allocated INR 658.59 crore for funding the acquisition of unidentified land parcels for general corporate purposes, against which INR 658.09 crore was utilized as of June 30, 2026. The remaining allocation of INR 13.05 crore designated for non-issue related expenses saw a utilization of INR 12.89 crore.
Overall, the company has utilized INR 1,829.93 crore towards the objects stated in the Letter of Offer dated June 12, 2024. This figure represents the use against the total funds raised, leaving an unutilized amount of INR 169.10 crore.
SOBHA Stock Price Movement
Sobha Limited shares today slipped by 0.48% to settle at ₹1455.7, closing down ₹7.00 from the previous session. The stock saw a total traded volume of 170,875 shares during market hours.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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