Inventure redirects rights funds, Rs 50.69385 lakh unspent

Inventure Growth and Securities Limited redirected unspent rights-issue proceeds from technology and other heads to margin trading, computer hardware and stock-in-trade working capital, with Rs 50.69385 lakh unutilised at September 30, 2026. The shareholder-approved changes followed a rights issue that generated net proceeds of Rs 48.1620398 crore.

Why did Inventure change the use of rights proceeds?

Inventure changed the use of rights proceeds because it did not wish to invest in New Edge proprietary technology and software, according to its September 30, 2026 utilisation disclosure. It also said unspent sums earmarked for office-premises acquisition and issue expenses could not be fully utilised, prompting a reclassification of the unused money.

Shareholders approved the variation at Inventure’s annual general meeting on September 29, 2025. The revised objects were expansion of the margin trading facility, acquisition of computer hardware and supporting infrastructure, and additional working capital for stock-in-trade requirements. Inventure said its board viewed the reclassification as a way to optimise the use of rights proceeds, maximise returns for members and support future growth.

The rights issue was raised on July 15, 2024 and had gross proceeds of Rs 48.93 crore. Original issue expenses of Rs 90 lakh were modified to Rs 76.79602 lakh after the September 2025 approval, leaving Rs 48.1620398 crore in net proceeds. The disclosure for the quarter ended September 30, 2026 marked the use of funds as involving a deviation or variation.

A separate modification had been approved through a postal ballot, with results announced on November 11, 2024. Inventure had originally intended to buy office premises from K R Shoppers, but later learned that K R Shoppers and Kothari Builders Private Limited jointly owned the property. The letter-of-offer terms were consequently modified to reflect the joint ownership arrangement.

Where did Inventure redirect the unspent rights money?

Inventure redirected identified technology allocations into stock-in-trade capital, margin trading, stamp duty and computer hardware and software. The largest single reassignment was Rs 94 lakh from New Edge Back Office Software to additional working capital for investment in stock-in-trade of shares and securities.

Two former software allocations were transferred to margin trading facility expansion. Rs 40 lakh initially allocated to Risk Management Software and Rs 85.50 lakh initially assigned to Algo Trading Software were reclassified, taking those two reallocations to Rs 1.255 crore. A separate Rs 94.50 lakh allocation for Algo Trading Software was moved to stamp duty on the office-premises purchase.

The disclosure also reassigned Rs 31.977 lakh from additional hardware, Rs 23 lakh from software maintenance, research and recurring development, and Rs 13.20398 lakh from rights-issue expenses to purchases of computer hardware and software. An allocation of Rs 19.17 lakh was modified for the purchase of additional parking associated with the office-premises objective.

The modified-allocation column in the utilisation statement totals Rs 4.0135098 crore. That figure is not the full rights-issue pool of Rs 48.1620398 crore: it represents the listed modified allocations, while other amounts remained assigned to original purposes or had already been utilised under those purposes.

How much of Inventure's rights issue had been used by September 2026?

Inventure had utilised Rs 47.6551013 crore of its Rs 48.1620398 crore net rights proceeds by September 30, 2026, leaving Rs 50.69385 lakh in escrow. The unutilised balance plus the reported utilisation equals the disclosed net-proceeds amount after modified issue expenses.

The office-premises allocation of Rs 17.8083 crore was fully utilised by September 30, 2026. Inventure also reported full use of Rs 5 crore for additional stock-in-trade working capital, Rs 5 crore for incremental margin requirements for futures and options and other derivative products, and Rs 15 crore for expansion of the margin trading facility.

Several heads still had money in escrow at the reporting date. Furniture and fixtures had utilised Rs 69.9361 lakh from an allocation of Rs 1 crore, leaving Rs 30.0639 lakh. Computer hardware and software under an original Rs 10 lakh allocation had used Rs 9.7595 lakh, leaving Rs 24,050.

The remaining balance also included incomplete spending under revised computer hardware and software heads. Inventure had used Rs 25.73755 lakh from Rs 31.977 lakh, leaving Rs 6.23945 lakh, and had used Rs 8.85 lakh from Rs 23 lakh, leaving Rs 14.15 lakh. These listed balances, along with the furniture and original hardware balances, form part of the Rs 50.69385 lakh total in escrow.

What does the reallocation mean for Inventure's operating activities?

Inventure’s revised uses are principally linked to its equity and commodity broking, proprietary trading and related activities segment. For the half year ended September 30, 2026, this segment reported revenue of Rs 24.8156 crore, up from Rs 19.878 crore in the half year ended September 30, 2025.

Profit before tax and interest in the broking, proprietary trading and related activities segment rose to Rs 9.4924 crore in the September 2026 half year from Rs 5.2056 crore a year earlier. This period comparison shows that the segment associated with share trading and margin-related activity recorded higher revenue and segment profit, but the filing does not attribute that movement to the revised rights-proceeds allocation.

The financing segment reported half-year revenue of Rs 5.1638 crore, compared with Rs 4.6653 crore a year earlier. Its profit before tax and interest was Rs 4.6718 crore in the September 2026 half year, compared with Rs 4.6736 crore in the corresponding 2025 period, while merchant banking recorded a Rs 30.42 lakh segment loss before tax and interest against a Rs 20.66 lakh profit.

Inventure did not disclose a target return, deployment timetable or expected revenue contribution for the Rs 50.69385 lakh still in escrow. The revised uses establish the permitted purposes for unspent proceeds, rather than providing a forecast for margin trading income, stock-in-trade gains or hardware-led earnings.

How was the September-quarter spending funded and reviewed?

Inventure said Rs 34.45 lakh used during the quarter ended September 30, 2026 was first spent from its regular bank account. It subsequently transferred an equivalent sum from its IndusInd Bank escrow account to the regular bank account on October 5, 2026 and October 31, 2026.

CGCA Associates LLP issued its independent practitioners certificate on November 3, 2026 for the September 30, 2026 quarter. The firm stated that the accompanying utilisation statement agreed with the manner of use specified in the final or modified shareholder-approved letter of offer.

The prescribed disclosure stated that no monitoring agency was applicable to the rights issue. It also recorded no audit committee comments and no auditor comments, while separately documenting the approved variation in objects and the earlier office-premises ownership modification.

Conclusion

Inventure moved a defined portion of unspent rights money away from planned proprietary technology and related heads toward margin trading, trading inventory, office-premises stamp duty and computer hardware. By September 30, 2026, Rs 47.6551013 crore had been utilised from net proceeds of Rs 48.1620398 crore, leaving Rs 50.69385 lakh in escrow.

The next disclosed point to watch is the deployment of the remaining escrow balance, including Rs 30.0639 lakh for furniture and fixtures and Rs 14.15 lakh under a revised computer hardware and software allocation. Inventure disclosed the permitted uses and October 2026 reimbursement transfers, but no further spending schedule or return target for those funds.