Motisons Jewellers deploys Rs 139.37 crore QIP proceeds

Motisons Jewellers Limited had deployed all Rs 139.37 crore of net proceeds from its June 2026 qualified institutions placement by September 30, 2026, with Rs 130 crore used for working-capital requirements and Rs 9.37 crore for general corporate purposes. The utilisation schedule reported no balance remaining.

How did Motisons Jewellers use the QIP proceeds?

Motisons Jewellers used the full Rs 139.37 crore of proceeds net of issue expenses for the two purposes disclosed in its offer document: Rs 130 crore for funding working-capital requirements and Rs 9.37 crore for general corporate purposes. The schedule in the notes to the financial statements for the half year ended September 30, 2026 shows nil unutilised proceeds.

Working capital was the larger stated purpose, accounting for Rs 130 crore of the Rs 139.37 crore net proceeds. Motisons Jewellers recorded Rs 129.37 crore as utilised before the September 2026 quarter and deployed the remaining Rs 63.20 lakh during that quarter, completing the disclosed working-capital allocation.

General corporate purposes accounted for the remaining Rs 9.37 crore of net proceeds. Motisons Jewellers showed the entire Rs 9.37 crore as utilised during the quarter ended September 30, 2026, meaning total deployment during that quarter was Rs 10 crore when combined with the Rs 63.20 lakh working-capital amount.

The utilisation statement distinguishes the Rs 139.37 crore available after issue expenses from the Rs 150 crore gross QIP issue size. The filing does not provide a separate break-up of issue expenses, nor does it give a line-by-line description of expenditure booked under general corporate purposes.

When did Motisons Jewellers complete the QIP?

Motisons Jewellers opened the QIP on June 9, 2026, closed it on June 11, 2026, and received board approval for the share allotment on June 11, 2026. The company allotted 13,57,46,600 fully paid-up equity shares to eligible qualified institutional buyers under the Securities and Exchange Board of India, or SEBI, Issue of Capital and Disclosure Requirements Regulations, 2018.

Motisons Jewellers issued the shares at Rs 11.05 each, including a premium of Rs 10.05 per share over the Rs 1 face value. The company said this price was Rs 0.53 per share, or 4.57%, below the Rs 11.58 floor price determined under Regulation 176 of the SEBI regulations.

The June allotment generated gross proceeds of Rs 150 crore, while net proceeds available for the stated uses were Rs 139.37 crore. The difference means the September 30 utilisation disclosure covers the proceeds after issue expenses, rather than the full gross amount raised from investors.

Motisons Jewellers disclosed the fund-use position in notes accompanying its standalone results for the quarter and half year ended September 30, 2026. The board approved those results on November 14, 2026, after they were reviewed and recommended by the Audit Committee.

What did Motisons Jewellers disclose about working-capital use?

Motisons Jewellers disclosed Rs 130 crore for working-capital requirements but did not split that amount among inventory, trade receivables, supplier payments, borrowing repayment or other categories. The filing therefore establishes the approved use and total utilisation, but not the individual transactions financed by the QIP proceeds.

Motisons Jewellers sells jewellery made of gold, diamonds and Kundan, as well as pearl, silver, platinum and other-metal products. Its stated range includes traditional, contemporary and combination designs, but the September 30, 2026 filing does not assign any part of the Rs 130 crore working-capital amount to a specified metal, jewellery line or sales channel.

The company’s March 31, 2026 balance sheet, reproduced in the September filing, reported inventories of Rs 544.50 crore and trade receivables of Rs 1.31 crore. These figures are not presented as a reconciliation of QIP deployment, but they provide the reported balance-sheet context for the company’s decision to earmark Rs 130 crore for working capital.

The filing also says that management was in the process of identifying parties covered under the Micro, Small and Medium Enterprises framework, with related amounts disclosed to the extent identified. That note is separate from the proceeds schedule and does not alter the nil unutilised QIP balance reported as at September 30, 2026.

How did September-quarter deployment differ from earlier use?

Motisons Jewellers’ earlier utilisation was concentrated entirely on working capital, with Rs 129.37 crore deployed before the September 2026 quarter. In contrast, the Rs 10 crore used during the September quarter consisted principally of Rs 9.37 crore for general corporate purposes, alongside the final Rs 63.20 lakh for working capital.

The timing indicates that the company deployed nearly all of the working-capital allocation soon after the June 11, 2026 allotment. By September 30, 2026, the final deployment completed both the Rs 130 crore working-capital allocation and the Rs 9.37 crore general-corporate allocation disclosed in the offer document.

Motisons Jewellers said the September 2026 quarter figures were balancing figures derived from the unaudited half-year results and the first-quarter results up to June 30, 2026, which had been subject to limited review. This accounting presentation note applies to the financial results and does not change the QIP utilisation amounts reported for the September period.

The statutory auditor’s limited-review report is dated November 14, 2026. The auditor stated that nothing had come to its attention to suggest that the unaudited financial results did not disclose the required information or contained a material misstatement, while also stating that a limited review is not an audit.

What does the nil QIP balance mean for Motisons Jewellers?

Motisons Jewellers reported a nil balance from Rs 139.37 crore of net QIP proceeds as at September 30, 2026, so no further deployment from this fundraise was disclosed as pending. Future financial statements may instead show changes in operating assets, liabilities and cash flows after the Rs 130 crore working-capital use.

The company’s June 2026 share issue added 13,57,46,600 equity shares at Rs 11.05 each to its capital structure. The September 30 filing provides the utilisation outcome for the Rs 150 crore gross fundraise, but it does not quantify the subsequent effect of the working-capital deployment on a particular inventory, receivables or borrowing line.

Conclusion

Motisons Jewellers completed the deployment of its Rs 139.37 crore net QIP proceeds within the period from the June 11, 2026 allotment to September 30, 2026. The allocation was weighted towards working capital at Rs 130 crore, while Rs 9.37 crore was used for general corporate purposes, leaving no reported balance.

The next disclosures to watch are future financial results that may show how the Rs 130 crore working-capital allocation affected inventories, receivables, short-term borrowings and operating cash flows. Management’s ongoing identification of parties covered by the Micro, Small and Medium Enterprises framework is also an unresolved disclosure matter noted in the November 14, 2026 filing.