NIS Management used Rs 29.3862 crore of IPO funds by September

NIS Management Limited had utilised Rs 29.3862 crore of its Rs 51.7482 crore initial public offering proceeds by September 30, 2026, according to an independent accountant’s certificate. NIS Management had Rs 22.362 crore unutilised, temporarily parked in fixed deposits and current accounts with scheduled banks, while none of its Rs 9.5585 crore general-corporate-purpose allocation had been used.

How much of NIS Management's IPO proceeds had been used?

NIS Management had used Rs 29.3862 crore of the Rs 51.7482 crore raised through its IPO as of September 30, 2026. KGRS & Co. reported that the full IPO amount was credited to the company’s designated public issue account, and its certificate was based on verification of relevant bank statements and supporting records.

NIS Management had Rs 22.362 crore remaining unutilised at that date. The company said this balance was temporarily parked in fixed deposits and current accounts with scheduled banks, and it confirmed that no IPO proceeds had been temporarily invested, advanced or otherwise deployed for purposes outside the objects disclosed in the prospectus.

The IPO comprised 46.62 lakh equity shares of face value Rs 10 each, issued at Rs 111 a share, including a Rs 101 share premium. NIS Management’s shares were listed on the small and medium enterprises platform of BSE Limited on September 2, 2025, while the reported utilisation position is as of September 30, 2026.

Where did NIS Management use its IPO proceeds?

NIS Management used Rs 22.379 crore for working-capital requirements by September 30, 2026. This was the only operating object on which the company reported use of IPO proceeds, leaving Rs 13.621 crore from the Rs 36 crore working-capital allocation unutilised.

NIS Management had not used any of the Rs 9.5585 crore earmarked for general corporate purposes as of September 30, 2026. The full allocation remained unutilised, unlike the working-capital allocation, from which Rs 22.379 crore had been deployed.

The filing does not divide the Rs 22.379 crore working-capital use among particular contracts, operating activities, subsidiaries or other uses. NIS Management also said it has no more than one reportable segment under Accounting Standard 17, meaning it did not provide segment-level information connecting IPO-funded working capital to a specific business line.

The two main operating allocations totalled Rs 45.5585 crore, comprising Rs 36 crore for working capital and Rs 9.5585 crore for general corporate purposes. Of that combined amount, Rs 22.379 crore had been used and Rs 23.1795 crore remained unutilised at September 30, 2026, excluding the separate offer-expense line.

Why did NIS Management's IPO expenses exceed the estimate?

NIS Management incurred Rs 7.0072 crore in offer-related expenses through September 30, 2026, compared with Rs 6.1897 crore estimated in the prospectus. The Rs 0.8175 crore excess caused the utilisation table to show a negative unutilised balance for the expense object.

NIS Management said the excess related to expenses incurred on behalf of the selling shareholder. According to the disclosure, the selling shareholder’s share of those expenses was deducted from IPO proceeds and was available with NIS Management, although the filing does not provide a category-by-category split of the Rs 7.0072 crore actual expense total.

Offer-related expenses represented Rs 7.0072 crore of the Rs 29.3862 crore total IPO utilisation, alongside Rs 22.379 crore for working capital. No IPO proceeds were reported as used for general corporate purposes, so the two disclosed utilised objects reconcile to the total in the certificate.

NIS Management’s standalone cash-flow statement for the half year ended September 30, 2026 records Rs 5.94 lakh of share-issue expenses paid in that six-month period. That cash-flow line covers the period’s payment, whereas the Rs 7.0072 crore in the utilisation statement represents actual cumulative issue expenses incurred up to September 30, 2026.

What did the independent certificate conclude about NIS Management's IPO funds?

KGRS & Co. concluded that NIS Management had partially utilised Rs 29.3862 crore towards the stated objects of the IPO as of September 30, 2026. The certificate, dated November 14, 2026, was issued for submission to BSE Limited’s SME Platform and other regulatory authorities where required.

The accountant examined the statement under the Institute of Chartered Accountants of India guidance note on special-purpose reports or certificates. Its opinion was issued pursuant to Regulation 32 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements Regulations, 2015, and applicable provisions of the Issue of Capital and Disclosure Requirements Regulations, 2018.

The Rs 29.3862 crore utilisation and Rs 22.362 crore unutilised balance in the certificate match the IPO utilisation tables included in NIS Management’s standalone and consolidated explanatory notes. The audit committee reviewed, and the board approved, the unaudited results for the quarter and half year ended September 30, 2026 on November 14, 2026.

The certified unutilised IPO balance should not be equated with NIS Management’s reported cash and cash equivalents. Standalone cash and cash equivalents were Rs 27.5826 crore at September 30, 2026, down from Rs 58.4117 crore at March 31, 2026, while the certificate specifically identifies Rs 22.362 crore of unutilised IPO money as held in fixed deposits and current accounts.

Conclusion

NIS Management had used Rs 29.3862 crore of its Rs 51.7482 crore IPO proceeds by September 30, 2026, with working capital accounting for Rs 22.379 crore and offer-related expenses for Rs 7.0072 crore. The company had not used the Rs 9.5585 crore allocated to general corporate purposes, and Rs 22.362 crore of total proceeds remained temporarily parked with scheduled banks.

The next utilisation disclosure will show whether NIS Management begins using the Rs 9.5585 crore general-corporate-purpose allocation and deploys more of the Rs 13.621 crore still assigned to working capital. It will also show whether offer-related expenses change further after the reported Rs 0.8175 crore excess, which NIS Management attributed to expenses incurred for the selling shareholder.