RFBL Flexi Pack uses Rs 32.50 crore of IPO proceeds by September

RFBL Flexi Pack Limited had used Rs 32.50 crore of Rs 34.41 crore in net initial public offer proceeds by September 30, 2026, leaving Rs 190.92 lakh in an IndusInd Bank escrow account. Its statutory auditor and the company reported no deviation or variation from the objects stated in the prospectus.

How much of RFBL Flexi Pack's IPO proceeds had been used?

RFBL Flexi Pack had cumulatively used Rs 32.50 crore of net IPO proceeds as at September 30, 2026. The company raised gross proceeds of Rs 35.33 crore in an initial public offer, or IPO, conducted from May 12 to May 14, 2026, and reported the utilisation position in a filing dated November 13, 2026.

The gross proceeds included Rs 91.90 lakh of issue-related expenses, which RFBL Flexi Pack said had been fully used in connection with the fresh issue. After deducting those expenses, Rs 34.41 crore was available for capital expenditure, working capital and general corporate purposes. The Rs 190.92 lakh remaining balance represented the portion of those net proceeds not yet used at September 30.

The auditor's detailed utilisation table records Rs 32.50 crore as cumulative use, consistent with the company's object-wise deviation statement. One narrative line in the auditor's certificate gives a figure that is Rs 30,000 higher than the detailed table, while the stated unutilised balance remains Rs 190.92 lakh. The filing gives no explanation for that difference, so the detailed table provides the object-level basis for the reported utilisation.

Where did RFBL Flexi Pack use its net IPO proceeds?

RFBL Flexi Pack used the largest amount, Rs 17.76 crore, for working-capital requirements, fully exhausting that allocation by September 30, 2026. It also used Rs 10.54 crore for capital expenditure requirements and Rs 4.20 crore for general corporate purposes, according to the statutory auditor's object-wise certification.

Working capital was both the largest allocation and the only object with no balance left at the reporting date. Capital expenditure had the largest remaining amount, at Rs 1.88 crore, while general corporate purposes had Rs 3.37 lakh still unutilised. The auditor said capital-expenditure utilisation includes capital advances made by RFBL Flexi Pack.

The table shows a difference in completion across the three stated objects. Working capital had moved from its Rs 17.76 crore allocation to full utilisation, whereas capital expenditure remained short of its Rs 12.41 crore allocation by Rs 1.88 crore. General corporate purposes were close to their Rs 4.23 crore allocation, with only Rs 3.37 lakh outstanding.

Was there a deviation in RFBL Flexi Pack's IPO fund use?

No, RFBL Flexi Pack reported no deviation or variation in the use of IPO funds as at September 30, 2026. Sarang Shivajirao Chavan and Associates, the statutory auditor, also certified that the net proceeds used had been applied to the objects specified in the prospectus.

RFBL Flexi Pack's statement shows no modified object and no modified allocation for its Rs 34.41 crore of net proceeds. It also lists no shareholder approval for a change in the use of funds, no audit committee comments and no auditor comments on a deviation. The filing states that a monitoring agency was not applicable.

The disclosure defines a deviation or variation as a change in the purposes for which funds were raised, a change in the amount used against the originally disclosed amount, or a change in relevant contractual terms in the prospectus or offer document. On that basis, the Rs 190.92 lakh balance is recorded as unutilised money rather than as a changed use of proceeds.

Why was RFBL Flexi Pack's remaining balance in escrow?

RFBL Flexi Pack said its Rs 190.92 lakh unutilised balance was held in an escrow account with IndusInd Bank as at September 30, 2026. The amount consisted of Rs 187.55 lakh allocated to capital expenditure and Rs 3.37 lakh allocated to general corporate purposes.

The filing does not give a date by which RFBL Flexi Pack expects to deploy the Rs 187.55 lakh capital-expenditure balance. It also does not identify an asset, supplier, project or purchase order linked to the balance. The auditor only states that the Rs 10.54 crore already used for capital expenditure includes capital advances.

The concentration of the remaining funds is clear from the allocations: capital expenditure accounted for almost all of the Rs 190.92 lakh still in escrow, while working capital had no residual amount. That means later utilisation disclosures can show whether RFBL Flexi Pack completes the capital-expenditure allocation under the same prospectus object.

What were the terms of RFBL Flexi Pack's May 2026 IPO?

RFBL Flexi Pack raised Rs 35.33 crore through a fresh issue of 70.65 lakh equity shares with a face value of Rs 10 each and an issue price of Rs 50 per share. The auditor's certificate states that its equity shares are listed on the SME platform of NSE Limited.

The company's board approved the September 30, 2026 utilisation disclosure at its November 13, 2026 meeting, which began at 6:00 pm and concluded at 6:30 pm. The filing was made alongside unaudited standalone and consolidated financial results for the half year ended September 30, 2026.

RFBL Flexi Pack reported consolidated revenue from operations of Rs 100.85 crore for the half year ended September 30, 2026, compared with Rs 14.55 crore in the half year ended September 30, 2025. Consolidated profit after tax rose to Rs 8.15 crore from Rs 1.37 crore over the same periods. These financial results are separate from the auditor-certified accounting of the IPO proceeds.

Conclusion

RFBL Flexi Pack had used Rs 32.50 crore of its Rs 34.41 crore net IPO proceeds by September 30, 2026. Working capital was fully funded at Rs 17.76 crore, while capital expenditure accounted for Rs 10.54 crore of deployment and held most of the remaining balance. The company and statutory auditor reported no departure from the prospectus objects.

The next item to watch is the use of Rs 190.92 lakh in escrow, particularly the Rs 187.55 lakh still allocated to capital expenditure. RFBL Flexi Pack disclosed no timeline, asset-level plan or supplier detail for this balance, so its subsequent utilisation statements will indicate whether the money is deployed under the original allocation.