Skyways Air Services used Rs 284.46 crore of IPO proceeds

Skyways Air Services Limited used Rs 284.46 crore of its Rs 361.12 crore net initial public offer proceeds by September 30, 2026, with no deviation from its stated IPO objects, Crisil Ratings Limited reported. Total unutilised IPO proceeds were Rs 89.03 crore, including Rs 76.66 crore of net proceeds and Rs 12.37 crore of issue expenses.

How much IPO money had Skyways Air Services used by September 2026?

Skyways Air Services had used Rs 284.46 crore of net IPO proceeds by the quarter ended September 30, 2026, and all of that amount was deployed during the quarter because no net proceeds were used at its beginning. The IPO ran from August 24, 2026 to August 27, 2026 and generated gross proceeds of Rs 398.80 crore.

Actual issue expenses were Rs 37.67 crore, leaving net proceeds of Rs 361.12 crore. The resulting Rs 76.66 crore net-proceeds balance was separate from Rs 12.37 crore of issue expenses that remained unutilised, taking the total unutilised IPO-proceeds figure to Rs 89.03 crore.

Where did Skyways Air Services use Rs 284.46 crore of IPO proceeds?

Skyways Air Services used Rs 205.79 crore, the largest share of the Rs 284.46 crore deployed, to repay or prepay outstanding borrowings of the company and its subsidiary, Forin Container Line Private Limited. Crisil recorded utilisation toward a term loan, a working capital demand loan and purchase bill discounting.

The company used another Rs 78.67 crore to fund incremental working-capital requirements through adjustment of its cash-credit facility. No amount was used from the Rs 14.34 crore revised allocation for general corporate purposes during the quarter ended September 30, 2026.

The report separately records Rs 25.31 crore of issue expenses used by September 30, 2026, including payments to the registrar, legal advisers and advertising-related parties. That expense deployment is included in the Rs 309.77 crore total proceeds used during the quarter, rather than in the Rs 284.46 crore net-proceeds utilisation figure.

Did Skyways Air Services change its IPO spending plan?

Skyways Air Services did not deviate from the objects stated in its offer document, according to Crisil's monitoring report dated November 14, 2026. The monitoring agency marked all utilisation as being in line with the offer-document disclosures and reported no change in the means of finance for the stated objects.

The allocation of net proceeds changed by Rs 0.36 crore after actual issue expenses came in below the offer-document estimate. Estimated issue expenses were Rs 38.04 crore, compared with actual expenses of Rs 37.67 crore, increasing net proceeds from Rs 360.76 crore to Rs 361.12 crore.

The Rs 0.36 crore saving was added to the general-corporate-purpose allocation, increasing it from Rs 13.97 crore to Rs 14.34 crore. The report states that this revised amount remained below 25% of gross proceeds, or Rs 99.70 crore, and it showed no utilisation under this object by September 30, 2026.

Why was Rs 76.66 crore of Skyways Air Services' net proceeds unspent?

Skyways Air Services retained Rs 10.10 crore under the borrowing-repayment object because it was awaiting lenders' approval for removal of foreclosure charges, according to board comments reproduced in the report. The company had already used Rs 205.79 crore of its Rs 216.79 crore borrowing-repayment allocation by September 30, 2026.

The larger balance was Rs 51.33 crore earmarked for incremental working capital, which the board said was held in the designated account for use in subsequent quarters. The full Rs 14.34 crore general-corporate-purpose allocation was also retained for deployment in subsequent quarters, making these two categories Rs 65.67 crore of the Rs 76.66 crore balance.

Crisil reported no delay in implementation of the stated objects as at September 30, 2026. It also recorded no unfavourable event affecting the viability of the objects and no other information that may materially affect investor decision-making, based on management undertakings, bank statements and a November 9, 2026 certificate from MK Mohapatra & Co., Chartered Accountants.

Where was Skyways Air Services' unused IPO money held?

Skyways Air Services held Rs 55.00 crore of unutilised proceeds in an HDFC Bank fixed deposit maturing on April 6, 2027, with a stated return of 6.10%. Crisil reported a market value of Rs 55.00 crore at September 30, 2026 and said the fixed deposit was not encumbered by a lien.

The remaining Rs 34.03 crore of the Rs 89.03 crore total unutilised IPO proceeds was held in the Axis Bank monitoring account. The account balance was Rs 34.20 crore, comprising Rs 34.03 crore of issue proceeds, Rs 1.27 lakh payable to selling shareholders and Rs 16.44 lakh of interest accrued from fixed-deposit redemption.

The deployment disclosure therefore reconciles the unutilised total of Rs 89.03 crore across the Rs 55.00 crore fixed deposit and the Rs 34.03 crore of issue proceeds in the monitoring account. The Rs 12.37 crore of unutilised issue expenses is included in this total, while the Rs 76.66 crore figure refers only to the unspent balance of net proceeds allocated to the three IPO objects.

Conclusion

Skyways Air Services deployed Rs 284.46 crore of net IPO proceeds in the quarter ended September 30, 2026, primarily through Rs 205.79 crore of debt repayment and Rs 78.67 crore of working-capital funding. Crisil found no deviation from the stated objects, while the unspent amount remained concentrated in working capital, general corporate purposes and pending debt-repayment activity.

The next update should show whether lenders remove foreclosure charges affecting the remaining Rs 10.10 crore borrowing allocation and whether the Rs 51.33 crore working-capital balance and Rs 14.34 crore general-corporate-purpose balance are deployed in subsequent quarters. The April 6, 2027 maturity of the Rs 55.00 crore HDFC Bank fixed deposit is also a disclosed event to watch.