Back
Corporate News
Project delays push commercial production to Q3 FY26-27, citing West Bengal regulatory hurdles
13-Aug-2026, 12:44
The company is experiencing delays in its project, now expected to begin commercial production in Q3 FY26-27, a shift from the initially planned Q4 FY25-26 completion. Regulatory hurdles, including delays related to a Special Investigation Report (SIR) and election-related building plan approvals in West Bengal, are the primary cause of the postponement. As of June 30, 2026, approximately Rs 32.00 crore of unutilized IPO proceeds are held in fixed deposits with HDFC Bank and ICICI Bank, earning returns between 6.25% and 6.30%. The company has disclosed the delay to the stock exchange and is operating within the permissible timeframe for utilizing IPO funds, though expenses initially covered by overdraft will be adjusted against the fixed deposits. The delay could impact investor sentiment and potentially lead to cost overruns, while the company remains reliant on securing further regulatory approvals.
The company is experiencing delays in its project, now expected to begin commercial production in Q3 FY26-27, a shift from the initially planned Q4 FY25-26 completion. Regulatory hurdles, including delays related to a Special Investigation Report (SIR) and election-related building plan approvals in West Bengal, are the primary cause of the postponement. As of June 30, 2026, approximately Rs 32.00 crore of unutilized IPO proceeds are held in fixed deposits with HDFC Bank and ICICI Bank, earning returns between 6.25% and 6.30%. The company has disclosed the delay to the stock exchange and is operating within the permissible timeframe for utilizing IPO funds, though expenses initially covered by overdraft will be adjusted against the fixed deposits. The delay could impact investor sentiment and potentially lead to cost overruns, while the company remains reliant on securing further regulatory approvals.