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Morepen Laboratories Ltd. — Capital/Financing Update 2026
May 6, 2026
59389_rns_2026-05-06_402899de-e0e9-45fa-bef8-4e39e1ae9a96.pdf
Capital/Financing Update
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MOREPEN
A
Date: 06/05/2026
To,
National Stock Exchange of India Ltd.
Exchange Plaza, Bandra Kurla Complex,
Bandra (East), Mumbai- 400 051
Symbol: MOREPENLAB
BSE Limited
Phiroze Jeejeebhoy Towers,
Dalal Street, Mumbai- 400 001
Scrip Code: 500288
Subject: Monitoring Agency Report for the quarter ended 31st March 2026
Dear Sir/ Madam,
Pursuant to Regulation 32 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Regulation 173A of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, please find enclosed herewith the Monitoring Agency Report dated 6th May 2026, for the quarter ended 31st March 2026, issued by Care Ratings Limited, the Monitoring Agency appointed to monitor utilization of proceeds of the qualified institutions placement issue.
Kindly take aforesaid on record.
Thanking you,
Yours faithfully,
For Morepen Laboratories Limited
Vipul Kumar
Srivastava
Vipul Kumar Srivastava Company Secretary
F-12148
Encl.: a/a.
Morepen Laboratories Limited
CIN NO. L24231 HP1984PLC006028
Corp. Off.: 2nd Floor, Tower C, DLF Cyber Park, Udyog Vihar-III, Sector-20, Gurugram, Haryana-122016, INDIA
TEL.: +91 124 4892000, E-mail: [email protected], Website: www.morepen.com
Regd. Off.: Morepen Village, Malkumajra, Nalagarh Road, Baddi, Distt. Solan (H.P.) -173205, INDIA
Tel.: +91 1795 266401-03, 244590, Fax: +91 1795 244591, E-mail: [email protected]
Careedge
RATINGS
No. CARE/NRO/GEN/2026-27/1013
The Board of Directors
Morepen Laboratories Limited
Morepen Village, Nalagarh Road, Near Baddi, Distt. Solan
Himanchal Pradesh-173205
May 06, 2026
Dear Sir/Ma'am,
Monitoring Agency Report for the quarter ended March 31, 2026 - in relation to the QIP of Morepen Laboratories Limited ("the Company")
We write in our capacity of Monitoring Agency for the QIP Issue for the amount aggregating to Rs. 200.00 crore of the Company and refer to our duties cast under 173A of the Securities & Exchange Board of India (Issue of Capital & Disclosure Requirements) Regulations.
In this connection, we are enclosing the Monitoring Agency Report for the quarter ended March 31, 2026, as per aforesaid SEBI Regulations and Monitoring Agency Agreement dated August 01, 2024.
Request you to kindly take the same on records.
Thanking you,
Yours faithfully,
Sandeep Aggarwal
Associate Director
[email protected]
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Page 1 of 10
Careedge RATINGS
Report of the Monitoring Agency
Name of the issuer: Morepen Laboratories Limited
For quarter ended: March 31, 2026
Name of the Monitoring Agency: CARE Ratings Limited
(a) Deviation from the objects: Nil
(b) Range of Deviation: Not Applicable
Declaration:
We declare that this report provides an objective view of the utilization of the issue proceeds in relation to the objects of the issue based on the information provided by the Issuer and information obtained from sources believed by it to be accurate and reliable. The MA does not perform an audit and undertakes no independent verification of any information/ certifications/ statements it receives. This Report is not intended to create any legally binding obligations on the MA which accepts no responsibility, whatsoever, for loss or damage from the use of the said information. The views and opinions expressed herein do not constitute the opinion of MA to deal in any security of the Issuer in any manner whatsoever. Nothing mentioned in this report is intended to or should be construed as creating a fiduciary relationship between the MA and any issuer or between the agency and any user of this report. The MA and its affiliates also do not act as an expert as defined under Section 2(38) of the Companies Act, 2013.
The MA or its affiliates may have credit rating or other commercial transactions with the entity to which the report pertains and may receive separate compensation for its ratings and certain credit related analyses. We confirm that there is no conflict of interest in such relationship/interest while monitoring and reporting the utilization of the issue proceeds by the issuer, or while undertaking credit rating or other commercial transactions with the entity.
We have submitted the report herewith in line with the format prescribed by SEBI, capturing our comments, where applicable. There are certain sections of the report under the title "Comments of the Board of Directors", that shall be captured by the Issuer's Management / Audit Committee of the Board of Directors subsequent to the MA submitting their report to the issuer and before dissemination of the report through stock exchanges. These sections have not been reviewed by the MA, and the MA takes no responsibility for such comments of the issuer's Management/Board.
Sandeep Aggarwal
Signature:
Name and designation of the Authorized Signatory: Sandeep Aggarwal
Designation of Authorized person/Signing Authority: Associate Director
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
CIN-L67190MH1993PLC071691
Careedge
RATINGS
1) Issuer Details:
Name of the issuer : Morepen Laboratories Limited
Name of the promoter : Sushil Suri
Industry/sector to which it belongs : Pharmaceuticals
2) Issue Details
Issue Period : 01/08/2024 to 05/08/2024
Type of issue (public/rights) : QIP
Type of specified securities : Equity
IPO Grading, if any : -
Issue size (in crore) : Rs. 200.00 crore
3) Details of the arrangement made to ensure the monitoring of issue proceeds:
| Particulars | Reply | Source of information / certifications considered by Monitoring Agency for preparation of report | Comments of the Monitoring Agency | Comments of the Board of Directors |
|---|---|---|---|---|
| Whether all utilization is as per the disclosures in the Offer Document? | Yes | Management Certificate, CA Certificate*, Offer document, Bank Statements, Resolution approved by the QIP Committee | • The issue proceeds of the QIP have been utilised in accordance with the objects given as per offer document, as supported by the management and CA certificate. However, during Q4FY26, owing to the company's operations across multiple plant and office locations, Rs. 1.15 crore was transferred from the monitoring account to its various current accounts to facilitate local disbursements. While we have reviewed the bank statements, the commingling of funds has restricted our ability to directly ascertain the end-use of the issue proceeds. Accordingly, we rely on management representation and the CA certificate. This excludes utilisation of Rs. 1.55 crore (interest income gained on debt mutual funds) created from QIP proceeds. | |
| • As per the offer document, an aggregate amount of Rs. 41.44 crore was earmarked for the development of medical devices at Baddi facility. Out of this | No comments received |
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Careedge
RATINGS
| Particulars | Reply | Source of information / certifications considered by Monitoring Agency for preparation of report | Comments of the Monitoring Agency | Comments of the Board of Directors |
|---|---|---|---|---|
| amount, Rs.27.88 crore has been utilised up to March 31, 2026, while the balance amount of Rs.13.56 crore remained unutilised till permitted timeline ending March 31, 2026. In accordance with the provisions of the offer document, the QIP Committee, through its resolution dated April 07, 2026, approved an extension of the utilisation timeline for the balance amount up to March 31, 2027. | ||||
| Whether shareholder approval has been obtained in case of material deviations# from expenditures disclosed in the Offer Document? | No Material Deviation | CA Certificate*, Bank Statements | Not applicable | No comments received |
| Whether the means of finance for the disclosed objects of the issue have changed? | No | CA Certificate* | Not applicable | No comments received |
| Is there any major deviation observed over the earlier monitoring agency reports? | No | CA Certificate*, Bank Statements | No, there is no major deviation observed from the last monitoring agency report | No comments received |
| Whether all Government/statutory approvals related to the object(s) have been obtained? | No | CA Certificate* | As per CA certificate, same is not required as per objects of issue | No comments received |
| Whether all arrangements pertaining to technical assistance/collaboration are in operation? | No | CA Certificate* | As per CA certificate, same is not required as per objects of issue | No comments received |
| Are there any favorable/unfavorable events affecting the viability of these object(s)? | No | BSE/NSE website, Google check, CA Certificate* | There has been an extension in the utilisation timeline of the planned capital expenditure for the development of medical devices at the Baddi facility. It may lead to cost overruns and delayed project execution, which may adversely impact the overall viability of the object. | No comments received |
| Is there any other relevant information that may materially affect the decision making of the investors? | Yes | BSE/NSE website, Google check, Management Certificate | Profitability has remained subdued over the last four quarters, largely due to margin compression in the API segment, which contributes the majority of revenue. This compression has been driven by declining realisations and rising costs; however, margins showed an improvement in Q3FY26. | No comments received |
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Careedge
RATINGS
| Particulars | Reply | Source of information / certifications considered by Monitoring Agency for preparation of report | Comments of the Monitoring Agency | Comments of the Board of Directors |
|---|---|---|---|---|
| The company received a show cause notice (SCN) dated December 2, 2025, from the office of the Commissioner, Central GST & Central Excise Commissionerate, Shimla, alleging an erroneous GST refund amounting to Rs.117.94 crore for the period from FY2021 to FY2024. However, the company has been granted a stay on the operation of the SCN by the High Court of Himachal Pradesh. While the company has obtained interim legal relief, the matter remains sub judice, and any adverse outcome could have implications on the company's financial position and cash flows. |
- CA Certificate from Virendra K Jain & Associates dated April 29, 2026.
Where material deviation may be defined to mean:
a) Deviation in the objects or purposes for which the funds have been raised
b) Deviation in the amount of funds actually utilized by more than 10% of the amount projected in the offer documents.
4) Details of objects to be monitored:
(i) Cost of objects -
| Sr. No | Item Head | Source of information / certifications considered by Monitoring Agency for preparation of report | Original cost (as per the Offer Document) in Rs. Crore | Revised Cost in Rs. Crore | Comments of the Monitoring Agency | Comments of the Board of Directors | ||
|---|---|---|---|---|---|---|---|---|
| Reason for cost revision | Proposed financing option | Particulars of -firm arrangements made | ||||||
| 1 | Modernisation and expansion of manufacturing units located in Baddi and Masulkhana | CA Certificate*, Placement document | 122.79 | 122.79 | NA | No comments received | No comments received | No comments received |
| 2 | Funding of Working Capital requirements of the company | CA Certificate*, Placement document | 64.36 | 66.29 | ^As per QIP committee resolution | No comments received | No comments received | No comments received |
| Total | 187.15 | 189.08 |
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Careedge
RATINGS
*CA Certificate from Virendra K Jain & Associates dated April 29, 2026.
^The usage of funds for working capital have increased from existing Rs. 64.36 crore as mentioned in the offer document, to Rs. 66.29 crore, i.e. increased by Rs. 1.93 crore resulting from the reduced issue related expenses. This increase in 'funding of working capital', was driven by actual issue-related expenses being lower than anticipated, with actual expenses amounting to Rs. 10.92 crore, compared to the Rs. 12.85 crore originally projected in the offer document. The same has been approved by the QIP committee resolution (QIP Resolution Dated April 22, 2025) of the company.
As per the offer document "Our Board retains the right to change the above schedule of implementation and deployment of Net Proceeds, including the manner, method, and timing of deployment of the Net Proceeds, in case of change in our business requirements and other commercial considerations, subject to compliance with the applicable laws." Accordingly, board of the company had constituted QIP committee of specified directors for the same.
(ii) Progress in the objects -
| Sr. No | Item Head | Source of information / certifications considered by Monitoring Agency for preparation of report | Amount as proposed in the Offer Document in Rs. Crore | Amount utilised in Rs. Crore | Total unutilised amount in Rs. Crore | Comments of the Monitoring Agency | Comments of the Board of Directors | |||
|---|---|---|---|---|---|---|---|---|---|---|
| As at beginning of the quarter in Rs. Crore | During the quarter in Rs. Crore | At the end of the quarter in Rs. Crore | Reasons for idle funds | Proposed course of action | ||||||
| 1 | Modernisation and expansion of manufacturing units located in Baddi and Masulkhana | CA Certificate*, Bank Statement | 122.79 | 101.36 | 7.87 | 109.23 | 13.56 | During Q4FY26, the company incurred expenditure of Rs. 7.87 crore towards modernization and expansion activities, of which Rs.6.72 crore was directly utilized from the monitoring account and balance Rs.1.15 crore was transferred from the monitoring account to its various current accounts to facilitate local disbursements, owing to the company's operations across multiple plant and office locations. While we have reviewed the bank statements, the commingling of funds has restricted our ability to directly ascertain the end-use of the issue proceeds. Accordingly, we rely on management representation and the CA certificate. | No comments received | No comments received |
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Careedge
RATINGS
| Sr. No | Item Head | Source of information / certifications considered by Monitoring Agency for preparation of report | Amount as proposed in the Offer Document in Rs. Crore | Amount utilised in Rs. Crore | Total unutilised amount in Rs. Crore | Comments of the Monitoring Agency | Comments of the Board of Directors | |||
|---|---|---|---|---|---|---|---|---|---|---|
| As at beginning of the quarter in Rs. Crore | During the quarter in Rs. Crore | At the end of the quarter in Rs. Crore | Reasons for idle funds | Proposed course of action | ||||||
| This excludes utilisation of Rs. 1.55 crore (interest income gained on debt mutual funds) created from QIP proceeds. | ||||||||||
| 2 | Funding of Working Capital requirements of the company | CA Certificate*, Bank Statement | 66.29 | 66.29 | - | 66.29 | - | Nil utilisation in Q4FY26, as the entire amount had already been utilised by Q1FY26. | No comments received | No comments received |
| Total | 189.08 | 167.65 | 7.87 | 175.52 | 13.56 |
*CA Certificate from Virendra K Jain & Associates dated April 29, 2026.
Note - The usage of funds for working capital have increased from Rs. 64.36 crore as mentioned in the offer document, to Rs. 66.29 crore, i.e. increased by Rs. 1.93 crore resulting from the reduced issue related expenses. This increase in 'funding of working capital', was driven by actual issue-related expenses being lower than anticipated, with actual expenses amounting to Rs. 10.92 crore, compared to the Rs. 12.85 crore originally projected in the offer document. The same has been approved by the QIP committee resolution (QIP Resolution Dated April 22, 2025) of the company.
(iii) Deployment of unutilized proceeds:
| Sr. No. | Type of instrument and name of the entity invested in | Amount invested* | Maturity date | Earning | Return on Investment (%) | Market Value as at the end of quarter |
|---|---|---|---|---|---|---|
| 1 | Debt Mutual Funds -ICICI Pru Money Market-G | 13.92 | On Demand | 1.20 | - | 15.12 |
| 2 | Debt Mutual Funds -Kotak Money Market Reg-G | 4.80 | On Demand | 0.01 | - | 4.81 |
| 3 | Balance in Monitoring Account of 'Morepen Laboratories Limited' with Kotak Mahindra bank (Account No. 2805197200) | 0.00 | NA | - | - | 0.00 |
| Less: interests earned, and capital gains realized from the investments | (5.16) | - | - | - | - | |
| Total | 13.56 | 1.21 | - | 19.93 |
*CA Certificate from Virendra K Jain & Associates dated April 29, 2026.
As per the offer document, the company will have flexibility in deploying the Net Proceeds received by it from the Issue in accordance with applicable laws. Pending utilisation for the issue objects, it may temporarily invest funds in creditworthy instruments, including money market mutual funds and deposits with banks.
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Page 7 of 10
Careedge
RATINGS
(iv) Delay in implementation of the object(s) –
| Objects | Completion Date | Delay (no. of days/ months) | Comments of the Board of Directors | ||
|---|---|---|---|---|---|
| As per the offer document | Actual | Reason of delay | Proposed course of action | ||
| Modernisation and expansion of manufacturing units located in Baddi and Masulkhana | March 31, 2026 (for Rs.33.97 crore) **March 31, 2027 (for Rs.13.56 crore) | Ongoing with delay, but timeline extended as per resolution passed by the QIP committee dated April 07, 2026 | **As per the offer document, a total amount of Rs. 41.44 core was allocated for the development of medical devices at Baddi facility. Out of this, Rs.27.88 crore has been utilised by March 31, 2026, and the balance amount of Rs.13.56 crore remains unutilised. Pursuant to the resolution passed by the QIP committee dated April 07, 2026, the timeline for utilisation of the balance amount has been extended up to March 31, 2027. | No comments received | No comments received |
| March 31, 2025 (for Rs. 88.83 crores) | Completed in Q3FY26 | *As per the offer document, Rs.88.83 crore was scheduled to be utilized by FY25; however, only Rs.49.41 crore was actually utilised till FY25. The timeline for utilisation was extended to March 31, 2026, through a resolution passed by the QIP committee. | No comments received | No comments received | |
| Funding of Working Capital requirements of the company | March 31,2025 (for Rs.64.36 crore) | Completed | No delay | No comments received | No comments received |
| No timeline defined (for Rs.1.93 crore)^ | Completed | No delay | No comments received | No comments received |
Based on QIP Committee Resolution dated April 22, 2025, timelines for utilisation of objects revised for both the objects.
As per the offer document, Rs.88.83 crore was to be utilised by FY25. However, due to ongoing civil and infrastructure work for modernization and expansion, Rs.49.41 crore was utilised by FY25, with the balance to be used in FY26 as per the QIP Committee resolution dated April 22, 2025.
*Further as per resolution passed by the QIP committee dated April 07, 2026, the period for utilisation of the balance amount of Rs.13.56 crore, out of the total allotted sum of Rs. 41.44 core allocated for development of medical devices at Baddi facility, has been extended till March 31, 2027.
^On account of reduced issue related expenses, the total net proceeds have been increased by Rs.1.93 crore and are to be utilised for the working capital purposes. As a result, funds allocated for working capital have been increased from Rs.64.36 crores to Rs.66.29 crores, which were fully utilised in Q1FY26. The same has been approved under the QIP committee resolution (QIP Resolution Dated April 22, 2025) of the company.
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Careedge
RATINGS
5) Details of utilization of proceeds stated as General Corporate Purpose (GCP) amount in the offer document:
| Sr. No | Item Head^ | Amount in Rs. Crore | Source of information / certifications considered by Monitoring Agency for preparation of report | Comments of Monitoring Agency | Comments of the Board of Directors |
|---|---|---|---|---|---|
| 1 | Not Applicable | Not Applicable | Not Applicable | Not Applicable | Not Applicable |
| Total | Not Applicable | Not Applicable | Not Applicable | Not Applicable |
^There is no object related to GCP in the offer document.
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Page 9 of 10
Careedge
RATINGS
Disclaimers to MA report:
a) This Report is prepared by CARE Ratings Ltd (hereinafter referred to as "Monitoring Agency/MA"). The MA has taken utmost care to ensure accuracy and objectivity while developing this Report based on the information provided by the Issuer and information obtained from sources believed by it to be accurate and reliable. The views and opinions expressed herein do not constitute the opinion of MA to deal in any security of the Issuer in any manner whatsoever.
b) This Report has to be seen in its entirety; the selective review of portions of the Report may lead to inaccurate assessments. For the purpose of this Report, MA has relied upon the information provided by the management /officials/ consultants of the Issuer and third-party sources like peer reviewed audit firm appointed by the Issuer believed by it to be accurate and reliable.
c) Nothing contained in this Report is capable or intended to create any legally binding obligations on the MA which accepts no responsibility, whatsoever, for loss or damage from the use of the said information. The MA is also not responsible for any errors in transmission and specifically states that it, or its directors, employees do not have any financial liabilities whatsoever to the users of this Report.
d) The MA and its affiliates do not act as a fiduciary. The MA and its affiliates also do not act as an expert to the extent defined under Section 2(38) of the Companies Act, 2013. While the MA has obtained information from sources it believes to be reliable, it does not perform an audit and undertakes no independent verification of any information/ certifications/ statements it receives from peer reviewed audit firm (or from peer reviewed CA firms), lawyers, chartered engineers or other experts, and relies on in its reports.
e) The MA or its affiliates may have other commercial transactions with the entity to which the report pertains. As an example, the MA may rate the issuer or any debt instruments / facilities issued or proposed to be issued by the issuer that is subject matter of this report. The MA may receive separate compensation for its ratings and certain credit-related analyses, normally from issuers or underwriters of the instruments, facilities, securities or from obligors.
CARE Ratings Limited
Plot no. C-001 A/2 Sector 16B, Berger Tower, Gautam
Budh Nagar, Noida, (UP) - 201301
Phone: +91-120-4452000
CIN-L67190MH1993PLC071691
Corporate Office :4th Floor, Godrej Coliseum,
Somaiya Hospital Road, Off Eastern Express
Highway, Sion (E), Mumbai - 400 022
Phone: +91-22-6754 3456 • www.careedge.in
Page 10 of 10