Fredun Pharma: Monitoring Agency Flags Use of Preferential Issue Proceeds

Fredun Pharmaceuticals Ltd has submitted a Monitoring Agency Report from Care Ratings Limited concerning the utilization of funds raised through a preferential allotment. The report, dated August 14, 2026, covers the quarters ended March 31, 2026, and June 30, 2026. The agency identified deviations in the use of proceeds, totaling ₹13.21 crore, for purposes not explicitly defined in the original objects, including loan EMIs, flat purchases, fund raise expenses, CSR activities, tax payments, PF payments, and R&D expenses without supporting documents. Discrepancies were also noted in the reported unutilized proceeds, with the company's figures differing from the agency's calculations.