Ashutosh Fibre’s related-party loans were Rs 18.43 crore at year-end

Ashutosh Fibre Limited had Rs 18.43 crore in unsecured loans from related parties at March 31, 2026, all carrying 12% interest. Ashutosh Fibre’s related-party balance equalled 38.5% of its Rs 47.92 crore total borrowings and included loans from directors, relatives of key managerial personnel and a concern in which key managerial personnel were interested.

How much of Ashutosh Fibre’s debt came from related parties?

Ashutosh Fibre’s related-party unsecured loans were Rs 18.43 crore at March 31, 2026, compared with Rs 19.60 crore at March 31, 2025 and Rs 16.33 crore at March 31, 2024. The Rs 1.17 crore reduction during fiscal 2026 was 6.0%, but the March 2026 balance remained Rs 2.10 crore above the March 2024 amount.

The Rs 18.43 crore balance represented the full unsecured-loan total in Ashutosh Fibre’s statement of principal terms of unsecured loans. Against pre-issue total borrowings of Rs 47.92 crore at March 31, 2026, related-party unsecured funding accounted for 38.5%, while secured borrowings were Rs 29.50 crore. The capitalisation statement classifies Rs 17.02 crore as short-term borrowings and Rs 30.90 crore as long-term borrowings, including current maturities, so related-party funding is not presented as a separate maturity class.

Who provided Ashutosh Fibre’s related-party loans?

Ashutosh Fibre owed its largest disclosed related-party unsecured-loan balance, Rs 4.18 crore, to Prahash Finstock Pvt. Ltd. at March 31, 2026. Ashutosh Fibre’s related-party disclosure lists Prahash Finstock Pvt. Ltd. as a concern in which key managerial personnel, or KMP, are interested.

The other five largest balances were Rs 2.24 crore owed to Binaben P. Patel, Rs 2.06 crore to Abhishek R. Agrawal, Rs 2.04 crore to Nishtha Agarwal, Rs 2.03 crore to Shilpa Abhishek Agarwal and Rs 2.01 crore to Shradha Sankit Agarwal. These six balances, including Prahash Finstock Pvt. Ltd., totalled Rs 14.56 crore, or 79.0% of the Rs 18.43 crore related-party loan balance, concentrating much of the unsecured funding among six lenders.

Ashutosh Fibre identified Siddharth P. Patel, Abhishek R. Agarwal and Prahas Finstock Private Limited as promoters through a resolution dated September 16, 2025. The three promoters held 40.37% of equity shares at March 31, 2026; Siddharth Prakash Patel became managing director on July 23, 2025 and Abhishek R. Agrawal became whole-time director on the same date. Accounting Standard 18, the standard governing the disclosed related-party relationships, also identifies relatives of KMP and concerns in which KMP are interested.

What were the interest rate and repayment terms?

Ashutosh Fibre reported a 12% interest rate on every line in its unsecured-loan principal-terms statement, with nil security and nil moratorium. Each facility was described as a business loan, while sanctioned amounts were shown as not applicable. The uniform 12% rate permits comparison of the disclosed terms across directors, KMP relatives and the KMP-interested concern.

Ashutosh Fibre disclosed two repayment structures within the Rs 18.43 crore total. Some facilities were repayable after six years, while other facilities were repayable on demand, meaning the lender can seek repayment without a stated long-term maturity date. The total unsecured-loan balance therefore does not have one common repayment date, and continued availability of on-demand funding depends on the relevant lenders maintaining those arrangements.

Ashutosh Fibre recorded Rs 1.95 crore of interest expense on unsecured loans from related parties in fiscal 2026, compared with Rs 1.84 crore in fiscal 2025 and Rs 1.63 crore in fiscal 2024. Fiscal 2026 interest expense increased by Rs 10.59 lakh, or 5.7%, even as the closing related-party loan balance fell by Rs 1.17 crore. Interest expense reflects borrowing balances and movements during the year rather than only the March 31 closing amount.

How did Ashutosh Fibre’s lender balances change?

Ashutosh Fibre’s fiscal 2026 lender movements included the repayment of Vinodkumar S. Agrawal’s balance from Rs 3.11 crore at March 31, 2025 to nil at March 31, 2026. The related-party transaction statement records Rs 3.12 crore of loan repayments to Vinodkumar S. Agrawal during fiscal 2026. Siddharth Prakash Patel’s closing balance, by contrast, increased to Rs 1.06 crore from Rs 25.59 lakh.

Prahash Finstock Pvt. Ltd.’s closing balance increased to Rs 4.18 crore at March 31, 2026 from Rs 3.98 crore a year earlier. Ashutosh Fibre recorded Rs 45.69 lakh received from Prahash Finstock Pvt. Ltd. and Rs 25.57 lakh repaid during fiscal 2026, producing a Rs 20.12 lakh increase. Binaben P. Patel’s balance declined by Rs 84.19 lakh to Rs 2.24 crore after Rs 1.45 crore of loans received and Rs 2.29 crore repaid in fiscal 2026.

What does Ashutosh Fibre’s financing mix show?

Ashutosh Fibre’s financing mix combined Rs 18.43 crore of related-party unsecured loans with Rs 29.50 crore of secured bank and vehicle finance at March 31, 2026. The secured-loan statement includes a Rs 13.66 crore CITI Bank facility and a Rs 6.14 crore outstanding working-capital limit, alongside other CITI Bank facilities and vehicle loans from BMW India Financial Services Pvt. Ltd. and Mercedes-Benz Financial Services Pvt. Ltd.

Ashutosh Fibre disclosed charges over current assets, movable fixed assets and specified land and building for the CITI Bank facilities. The same facilities carried corporate guarantees from Shyam Prakash Spinning Mills Ltd. and Prahash Finstock Pvt. Ltd., as well as personal guarantees from Siddharth Patel, Abhishek Agarwal and Vinod Agarwal. The disclosures thus show related parties as both unsecured lenders and providers of guarantees supporting certain secured facilities.

Ashutosh Fibre reported a debt-equity ratio of 0.92 at March 31, 2026, down from 1.60 at March 31, 2025 and 1.27 at March 31, 2024. The company attributed the fiscal 2026 movement to higher net profit that increased its equity base. That ratio uses total outside liabilities as debt and does not distinguish related-party funding from bank debt, making the lender-level balance disclosures relevant to the composition of borrowings.

Conclusion

Ashutosh Fibre’s Rs 18.43 crore related-party unsecured-loan balance was 38.5% of its Rs 47.92 crore total borrowings at March 31, 2026. Every disclosed unsecured facility carried 12% interest, no security and no moratorium, while the six largest lender balances accounted for 79.0% of the related-party total. The financing disclosures show a substantial reliance on funds from directors, KMP relatives and a KMP-interested concern.

The next item to watch is whether on-demand facilities are repaid, renewed or replaced after the proposed public issue. As at March 31, 2026, Ashutosh Fibre had received Securities and Exchange Board of India approval for its draft red herring prospectus and was in the process of filing its red herring prospectus; it had incurred Rs 94.01 lakh of proposed issue expenses. The disclosures do not state a plan to repay or convert related-party loans with issue proceeds, leaving the future treatment of this funding source unresolved.