Orient Cables borrowings reached Rs 258.457 crore in June 2026

Orient Cables (India) Limited reported Rs 258.457 crore of total borrowings at June 30, 2026, equal to 0.96 times total equity of Rs 268.759 crore. Rs 212.266 crore was classified as current borrowings, while secured facilities were typically backed by current assets and other operating assets, with personal guarantees from promoters Vipun Nagpal and Garima Nagpal.

How close were Orient Cables borrowings to its equity?

Orient Cables’ Rs 258.457 crore of total borrowings were Rs 10.302 crore below its Rs 268.759 crore of total equity at June 30, 2026. The pre-offer capitalisation statement therefore reported a total-borrowings-to-total-equity ratio of 0.96 times. Total equity comprised Rs 10.204 crore of equity share capital, Rs 259.216 crore of other equity and negative non-controlling interest of Rs 0.661 crore.

The June 30, 2026 borrowing balance was higher than Rs 234.192 crore at March 31, 2026 and Rs 113.450 crore at March 31, 2025. Borrowings increased by Rs 24.265 crore over the three months ended June 30, 2026, following an increase of Rs 120.742 crore between March 31, 2025 and March 31, 2026. Orient Cables disclosed that Fiscal 2026 financial information was consolidated after the incorporation of OCL Greentech Private Limited on May 5, 2025, while Fiscal 2025 and Fiscal 2024 information was prepared on a standalone basis, limiting comparability across those periods.

Orient Cables’ reported Rs 258.457 crore balance measures borrowings rather than every banking commitment outstanding. The separate indebtedness schedule includes non-fund-based facilities, such as bank guarantees and letters of credit, alongside facilities that have provided funding. This distinction matters because a guarantee or letter of credit is a bank commitment and does not necessarily represent cash drawn by Orient Cables.

How much of Orient Cables borrowings was classified as current?

Orient Cables classified Rs 212.266 crore, or about 82.1% of total borrowings, as current at June 30, 2026. Non-current borrowings, including current maturity and interest accrued and due on borrowings in the capitalisation statement, were Rs 46.191 crore. The company reported non-current borrowings equal to 0.17 times total equity.

The classification reflects Orient Cables’ use of credit facilities primarily for working-capital requirements and capital expenditure. Working capital means financing used in operating activities, including the funding cycle around inventory and receivables. The secured-facilities schedule showed Rs 180.864 crore outstanding under working-capital lines, making it the largest funded category, followed by Rs 43.860 crore of bank term loans at June 30, 2026.

The disclosed facilities typically had tenors, or contractual durations, ranging from 90 days to 74 months. Certain loans were repayable on demand, meaning the applicable lender could seek repayment under the facility terms rather than only at a fixed long-term maturity. Continued availability of the June 2026 funding mix depends on meeting repayment obligations, maintaining stipulated security and complying with the relevant lending arrangements.

What funded debt and banking commitments did Orient Cables have?

Orient Cables had Rs 240.426 crore of secured fund-based outstandings and Rs 18.031 crore of unsecured fund-based outstandings at June 30, 2026, together matching Rs 258.457 crore of total borrowings. Fund-based facilities are arrangements under which a bank or other lender advances money or otherwise provides funding. Non-fund-based facilities, by contrast, include instruments such as guarantees and letters of credit.

Working-capital facilities represented Rs 180.864 crore of the secured funded amount, while inland bills discounted represented Rs 13.371 crore and vehicle loans represented Rs 2.331 crore. Within unsecured funded exposure, vendor financing, also called supplier-finance arrangements, accounted for Rs 16.721 crore. Loans from promoters or directors accounted for Rs 1.310 crore, while no loan from body corporates was outstanding.

The wider Rs 361.882 crore facility figure was Rs 103.425 crore above the borrowing balance because it included Rs 2.473 crore of bank guarantees and Rs 100.952 crore of letters of credit. Secured facilities had aggregate sanctioned limits of Rs 446.505 crore at June 30, 2026. Interest rates and commission for a majority of facilities typically ranged from 7.50% to 9.00% a year and 0.70% to 1.00%, respectively.

What collateral and restrictions apply to Orient Cables borrowings?

Orient Cables said its facilities are typically secured by hypothecation of current assets and other movable assets, as well as mortgages over specified company properties. Hypothecation is a charge over movable assets that permits the borrower to retain possession unless a default occurs. Listed security included current assets, plant and machinery, machinery spares, tools, receivables, book debts, cash flows, cash in hand and fixed deposits; vehicle loans were secured against the respective vehicles.

Vipun Nagpal and Garima Nagpal have provided personal guarantees for the disclosed facilities. If an event of default occurs, lenders may declare the security enforceable, take possession of hypothecated assets, sell them and apply the proceeds to outstanding amounts. The promoter guarantors may become obligated to pay amounts outstanding on demand under the terms disclosed by Orient Cables.

The indicative default triggers include missed payments, a substantial change in constitution or management without lender consent, winding up, insolvency or bankruptcy, and legal proceedings or investigations that may have a material adverse effect. Certain facilities also provide for penal interest, typically ranging from 0.25% to 4.00% a year, for repayment defaults, delays in creating stipulated security or other events of default.

Lender consent or prior intimation may be required for actions including capital-structure changes, material shareholding changes, changes to directors or management, dividend declarations, further borrowing, fresh asset charges and guarantees. The covenants also restrict diversion of funds to group companies, related parties or others for non-business purposes. Orient Cables obtained the lender consents required for offer-related changes to its capital structure, but disclosed facility covenants remain relevant to subsequent corporate actions.

Conclusion

Orient Cables’ June 2026 capital structure combined Rs 258.457 crore of funded borrowings with Rs 268.759 crore of total equity, producing a reported ratio of 0.96 times. Most borrowings were classified as current, and the Rs 240.426 crore of secured funded facilities show that the debt position was primarily connected to collateral including current assets, receivables and operating assets, supplemented by promoter guarantees.

The next disclosed matters to watch are repayment performance, compliance with security and covenant requirements, and use of working-capital facilities. Orient Cables stated that certain loans are repayable on demand, while future borrowings, dividends, asset charges and capital-structure changes can require lender consent or notification under the relevant arrangements.