Shanti Inorgo Chem borrowings totalled Rs 34.85 crore

Shanti Inorgo Chem Pvt Ltd reported Rs 34.85 crore of financial indebtedness at May 31, 2026, against sanctioned borrowing facilities of Rs 69.99 crore. Shanti Inorgo Chem’s largest component was Rs 23.09 crore of bank and financial-institution term loans, principally used for acquiring plant and machinery, while working-capital facilities accounted for Rs 9.99 crore.

What made up Shanti Inorgo Chem’s Rs 34.85 crore borrowings?

Shanti Inorgo Chem’s financial indebtedness comprised Rs 24.86 crore of long-term borrowings and Rs 9.99 crore of short-term borrowings at May 31, 2026. The long-term total included Rs 23.09 crore of secured term loans from banks and financial institutions, Rs 1.22 crore of secured vehicle loans, and Rs 54.82 lakh of unsecured borrowings. The short-term total consisted of Rs 9.35 crore drawn from bank working-capital facilities and Rs 63.31 lakh from a financial-institution working-capital facility.

Machinery term loans represented about 66% of the Rs 34.85 crore total, based on the Rs 23.09 crore outstanding under that category. Working-capital facilities represented about 29% of financial indebtedness. This mix links a substantial part of the funding structure to plant and machinery acquisition, while cash-credit and overdraft lines fund current operating needs including stock and receivables.

The Rs 69.99 crore sanctioned amount exceeded the Rs 34.85 crore outstanding balance by Rs 35.14 crore at May 31, 2026. Sanctioned amount is the approved facility size, whereas outstanding amount is the amount drawn and unpaid on that date. The disclosed limits included Rs 45.70 crore for bank and financial-institution term loans and Rs 21.00 crore for working-capital facilities.

How did Shanti Inorgo Chem’s borrowing balance change over time?

Shanti Inorgo Chem’s total borrowings, calculated from the restated balance-sheet line items, rose from Rs 24.34 crore at March 31, 2024 to Rs 25.38 crore at March 31, 2025, Rs 30.67 crore at March 31, 2026 and Rs 34.85 crore at May 31, 2026. The May-end total equals the financial-indebtedness schedule’s Rs 34.85 crore total, although the long-term and short-term classifications in the two disclosures differ.

Long-term borrowings in the balance sheet declined from Rs 12.99 crore at March 31, 2024 to Rs 11.51 crore at March 31, 2025, then increased to Rs 20.93 crore at March 31, 2026 before decreasing to Rs 19.87 crore at May 31, 2026. Short-term borrowings moved from Rs 11.35 crore in March 2024 to Rs 13.87 crore in March 2025, fell to Rs 9.74 crore in March 2026 and increased to Rs 14.97 crore by May 31, 2026.

The financial-indebtedness schedule classifies Rs 24.86 crore as long-term and Rs 9.99 crore as short-term at May 31, 2026, while the restated balance sheet reports Rs 19.87 crore and Rs 14.97 crore, respectively. The supplied disclosure does not explain the Rs 4.99 crore classification difference. Both presentations nevertheless report the same aggregate borrowings of Rs 34.85 crore on May 31, 2026.

During the two months ended May 31, 2026, Shanti Inorgo Chem recorded Rs 5.23 crore of proceeds from short-term borrowings and repaid Rs 98.17 lakh of long-term borrowings. Net cash from financing activities was Rs 3.89 crore during those two months, after Rs 28.80 lakh of interest paid and Rs 7.42 lakh of repayments of borrowings from directors and relatives.

Which facilities account for Shanti Inorgo Chem’s debt exposure?

HDFC Bank Limited’s two disclosed term loans were Shanti Inorgo Chem’s largest identified machinery facilities, with Rs 13.31 crore outstanding under Term Loan II and Rs 1.67 crore under Term Loan I at May 31, 2026. Their combined Rs 14.98 crore balance represented about 43% of total financial indebtedness. Both facilities carried a disclosed annual interest rate of 9.50% and were repayable in 84 monthly instalments.

State Bank of India had Rs 7.99 crore outstanding under its first machinery term loan and Rs 11.58 lakh under its second machinery term loan. These two balances totalled Rs 8.11 crore and carried stated interest rates of 11.65% a year. State Bank of India’s first term loan had a sanctioned amount of Rs 11.20 crore and repayment scheduled from June 10, 2024 to June 10, 2030 after a 12-month moratorium ending May 10, 2024.

Shanti Inorgo Chem also had Rs 6.96 crore outstanding under a State Bank of India cash-credit facility with a Rs 12.00 crore sanction, at a disclosed 10.90% annual interest rate. HDFC Bank’s disclosed cash-credit balance was Rs 2.39 crore at 9.50%. Both cash-credit facilities are repayable on demand, which means their repayment schedule is not a fixed monthly instalment plan in the lender schedule.

The remaining identified facilities included Rs 63.31 lakh under an Oxyzo Financial Services Private Limited dropline overdraft at 15.25%, Rs 17.55 lakh under an HDFC Bank business loan at 14.00%, and Rs 26.50 lakh under an L & T Finance business loan at 14.70%. The lender-level schedule describes the Oxyzo overdraft as unsecured, while the summary table places the Rs 63.31 lakh financial-institution working-capital facility within secured short-term borrowings. The disclosure does not reconcile this security classification difference.

What secures Shanti Inorgo Chem’s loans and what restrictions apply?

Shanti Inorgo Chem reported Rs 34.30 crore of secured financial indebtedness and Rs 54.82 lakh of unsecured long-term borrowings at May 31, 2026 under the summary classification. State Bank of India’s cash-credit facility is secured by a first and exclusive charge over present and future stock, trade receivables and other current assets. Its term financing is supported by hypothecation of existing and proposed plant and machinery.

The disclosed security package also includes equitable mortgages over a 1,140 square-metre plot at Phase III GIDC, Vatva, Ahmedabad, and 8,601.10 square metres of industrial plots at Chiyada, Bavla, Ahmedabad. HDFC Bank’s security disclosure includes plant and machinery, stock, debtors, export stock, export debtors, and margin fixed deposits. Vehicle loans are secured through hypothecation of the relevant vehicles, with Rs 1.22 crore outstanding in aggregate.

State Bank of India’s disclosed restrictive covenants require prior written permission for changes in capital structure, certain expansion or fixed-asset acquisition plans, further borrowing arrangements, additional charges over secured assets, and specified investments or guarantees. The terms also restrict dividends unless they are paid from the relevant year’s profits after necessary provisions and no repayment default has occurred. These requirements mean the funding structure depends on both repayment and continued compliance with lender conditions.

Personal guarantees disclosed for the State Bank of India facilities were provided by Manojkumar Patel and Avnish Patel. HDFC Bank’s collateral disclosure also refers to personal guarantees of Avanishkumar Manojkumar Patel and Manojbhai Jayantibhai Patel. The supplied material gives differing spellings of the guarantors’ names across these lender disclosures, so the names are reported as stated in each facility description.

Conclusion

Shanti Inorgo Chem’s Rs 34.85 crore May-end borrowing balance was concentrated in machinery term loans and working-capital lines, with Rs 23.09 crore of term loans and Rs 9.99 crore of working-capital facilities. Aggregate borrowings increased by Rs 10.51 crore from Rs 24.34 crore at March 31, 2024 to Rs 34.85 crore at May 31, 2026, while the reported security package covers operating assets, plant and machinery, vehicles and specified industrial properties.

The next disclosed matters to watch are repayment of the State Bank of India machinery term loan through June 10, 2030, use of demand-repayable cash-credit facilities, and compliance with restrictions on additional borrowing and asset charges. The supplied disclosure also leaves unresolved the different May 31, 2026 long-term and short-term classifications between the balance sheet and the financial-indebtedness schedule.