CAG-Tech creates encumbrance over 18.81 lakh Sundrop shares
CAG-Tech (Mauritius) Limited has disclosed the creation of a non-disposal undertaking and encumbrance over 18,81,073 equity shares of Sundrop Brands Limited to secure term loan facilities. This new encumbrance, effective June 10, 2026, increases the total shares held under encumbrance by the promoter to 1,65,47,595, which constitutes 43.90% of the total share capital. The disclosure was submitted by Catalyst Trusteeship Limited, acting as the Onshore Security Agent for lenders OCA Fund III Pte. Ltd. and OCA Fund III (B) Pte. Ltd., under Regulation 29(2) of the SEBI SAST Regulations.

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CAG-Tech (Mauritius) Limited has created a non-disposal undertaking and encumbrance over 18,81,073 equity shares of Sundrop Brands Limited , securing term loan facilities availed from lenders. The disclosure, submitted on June 12, 2026, confirms that Catalyst Trusteeship Limited acted as the Onshore Security Agent for the benefit of OCA Fund III Pte. Ltd. and OCA Fund III (B) Pte. Ltd. This transaction increases the total encumbered shares held by the promoter group to 1,65,47,595, representing 43.90% of the company's total share capital.
The encumbrance was created pursuant to a Facility Agreement dated December 16, 2025, and a Non-Disposal Undertaking (NDU) Agreement of the same date. The creation of the hold NDU and encumbrance was effective June 10, 2026. The filing was made to BSE Limited and the National Stock Exchange of India Limited under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
Shareholding and Encumbrance Details
The following table outlines the acquisition of encumbrance and the resulting shareholding position:
| Metric | Number of Shares | % of Total Share Capital | % of Total Diluted Share Capital |
|---|---|---|---|
| Before the acquisition | |||
| Shares under encumbrance | 14,666,522 | 38.91% | 37.44% |
| Acquisition | |||
| New encumbrance created | 18,81,073 | 4.99% | 4.80% |
| After the acquisition | |||
| Total shares under encumbrance | 1,65,47,595 | 43.90% | 42.27% |
Regulatory and Capital Structure
Sundrop Brands Limited's equity share capital consists of 3,76,96,853 equity shares of ₹10 each, aggregating to ₹3,76,968,530. The total diluted share capital stands at 3,91,44,764 equity shares of ₹10 each, aggregating to ₹3,91,447,640. These figures are based on the shareholding pattern for the quarter ended March 31, 2026. The mode of acquisition is specified as by way of encumbrance and covenants in the nature of encumbrance over the equity shares of the target company.
Historical Stock Returns for Sundrop Brands
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.66% | -1.77% | -4.28% | -11.15% | -26.71% | -33.21% |
How will the increased encumbrance level of 43.90% impact the promoter group's ability to raise future capital or meet debt obligations?
What are the potential market reactions to the significant rise in pledged shares regarding investor confidence in Sundrop Brands Limited?
Could this high level of encumbrance trigger any regulatory scrutiny under SEBI takeover regulations if the promoter group's stake changes further?































