Promoters of Lloyds Metals & Energy have created a non-disposal undertaking (NDU) over 2.34% of the company’s equity shares to secure a rupee term loan facility.

The disclosure, filed with stock exchanges on September 9, 2026, details the encumbrance created in favor of SBICAP Trustee Company Limited. The arrangement stems from financing documents required for the term loan availed by Lloyds Metals.

Encumbrance Details

Blossom Trade & Interchange LLP, a promoter entity, entered into the NDU dated August 25, 2026. The undertaking covers 1,32,00,000 equity shares held by the LLP. This represents a standard contractual restriction preventing the disposal of these shares during the applicable period.

Other promoter group entities also created NDUs on September 4, 2026, as part of the same financing requirement. These include individual promoters and related corporate entities within the promoter group.

Key Promoter Holdings Under NDU

Ownership Structure Impact

The filing clarifies that no pledge has been created over these shares. Legal and beneficial ownership remains with the respective promoters. Voting rights attached to the encumbered shares continue to be exercisable by the LLP and other promoters, subject to the financing documents.

Dividends and other economic benefits arising from these shares also remain with the promoters. There has been no transfer of shares to any third-party demat account; they continue to be held in the promoters’ accounts, subject to the NDU restrictions.

What the Numbers Show

The creation of an NDU rather than a traditional pledge indicates a specific covenant structure in the term loan agreement. While it restricts liquidity by preventing share sales, it preserves the promoters’ control and voting power. This is a less severe encumbrance than a full pledge, where trustees might gain voting rights or control upon default.

Lloyds Metals & Energy promoter group entities have created non-disposal undertakings (NDUs) on a combined 15.73% of the company’s equity shares. The encumbrances, disclosed on September 9, 2026, secure rupee term loan facilities availed by the listed entity.

The filings, made under Regulation 31(1) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, detail NDUs entered into with SBICAP Trustee Company Limited. Unlike pledges, these undertakings restrict share disposal while allowing promoters to retain voting rights and beneficial ownership.

Structure of the Encumbrance

The arrangement is classified as a non-disposal undertaking rather than a pledge. Legal and beneficial ownership of the shares remains with the respective promoter entities, which retain voting rights and entitlement to dividends, subject to financing document terms.

Shares continue to be held in the promoters’ demat accounts without transfer to third-party entities. The restriction prevents disposal of specified shares during the loan tenure, providing lenders assurance against dilution or exit without immediate liquidation rights over the equity.

Promoter Group Holdings

Multiple promoter group entities and individual promoters created new NDUs on September 4, 2026. While Crosslink Food and Farms created an NDU on 9.88% of its holding, Lloyds Metals & Minerals Trading LLP encumbered 2.80% of its stake. Other entities maintained existing positions.

Individual promoters also created NDUs to secure the facility:

• Ravi Babulal Agarwal (2.12%)
• Madhur Rajesh Gupta (1.71%)
• Shreekrishna Mukesh Gupta (1.71%)
• Mukesh Rajnarayan Gupta (0.20%)
• Renu Rajesh Gupta (0.21%)
• Abha Gupta (0.21%)
• Rajesh Rajnarayan Gupta (0.11%)

What the Numbers Show

The creation of NDUs across multiple promoter entities indicates a consolidated approach to securing debt for Lloyds Metals & Energy. With 15.73% of the promoter stake now under new NDUs in this single transaction, lenders sought broad assurance against promoter exit during the loan tenure. This structure preserves control rights while restricting liquidity, suggesting the financing terms prioritize stability of promoter commitment over immediate collateral liquidation.

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