S.P. Apparels Limited has extended an unsecured loan facility of GBP 4,50,000 to its wholly owned subsidiary, S.P. Apparels (UK) (P) Limited, to support its business operations in the United Kingdom. The agreement, executed on July 29, 2026, carries an interest rate of 7% per annum payable with annual rests and is repayable on demand or within three years, whichever occurs earlier.

The transaction was disclosed to the Bombay Stock Exchange and the National Stock Exchange under Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended. The disclosure also referenced SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.

Loan Agreement Details

S.P. Apparels Limited holds 100% of the shares in S.P. Apparels (UK) (P) Limited, classifying the transaction as a related-party transaction conducted at arm’s length. The loan is unsecured, meaning no collateral or security has been provided by the borrower. The agreement does not include special rights such as the appointment of directors, first right to share subscription, or restrictions on changes to the capital structure.

Operational Context

The funds are designated exclusively for the business and operations of the UK subsidiary. As a related-party transaction involving a wholly owned entity, the arrangement reflects internal capital allocation strategies rather than external financing dependencies. The absence of security and special rights indicates a standard intercompany lending structure typical for parent-subsidiary relationships.

The company secretary, K. Vinodhini, signed the disclosure, confirming compliance with regulatory requirements. No other promoters, promoter groups, or group companies have an interest in this transaction beyond the listed entities.

sp apparels has issued a corporate guarantee of ₹12.51 crore to The Hongkong and Shanghai Banking Corporation Limited to secure a term loan facility availed by its wholly-owned subsidiary, SP Apparels (UK) P Limited. The disclosure was made to the stock exchanges on July 8, 2026, under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The guarantee amount of ₹12,51,33,300 serves as security for the subsidiary's borrowing, with no immediate financial impact on the parent company other than its classification as a contingent liability in the financial statements.

The transaction involves an interest from the promoter group, as Mr. P. Sundararajan, Chairman & Managing Director of S P Apparels, serves as a director in the UK subsidiary. The company confirmed that the transaction was conducted at arm's length. The guarantee was issued to HSBC UK Bank PLC, formally known as The Hongkong and Shanghai Banking Corporation Limited, to support the credit facility extended to the overseas entity.

Details of the Guarantee

The filing provided specific particulars regarding the guarantee and the parties involved in the transaction. The following table outlines the key details disclosed to the exchanges:

The regulatory reference cited in the disclosure is the SEBI Master Circular HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. K. Vinodhini, Company Secretary and Compliance Officer, signed the disclosure on behalf of S P Apparels.