Archean Chemical Industries Limited Enters Loan Agreement to Support Semiconductor Facility
Archean Chemical Industries Limited announced a loan agreement with its Wholly Owned Subsidiary (WOS) Company, Neun Infra Private Limited, on March 26, 2026. The agreement is intended to fund the procurement of long-lead machinery, equipment, and associated items for the compound semiconductor manufacturing facility of SiCSem Private Limited.SiCSem Private Limited, for which Neun Infra Private Limited is the holding company, has received approval under the India Semiconductor Mission (ISM) of the Government of India. The funding supports the advancement of capital commitments for the facility.
The loan agreement details are as follows:
| Particulars | Details |
|---|---|
| Name of parties | Neun Infra Private Limited |
| Purpose | To provide funding support for the semiconductor business, including procurement of machinery and equipment |
| Size of agreement | Rs. 260 Crs |
| Shareholding | 100% |
| Key terms | Loan repayable over 5 years at an interest rate of 9.00% p.a., with repayments beginning in FY 2031-32 |
| Relationship | Holding and Wholly Owned Subsidiary Company |
| Related party transaction | Yes, at arm's length |
| Lender | Archean Chemical Industries Limited |
| Borrower | Neun Infra Private Limited |
| Loan amount granted | Rs. 560 Crs |
| Loan amount outstanding | Rs. 217 Crs |
| Date of execution | March 26, 2026 |
| Security provided | NIL |
The company noted that it holds 100% equity in Neun Infra Private Limited. Further details of the loan agreement are available on the company website at www.archeanchemicals.com.
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