Agribio Spirits Limited has made a disclosure to BSE Limited under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The company is issuing a corporate guarantee to secure a loan facility being availed by Agribiotech Industries Limited, which is described as an associate of the company.
Details of the Corporate Guarantee
Party Receiving Guarantee: Agribiotech Industries Limited (Borrower)
Nature of Transaction: The promoters, promoter group, and group companies have been confirmed to have no interest in this transaction. The corporate guarantee has been provided by the company on an arm's length basis, in compliance with the applicable provisions of the Companies Act, 2013 and the SEBI Listing Regulations.
Guarantee Agreement Details:
- Bank/Lender: Bank of Maharashtra
- Amount of Facility Guaranteed: ₹1,99,00,000/- (Rupees One Crore Ninety-Nine Lacs only)
Impact and Financial Implications
The corporate guarantee provided is classified as a contingent liability for the company. The disclosure states that at this point, there is no impact of this guarantee on the company. The guarantee has been provided on behalf of an associate which is part of the consolidated group.