Antony Waste Handling Cell Limited has issued a corporate guarantee in favor of Kotak Mahindra Bank Limited on behalf of its subsidiary company, Mumbai Eco Solutions Private Limited. The guarantee pertains to credit facilities being availed by the subsidiary company.
Key Details of the Guarantee
- Guarantee Amount: The company's liability is limited to 51% of the total principal sum of ₹9,77,95,000 (Rupees Nine Crore Seventy Seven Lakh Ninety Five Thousand Only)
- Total Facility Size: The credit facilities sanctioned by Kotak Mahindra Bank aggregate up to ₹9,88,75,000 (Rupees Nine Crore Eighty Eight Lakh Seventy-Five Thousand Only)
- Nature of Guarantee: Continuing, irrevocable, and unconditional
- Liability Type: Co-extensive with that of the borrower (Mumbai Eco Solutions Private Limited)
Transaction Details
- Counterparty: Kotak Mahindra Bank Limited
- Beneficiary Subsidiary: Mumbai Eco Solutions Private Limited ("Mumbai Eco")
- Arm's Length Transaction: The promoter/promoter group/group companies have no interest in this transaction
- Invocation Conditions: The guarantee can be invoked upon occurrence of an event of default under the facility documents
Financial Impact
- Contingent Liability: The corporate guarantee constitutes a contingent liability for the company
- Immediate Impact: No immediate impact on the company except to the extent of the guaranteed amount if the subsidiary is unable to meet repayment obligations
- Validity Period: The guarantee remains valid until full repayment, discharge and satisfaction of all obligations under the facility documents