Key Transaction Details

  • The Company has provided a bank guarantee in the form of a Stand-by Letter of Credit (SBLC) amounting to $40,00,000 (USD 40 million) or its equivalent
  • The SBLC was issued through HSBC Bank, USA
  • The guarantee supports a Foreign Currency Term Loan (FCTL) availed by CMR Green LLC, USA, which is a wholly owned foreign subsidiary of the Company
  • The FCTL is described as a "Demand/Uncommitted Import Line of Credit"

Transaction Structure and Parties

  • Guarantor: CMR Green Technologies Limited
  • Borrower: CMR Green LLC, USA (wholly owned subsidiary)
  • Lender: HSBC Bank, USA
  • Guarantee Amount: $40,00,000 (USD 40 million)
  • Instrument: Stand-by Letter of Credit (SBLC)

Promoter Interest and Arm's Length Nature

  • The promoters/promoter group do not have any interest in this transaction
  • The guarantee was provided on an arm's length basis
  • The transaction complies with applicable provisions of the Companies Act, 2013 and other applicable laws

Financial Impact Assessment

  • The issuance of Bank Guarantee in the form of SBLC represents a contingent liability for the Company
  • At this point, there is no immediate financial impact on the Company from this guarantee
  • Financial impact not quantified beyond the contingent liability designation

Additional Information

  • The intimation will be available on the Company's website at https://www.cmr.co.in/
  • Document digitally signed by Srishti Saxena, Company Secretary & Compliance Officer (Membership No: A40576)