Placement Method: Private placement to eligible investors
Payment Structure
Interest Payment: Quarterly at 11.50% p.a.
Principal Repayment: Three instalments at end of 30 months, 36 months, and 42 months
Security Details
First pari passu charge by way of registered/equitable mortgage and deed of hypothecation over entire immovable and movable fixed assets (present and future) at manufacturing plants in Hassan and Doddaballapur, Karnataka
Negative lien over land admeasuring 4.85 acres located at Sy No. 25, 17/1, 17/2 & 23 at Hassan manufacturing facility
Exclusive charge over Subscription Escrow Account
Demand Promissory Note and Letter of Continuity
Default Provisions
Delay in payment of interest/principal beyond three months from due date: 2% penalty
Additional Information
No special rights/privileges attached to instrument
No history of payment/non-payment comments
No cancellation or termination of proposal
Financial impact: Cash inflow of ₹12.5 crore through debt financing