Kirloskar Electric Company Ltd
Execution of Master Facility Agreement for Working Capital Facilities
Main Body
Kirloskar Electric Company Limited has executed a Master Facility Agreement (MFA) with Kotak Mahindra Bank Limited on 12 November 2026 for availing working capital credit facilities aggregating ₹100,00,00,000 (Rupees One Hundred Crore Only). This agreement was approved by the Company's Board of Directors at its meeting held on 26 October 2026.
Key Terms of the Agreement:
- Lender: Kotak Mahindra Bank Limited
- Borrower: Kirloskar Electric Company Limited
- Date of Execution: 12 November 2026
- Total Sanctioned Amount: ₹100,00,00,000/- (Rupees One Hundred Crore Only)
- Purpose: To meet the working capital requirements of the Company
- Nature of Facilities: The facility comprises two components:
- Dropline Overdraft: ₹50,00,00,000/-
- Overdraft against Fixed Deposits: ₹50,00,00,000/-
Security Details:
For Facility 1.1 (Dropline Overdraft of ₹50 crore):
- Current Assets (Stock, Book Debts and other Current Assets)
- Immovable Property situated at Survey No. 16, Thyamagoundlu Hobli, Govenahalli, Bangalore, Karnataka 562132
- Personal Guarantee of Mr. Vijay R. Kirloskar
For Facility 1.2 (Overdraft against Fixed Deposits of ₹50 crore):
- Lien marking on Fixed Deposits equivalent to 100% of OD limit facility
- Corporate Guarantee by Kirloskar Power Equipments Limited, a promoter group company
Additional Details:
- The parties are not related to promoter/promoter group/group companies
- The transaction does not fall within related party transactions
- No special rights have been granted to the Lender (right to appoint directors, first right to share subscription, etc.)
- Total amount outstanding as on the date of execution: Nil