CENTRUMNSECentrum Capital LimitedMediumNeutral
Announced Sat, 14 Jun · 17:56 IST

Centrum Capital Limited has informed the Exchange about Giving guarantees/indemnity/ becoming a surety for third party

New Credit FacilityCredit & Debt View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Centrum Capital Limited has issued a Corporate Guarantee of Rs. 25 Crores in favor of Federal Bank for a term loan availed by its subsidiary, Centrum Housing Finance Limited. The term loan has a tenure of 60 months. The transaction is at arm's length, with no promoter or group company interest. The company has clarified that this guarantee is a contingent liability with no immediate impact on Centrum Capital.

Likely market impact

This is a contingent liability for Centrum Capital, but since the guarantee supports its own subsidiary, it is part of normal intra-group support. Shareholders should note that if the subsidiary defaults, Centrum Capital will be liable to repay up to Rs. 25 Crores to Federal Bank.