Announced Fri, 3 Jul · 20:53 IST

Corporate guarantee for EUR 200 million term facility by subsidiary

New Credit FacilityCredit & Debt View source PDF

MOTHERSON · price

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AI summary

Samvardhana Motherson International will issue a corporate guarantee for a term loan of up to EUR 200 million (about Rs 2,000 crore) taken by its indirect wholly owned subsidiary Motherson Global Investments B.V. from DBS Bank on July 3, 2026. The company potential liability is capped at 105 percent of the facility, i.e. up to EUR 210 million. The guarantee becomes effective within six months of first disbursement and stays valid up to October 31, 2031. No impact on consolidated financials since the borrower is a wholly owned subsidiary.

Likely market impact

Parent stands guarantor for subsidiary loan up to about Rs 2,200 crore, but no consolidated P&L impact; modest contingent liability worth monitoring.