Announced Wed, 22 Jul · 19:21 IST
Subam Papers issues Rs 40 Cr corporate guarantee to YES Bank for subsidiary
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Price reaction · full curve 14 horizons · vs prior close
-0.1%1-day move
₹221.25
prior close
—
base price
After-mkt
timing
5m10m15m30m1D2D3D4D5D7D15D1M2M3M
————-0.1+0.3————————
Up moveDown movePending
AI summary
Subam Papers Limited will issue a corporate guarantee of Rs 40 Crore to YES Bank as security for credit facilities for its wholly owned subsidiary, Subam Paper and Boards Private Limited. This covers an existing CC limit of Rs 20 Crore plus a fresh CC limit of Rs 20 Crore. The transaction is at arm's length with no promoter interest. The guarantee creates a contingent liability for Subam Papers if the subsidiary fails to repay.
Likely market impact
Creates a Rs 40 Crore contingent liability for Subam Papers. Supports subsidiary growth but exposes parent to subsidiary debt risk.