Antony Waste Handling Cell543254Admin disclosure update

Corporate guarantee extended to bank for subsidiary's credit facilities

Antony Waste Handling Cell has extended a corporate guarantee in favour of Kotak Mahindra Bank Limited for its subsidiary, Mumbai Eco Solutions Private Limited.

By ScoutQuest · Fri 30 Oct 2026, 5:06 PM IST · 2 min read

51%Company's liability – share of outstanding amount

Company's liability – share of outstanding amount: 51%.

Guarantee coverage: 51% of the total principal sum of ~₹ 9.78 crore
Facilities sanctioned: aggregate up to ~₹ 9.89 crore
Liability limit: 51% of the outstanding amount

Guarantee extended

The company has extended a corporate guarantee in favour of Kotak Mahindra Bank Limited for and on behalf of Mumbai Eco Solutions Private Limited, a subsidiary. The guarantee relates to credit facilities being availed by the subsidiary.

The amounts involved

The letter states the guarantee is being issued to the extent of 51% of the total principal sum of ~₹ 9.78 crore.
The annexure describes the credit facilities sanctioned by the bank as aggregating up to ~₹ 9.89 crore.
The company's liability under the guarantee is limited to 51% of the outstanding amount under those facilities.

What a corporate guarantee means

It is a promise that the lender will be paid even if the borrowing subsidiary does not pay. Money does not leave the company today; the obligation would arise only if the subsidiary fails to repay.

Terms described in the update

The guarantee is stated to be continuing, irrevocable and unconditional.
The company's liability as guarantor is described as co-extensive with that of the borrower, subject to the aggregate outstanding amounts due under the facility documents.
The lender can invoke it if an event of default occurs, and it remains valid until all obligations under the facilities are fully repaid.

Impact stated by the company

There is no immediate impact on the company, except to the extent of the guaranteed amount in the event Mumbai Eco is unable to meet its repayment obligations to the lender. The corporate guarantee constitutes a contingent liability for the company.

Related-party point

The promoter, promoter group and group companies are stated to have no interest in this transaction, and the guarantee is stated to be issued at arm's length.

How this can be read

It is a support arrangement for a subsidiary's borrowing rather than a fresh outflow of funds. The size of the exposure is defined by the 51% share of the outstanding amount, which is the figure to track if the subsidiary's repayment position changes.

Also from Antony Waste Handling Cell