PCBL Chemical Limited announced that its Fund Raising Committee has approved amendments to its Debenture Trust Deed (DTD) to defer the testing of a key financial covenant. Specifically, the testing for “Consolidated Gross Debt / EBITDA” for the financial years 2025-2026 will be postponed. This move is intended to support the company’s planned growth and business expansion. Consequently, a meeting of debenture holders is scheduled for March 13, 2026, to seek necessary approvals.
Corporate Action on Debt Instruments
PCBL Chemical Limited (formerly PCBL Limited) has formalized a decision regarding its outstanding non-convertible debentures, which total up to INR 700,00,00,000. The Fund Raising Committee convened on March 9, 2026, to address necessary amendments to the Debenture Trust Deed (DTD).
Key Agenda Item: Covenant Deferral
The primary focus of the corporate action is Agenda Item 1: the proposal to amend the DTD to defer the testing of the financial covenant related to “Consolidated Gross Debt / EBITDA” specifically for the financial years 2025-2026.
The Rationale provided for this deferral is to strategically support and implement the Company’s planned growth and subsequent business expansion initiatives.
Shareholder/Debenture Holder Approvals Required
To enact this change, the Company is requesting two levels of approval from the debenture holders at a convened meeting:
- Special Approval (representing more than 75% of outstanding Debentures) is required for approving Agenda Item 1 (the covenant deferral).
- Simple Approval (representing more than 50% of outstanding Debentures) is sought for Agenda Item 2, which concerns the ratification/confirmation for procedural matters related to conducting the meeting via Microsoft Teams.
Meeting Details and Notice
In accordance with the DTD provisions, the Issuer requested the Debenture Trustee, Catalyst Trusteeship Limited, to convene a meeting of the Debenture Holders on shorter notice. The meeting is scheduled to take place on March 13, 2026.
The notice detailing these agenda items and the request for a shorter notice meeting was formally sent to the debenture holders by the trustee on March 9, 2026.
The meeting itself will be conducted virtually using Microsoft Teams (MS Teams), and the proceedings may be recorded for documentation purposes.
Source: BSE
