PCBL Chemical Limited announced that its Fund Raising Committee approved amendments to the Debenture Trust Deed (DTD) to defer the testing of the “Consolidated Gross Debt / EBITDA” financial covenant for the financial years 2025-2026. Consequently, a meeting of non-convertible debenture holders is scheduled for March 13, 2026, to seek approval for this change. This measure aims to support the Company’s planned growth and business expansion initiatives.
Announcement of Debenture Holders’ Meeting
PCBL Chemical Limited issued an intimation on March 9, 2026, regarding the outcome of a recent meeting of its Fund Raising Committee. The Committee formally approved amendments to the existing Debenture Trust Deed (DTD) originally dated January 20, 2024.
Purpose of Amendment: Covenant Deferral
The primary proposal requires the approval of debenture holders to amend the DTD to defer the testing of the financial covenant concerning “Consolidated Gross Debt / EBITDA” specifically for the financial years 2025-2026. The rationale provided is to actively support and facilitate the planned growth and business expansion strategies of the Company.
Meeting Details and Required Approvals
In accordance with the DTD provisions, a meeting of the non-convertible debenture holders is being convened by the Debenture Trustee, Catalyst Trusteeship Limited, on March 13, 2026, to consider and approve these changes.
The agenda items require two levels of approval:
- Agenda Item 1 (Covenant Deferral): Requires a Special Approval, representing more than 75% of outstanding Debentures present and voting.
- Agenda Item 2 (Procedural Matters): Requires a Simple Approval, representing more than 50% of outstanding Debentures present and voting, for ratification concerning the meeting process itself, including its conduct via Microsoft Teams.
The Debenture Trustee is requesting approval from debenture holders to convene this crucial meeting on shorter notice.
Documentation
The draft of the third amendment deed detailing the proposed changes to the DTD, pursuant to Agenda Item 1, is being made available for the perusal and approval of the debenture holders.
Source: BSE
