Prestige Estates Projects Limited announced the issuance of a Corporate Guarantee to support a Term Loan Facility being secured by its subsidiary, Bharatnagar Buildcon LLP. The guarantee, provided on an arm’s length basis, is set up to cover a loan facility of Up to INR. 300 Crores with Canara Bank. While the guarantee represents a contingent liability for the listed entity, management confirms there is no immediate impact on the Company’s financials as it pertains to a wholly-owned subsidiary within the consolidated group.
Corporate Action: Term Loan Guarantee Issued
Prestige Estates Projects Limited has formally disclosed the provision of a Corporate Guarantee in favor of a financial institution. This action is intended to secure a Term Loan Facility being raised by its subsidiary entity, Bharatnagar Buildcon LLP, which operates as the ‘Borrower’ in this transaction. This disclosure was made on February 13, 2026.
Guarantee Details and Terms
The documentation confirms that the guarantee has been structured and executed on an arm’s length basis, adhering to all applicable statutory provisions. The key details of the facility secured by this corporate assurance are:
- Beneficiary/Bank: Canara Bank
- Maximum Facility Amount: Up to INR. 300 Crores
- Promoter Interest: It is confirmed that neither the promoter nor any promoter group companies hold any interest in this specific financing transaction.
Impact Assessment on Listed Entity
The management has assessed the financial implication of providing this corporate assurance. The guarantee constitutes a contingent liability for Prestige Estates Projects Limited. However, since the guarantee is provided on behalf of a subsidiary that is part of the overall consolidated group, the management currently assesses that there is no direct impact on the listed Company at this point in time.
Source: BSE
