Samvardhana Motherson International Limited has issued a corporate guarantee of INR 750,000,000 (approximately ₹75 crore) in favour of Mizuho Bank, Ltd. This guarantee is for a credit facility availed by its wholly-owned subsidiary, Yutaka Autoparts India Private Limited. The company states there is no material impact on its financial operations, but the guarantee represents a potential contingent liability.
Corporate Guarantee Issued for Subsidiary Credit Facility
Samvardhana Motherson International Limited announced on September 16, 2026, that it has issued a corporate guarantee in favour of Mizuho Bank, Ltd. This guarantee is to support a credit facility secured by its wholly-owned subsidiary, Yutaka Autoparts India Private Limited (YAIPL).
Facility Details and Company Involvement
YAIPL, which is engaged in the manufacturing and assembly of auto components such as exhaust systems and brake discs, has availed a credit facility aggregating up to INR 750,000,000 (Indian Rupees Seven Hundred Fifty Million only) from the Bank. Samvardhana Motherson’s corporate guarantee serves to secure this aforementioned credit facility. The company’s potential liability under this guarantee is capped at the facility amount plus interest.
Impact on Operations
Despite the issuance of the corporate guarantee, Samvardhana Motherson International Limited has stated that there is no material impact of this arrangement on the financial or operational activities of the Company.
Subsidiary Snapshot
As of March 31, 2026, YAIPL reported total revenues of INR 3824.17 million.
Source: BSE
