Shipwaves Online Limited’s Board of Directors has approved the provision of a corporate guarantee. This guarantee will secure credit facilities of up to AED 4,500,000 (approximately ₹116,325,000) for its subsidiary, Shipwaves Online LLC, from Abu Dhabi Commercial Bank PJSC. The guarantee represents a contingent liability for Shipwaves Online Limited but provides the subsidiary with necessary funding for its operations.
Board Approves Corporate Guarantee for Subsidiary Funding
The Board of Directors of Shipwaves Online Limited, at a meeting held on November 14, 2026, has given its approval for the company to provide a corporate guarantee. This guarantee is intended to secure the due repayment of certain credit facilities that will be availed by its subsidiary, Shipwaves Online LLC.
Details of the Credit Facility and Guarantee
The credit facilities are to be obtained by Shipwaves Online LLC from Abu Dhabi Commercial Bank PJSC. The aggregate value of these facilities is up to AED 4,500,000, which is equivalent to approximately ₹116,325,000. The corporate guarantee will act as a security for this amount, thereby supporting the subsidiary’s access to essential funding.
Terms and Impact
The terms of the proposed guarantee are considered to be on an arm’s length basis. While the agreements are yet to be executed, the corporate guarantee will constitute a contingent liability for Shipwaves Online Limited. However, the company will retain the right to recover any amounts paid or obligations discharged under the guarantee from its subsidiary.
The promoter, Mr. Kalandan Mohammed Haris, has an interest in this transaction through his investment in the subsidiary, holding 13% of the paid-up share capital.
Source: BSE
