Financial commitment guarantees must be closed-ended, measured against applicable limits, with invoked amounts treated as lending. Financial commitment through guarantees may be provided by an Indian entity, specified group companies, resident individual promoters, or banks backed by ... Summary
Securities And Exchange Board of India (Issue Of Capital And Disclosure Requirements) Regulations, 2018
Financial commitment guarantees must be closed-ended, measured against applicable limits, with invoked amounts treated as lending.
Financial commitment through guarantees may be provided by an Indian entity, specified group companies, resident individual promoters, or banks backed by eligible counter-guarantees or collateral. Group-company guarantees are independently counted against their financial commitment limit, while a resident promoter's guarantee counts against the Indian entity's limit. Guarantees cannot be open-ended. Invoked amounts are treated as lending, joint and several guarantees are fully counted against each issuer, performance guarantees are counted at half their value, and qualifying roll-overs are not fresh financial commitment.
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