Popular Vehicles and Services Limited — Others, 12-11-2024: Giving guarantees/indemnity/ becoming a surety for third party

Popular Vehicles and Services Ltd is extending a corporate guarantee for its wholly-owned subsidiary, Popular Auto Dealers Pvt Ltd, related to the renewal of Cash Credit from State Bank of India for up to ₹3 crore (cr). This move is intended to support the subsidiary's funding under the Electronic Dealer Funding Scheme. The transaction is executed at arm's length, with no interest from promoters or directors, ensuring transparency.

This announcement may evoke a positive outlook among investors, as it strengthens the subsidiary's financial position while posing minimal direct risk to Popular Vehicles, as the impact is mainly informative for financial reporting.