Krishna Defence and Allied Industries Limited — Others, 25-03-2025: Giving guarantees/indemnity/ becoming a surety for third party

Krishna Defence and Allied Industries Limited has announced a board meeting to approve the issuance of Corporate Guarantees amounting to ₹9.00 Crore for borrowings of its associate company, Waveoptix Defence Solutions Private Limited. This move aims to enhance the operational capabilities of Waveoptix by securing financing from institutions such as CapitalXB Finance, Ratnaafin Capital, and Axis Bank.

The provision of this guarantee creates a contingent liability for Krishna Defence, meaning they could face repayment obligations if Waveoptix defaults. Currently, this arrangement poses no immediate impact on Krishna Defence's financial position. Investors may view this as a positive outlook, indicating strategic support for growth while highlighting potential risks associated with contingent liabilities.