Sagar Cements Limited has announced that its Board of Directors has approved an inter-corporate loan of up to Rs.125 crores to its subsidiary, Andhra Cements Limited. The loan is subject to necessary regulatory approvals and reflects the parent company’s commitment to strengthening its subsidiary’s financial position.
Sagar Cements Limited, a prominent player in the cement industry, disclosed that its Board of Directors, in a meeting held today, has accorded approval for extending financial support to its subsidiary, Andhra Cements Limited. The decision involves providing an inter-corporate loan of up to Rs.125 crores, contingent upon regulatory clearances.
Key Highlights
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The loan aims to bolster Andhra Cements Limited’s operational and financial stability
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Approval was granted during the Board meeting held today
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The sanctioned amount stands at up to Rs.125 crores
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Implementation of the loan is subject to regulatory approvals as required
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The move underscores Sagar Cements’ strategic intent to support its subsidiary’s growth and sustainability
This development is expected to provide Andhra Cements Limited with enhanced liquidity, enabling smoother operations and potentially strengthening its market presence in the cement sector.
Sources: Company filing with BSE, NSE announcements