Ventive Hospitality Guarantees USD 39.6 Mn for Subsidiary's Loan

Ventive Hospitality Limited announced that its Board of Directors, in a meeting held on December 23, 2025, approved providing a corporate guarantee for credit facilities sanctioned to its subsidiary, ...

Ventive Hospitality Limited announced that its Board of Directors, in a meeting held on December 23, 2025, approved providing a corporate guarantee for credit facilities sanctioned to its subsidiary, Kudakurathu Island Resorts Private Limited. The total aggregate amount of the corporate guarantee will not exceed USD 39,600,000 (approximately ₹330 crore). This guarantee comprises two parts: an immediate guarantee of USD 12,000,000 (approximately ₹100 crore) and an additional guarantee of USD 27,600,000 (approximately ₹230 crore) which is contingent upon the approval of the company's shareholders through a postal ballot. The credit facilities, sanctioned by ICICI Bank Limited, are for a term loan of USD 36,000,000 (approximately ₹300 crore) to Kudakurathu Island Resorts Private Limited. The interest rate for this facility is set at 3-Month SOFR plus 240 bps, which will remain constant for the entire 7-year tenure from the date of the first disbursement. The company stated that the transaction is at arm's length and that its promoters, promoter group, or group companies have no interest in this transaction. The corporate guarantee constitutes a contingent liability for Ventive Hospitality Limited, with no immediate impact on the company unless the subsidiary is unable to meet its repayment obligations. The announcement was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board Meeting commenced at 9:30 A.M. and concluded at 10:13 A.M.

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Why is Ventive Hospitality Limited in the news today?

Ventive Hospitality Limited (VENTIVE) is in the news due to the company is providing a corporate guarantee for its subsidiary's loan. while this supports the subsidiary's financing, it also introduces a contingent liability for the parent company. the terms are standard for such arrangements, and the transaction is at arm's length, hence the neutral sentiment.

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Ventive Hospitality Guarantees USD 39.6 Mn for Subsidiary's Loan

December 23, 2025, 05:18 AM

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Ventive Hospitality Limited announced that its Board of Directors, in a meeting held on December 23, 2025, approved providing a corporate guarantee for credit facilities sanctioned to its subsidiary, Kudakurathu Island Resorts Private Limited. The total aggregate amount of the corporate guarantee will not exceed USD 39,600,000 (approximately ₹330 crore).

This guarantee comprises two parts: an immediate guarantee of USD 12,000,000 (approximately ₹100 crore) and an additional guarantee of USD 27,600,000 (approximately ₹230 crore) which is contingent upon the approval of the company's shareholders through a postal ballot.

The credit facilities, sanctioned by ICICI Bank Limited, are for a term loan of USD 36,000,000 (approximately ₹300 crore) to Kudakurathu Island Resorts Private Limited. The interest rate for this facility is set at 3-Month SOFR plus 240 bps, which will remain constant for the entire 7-year tenure from the date of the first disbursement.

The company stated that the transaction is at arm's length and that its promoters, promoter group, or group companies have no interest in this transaction. The corporate guarantee constitutes a contingent liability for Ventive Hospitality Limited, with no immediate impact on the company unless the subsidiary is unable to meet its repayment obligations. The announcement was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board Meeting commenced at 9:30 A.M. and concluded at 10:13 A.M.

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