Barak Valley Cements Signs MoU with LKC Industries for Inter-Corporate Loan
Barak Valley Cements Limited announced that it has signed a Memorandum of Understanding (MoU) with M/s LKC Industries and Infra Private Limited. The agreement facilitates the availability of inter-corporate loans to Barak Valley Cements Limited.The MoU allows Barak Valley Cements Limited to avail funds up to an aggregate amount not exceeding Rs. 2,65,00,000/- (Rupees Two Crore Sixty Five Lakhs Only). These funds are earmarked exclusively for meeting operational expenses, working capital requirements, and other lawful business activities undertaken in the ordinary course of business.
Details regarding the loan structure and the related parties were provided in the annexure associated with the agreement. The transaction involves M/s LKC Industries and Infra Private Limited acting as the lender.
Key transaction details emerging from the agreement include:
| Particulars | Details |
|---|---|
| Agreement Counterparty | M/s LKC Industries and Infra Private Limited (LKC) |
| Purpose of Funds | Operational expenses, working capital requirements, and lawful business activities. |
| Total Loan Amount | Rs. 2,65,00,000/- (Rupees Two Crore Sixty Five Lakhs Only) |
| Nature of Loan | Unsecured loan |
| Total Outstanding Amount | Rs 2,50,00,000/- (Rupees Two Crore Fifty Lakhs Only) |
| Date of Execution | May 30, 2026 |
| Security Provided | Nil |
The agreement noted that the promoters of Barak Valley Cements Limited and LKC Industries and Infra Private Limited are the same, classifying the transaction as a related party transaction. However, the transaction is reported to be conducted at arm's length.
The terms stipulated that there were no special rights granted, such as the right to appoint directors or the right to restrict changes in the capital structure. Furthermore, the company confirmed that the loan was structured with no applicable share issuance details or nominee appointments.
BVCL Stock Price Movement
On Friday, Barak Valley Cements Limited shares gained 1.09% to settle at ₹43.16, following the previous close of ₹42.07. The stock finished the session with a total traded volume of 11,289 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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