Ecoboard Industries Ltd. Secures Credit Facility from Indian Overseas Bank
Ecoboard Industries Ltd. announced on March 30, 2026, that it has entered into a Loan Agreement with Indian Overseas Bank. The agreement includes a Cash Credit facility of ₹10,00,00,000 (Rupees Ten Crores Only) and a Bank Guarantee facility of ₹5,00,00,000 (Rupees Five Crores Only).Simultaneously, the company has fully repaid and closed all existing banking facilities with Union Bank of India, including a Bank Guarantee facility of ₹1,98,00,000 (Rupees One Crore and Ninety-Eight Lakhs Only) and a Cash Credit facility of ₹2,00,00,000 (Rupees Two Crores Only), with no outstanding amount as of March 27, 2026.
The agreement's terms include a registered mortgage of Company land located at Village Velapur, Taluka Malshiras, District Solapur, as prime security. Additionally, the Cash Credit facility is secured by hypothecation of stock and book debts, while the Bank Guarantee is secured by a counter indemnity and first charge on the company’s current assets.
| Sr. No. | Details of Events | Brief Particulars |
|---|---|---|
| 1 | Name(s) of parties | Ecoboard Industries Limited (Borrower) and Indian Overseas Bank (Lender) |
| 2 | Purpose of agreement | Working capital and business operational funding |
| 3 | Size of agreement | Cash Credit of ₹10,00,00,000 and Bank Guarantee of ₹5,00,00,000 |
| 6 | Related party | No |
| 9 | Loan Details | Lender: Indian Overseas Bank; Nature: Cash Credit and Bank Guarantee; Total amount: Cash Credit ₹10,00,00,000 and Bank Guarantee ₹5,00,00,000; Date of execution: March 30, 2026 |
Ramakrishna Raju Guttumukkala, Managing Director and CEO, confirmed the transaction.
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