<h1>Jaykay Enterprises Ltd enhances corporate guarantee for subsidiary's credit facilities</h1>
Jaykay Enterprises Limited has enhanced its corporate guarantee issued in favor of State Bank of India, supporting the expanded credit facilities availed by Allen Reinforced Plastics Limited. The increase was formalized on July 20, 2026.
The Company initially provided a guarantee to secure credit facilities for Allen Reinforced Plastics Limited (a step down subsidiary), limiting the exposure to not exceeding Rs. 29,22,00,000/-. Jaykay Enterprises has since increased this commitment in favor of State Bank of India to cover enhanced needs of its subsidiary.
The revised guarantee limit is set at not exceeding Rs. 56,27,00,000/-. This transaction reinforces the financial backing provided by Jaykay Enterprises for Allen Reinforced Plastics Limited as it secures greater credit facilities from the bank.
Key details regarding the corporate guarantee enhancement are summarized in the table below:
| Particular | Detail |
|---|---|
| Subsidiary Beneficiary | Allen Reinforced Plastics Limited (formerly Allen Reinforced Plastics Private Limited) |
| Lending Institution | State Bank of India |
| Original Guarantee Limit | Not exceeding Rs. 29,22,00,000/- |
| Enhanced Guarantee Limit | Not exceeding Rs. 56,27,00,000/- |
According to the agreement executed on July 20, 2026, the Promoter and Promoter Group hold no interest in this transaction, confirming that the Corporate Guarantee was issued on an arm's length basis. The guarantee is noted as a contingent liability for Jaykay Enterprises.
JAYKAY Stock Price Movement
Jaykay Enterprises Limited shares closed lower today, shedding 0.07% and settling at ₹167.71 in post-market trading. The stock traded on a volume of 110,059 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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