Media Matrix Worldwide Extends Corporate Guarantee of ₹40 Crores for Subsidiary nexG Devices
Media Matrix Worldwide Ltd (MMWL) has extended a corporate guarantee in favor of Kotak Mahindra Bank Limited on behalf of its subsidiary, nexG Devices Private Limited. This new guarantee amounts to ₹40 Crores and substitutes an earlier corporate guarantee that was valued at ₹80 Crores.The corporation's relationship with the subsidiary is significant, as Media Matrix Worldwide Ltd holds 56.78% of the Paid-Up Share Capital in nexG Devices Private Limited. NexG is described as an established distribution and logistic house with a nationwide footprint, specializing in sales and distribution of innovative products across mobility and IT sectors. The company caters to various market segments and large retail chains through Modern Trade, General Trade, and Online Channels.
The guarantee has been provided by MMWL to Kotak Mahindra Bank Limited to secure fund-based and non-fund-based facilities availed or to be availed by nexG Devices Private Limited.
Details regarding the corporate guarantee and its impact on the listed entity are summarized below:
| Particulars | Details |
|---|---|
| Party Benefiting from Guarantee | NexG Devices Private Limited, a subsidiary of Media Matrix Worldwide Ltd. |
| Nature of Guarantee | Corporate Guarantee in favor of Kotak Mahindra Bank Limited to secure various fund and non-fund based facilities. |
| Guarantee Amount | ₹40 Crores (in substitution of the earlier guarantee amounting to ₹80 Crores). |
| Relationship Status | The corporate guarantee is at arm's length basis, as nexG is a subsidiary of the Company. |
| Financial Impact | The Corporate Guarantee will be disclosed as contingent liabilities in the financial statements of Media Matrix Worldwide Ltd. |
MMWL Stock Price Movement
Media Matrix Worldwide Limited shares edged higher today, settling at ₹13.32 after gaining 1.43%. The stock closed amid strong trading activity, with an intraday range spanning between a low of ₹12.73 and a high of ₹13.50.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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