One 97 Communications Approves Default Loss Guarantees; Independent Director Ceases Tenure
One 97 Communications Ltd. has approved new default loss guarantee arrangements related to its loan distribution business, while one of its Non-Executive Independent Directors will cease his tenure following subsequent professional commitments.The company sanctioned the provision of a Default Loss Guarantee (DLG) up to ₹90 crore with each specified lending partner. This arrangement is set for loans disbursed by these partners through the existing loan distribution model. The guarantee may be provided in the form of Bank Guarantees or Fixed Deposits.
Financial details concerning this commitment, which is aligned with the company's current business model, are as follows:
| Lending Partner | Guarantee Limit (per partner) | Purpose |
|---|---|---|
| Muthoot Fincorp Limited | Up to ₹90 Crores | Default Loss Guarantee for loans disbursed by the partner. |
| Kisetsu Saison Finance (India) Private Limited | Up to ₹90 Crores | Default Loss Guarantee for loans disbursed by the partner. |
The company, which is professionally managed and has no identified promoter group interest in this transaction, noted that this guarantee represents a financial expense of up to ₹90 crores to each lending partner over time.
Director's Cessation and Company’s Response
Furthermore, Mr. Ashit Ranjit Lilani (DIN:00766821), who was scheduled for re-appointment as a Non-Executive Independent Director, has withdrawn his consent for the second term of five years. This decision followed professional commitments undertaken after the Board's approval of his reappointment on May 06, 2026.Mr. Lilani's current five year tenure as a Non-Executive Independent Director will conclude on July 04, 2026, at the close of business hours. Consequently, he will also cease serving in capacities such as Chairperson of the Nomination and Remuneration Committee and Stakeholders' Relationship Committee, as well as a member of the Audit Committee and Investment Committee. The Board has acknowledged his service and expressed appreciation for the guidance provided during his tenure.
Key details regarding the Director’s cessation are summarized below:
| Role | Status/Action | Cessation Date |
|---|---|---|
| Non-Executive Independent Director | Withdrawal of consent for re-appointment | July 04, 2026 (close of business hours) |
| Committee Roles | Chairperson and Member roles cease as per cessation date | July 04, 2026 |
PAYTM Stock Price Movement
On Thursday, One 97 Communications Limited slipped by 0.35% to close at ₹1059.0, finishing down after trading on the previous day's activity. The equity saw a volume of 2.02 million shares during its session.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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