Raama Finance Secures INR 5 Crore Term Loan from Mufin Green Finance Limited
Raama Finance Ltd has secured a term loan amounting to INR 5.00 Crore from Mufin Green Finance Limited. The agreement was executed on July 22, 2026, with the funds designated for onward lending purposes.The transaction details provide insights into the structure and terms of the financing provided by Mufin Green Finance Limited to Raama Finance Ltd.
Loan Details and Terms
Raama Finance Ltd has entered into a Term Loan Agreement with Mufin Green Finance Limited. Key aspects of this financial arrangement, which was signed on July 23, 2026, include the loan size, purpose, and security provisions.The details of the agreement are as follows:
| Aspect | Detail |
|---|---|
| Lender | Mufin Green Finance Limited |
| Purpose of Loan | Term Loan to be utilized for onward lending |
| Total Loan Amount Granted | INR 5.00 Crore (Indian Rupees Five Crores only) |
| Total Outstanding Amount | INR 05.00 Crore (Indian Rupees Five Crores only) |
Security and Conditions
The loan is secured by several provisions, including charges on receivables and a pledge of shares provided by the company's promoters.Key security measures include:
- An exclusive charge on present and future receivables (Net of Financial charges, NPA and other charges) to the extent of 120% of the loan principal outstanding during the course of the loan.
- An exclusive charge by way of hypothecation on the Borrower's receivables up to 1.20x of the facility amount.
- A pledge of shares equivalent to 2.5 times the loan value, provided by the promoters, Akhil Mittal and Pratika Sharma.
Furthermore, the agreement incorporates certain significant terms requiring prior approval from Mufin Green Finance Limited in specific scenarios. These requirements include changes in business structure, entering into merger or acquisition, restructuring, entering transactions outside the ordinary course of business, material changes in management, or entering a management arrangement where operations are handled by another party. Amendments to the Memorandum and Articles of Association are also subject to prior approval, with one exception being an increase in Authorized capital.
Raama Finance Ltd confirmed that there is no relationship between the company and its lender, Mufin Green Finance Limited. The transaction has also been noted as not being a related party transaction.
Stock Price Movement
As of 10:14, Raama Finance Ltd shares are holding steady at ₹18.53, reflecting zero change in the market. The stock has since ranged between a low of ₹18.53 and an intraday high of ₹18.90.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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