HFCL issues corporate guarantee for subsidiary HTL's Bajaj Finance loan

HFCL Limited has announced it has provided a corporate guarantee to Bajaj Finance Limited, securing a term loan facility for its subsidiary, HTL Limited, amounting to INR 20 crore. This guarantee is intended to support HTL's financial operations.

HTL Limited is a crucial subsidiary of HFCL, with HFCL holding 74% of its paid-up share capital. HTL specializes in manufacturing optical fiber cables (OFC) and passive connectivity solutions, producing key raw materials for OFC and providing electrical wiring interconnect solutions across various industrial sectors.

The corporate guarantee is stated to be an arm's length transaction and will be disclosed as a contingent liability in HFCL's financial statements. This move underscores HFCL's commitment to supporting its subsidiary's financial health and operational continuity.