Modi Rubber Ltd Approves JV Expansion Project Financing

Modi Rubber Limited's Board of Directors has approved the execution of a Letter of Comfort and Undertaking, along with an Inter Se Agreement, concerning the expansion project of its joint venture, Gujarat Guardian Limited (GGL). GGL plans to install a second float glass production line. The financing for this expansion will be a mix of internal accruals and bank borrowings. As a condition for the loan, Modi Rubber and its JV partner, Guardian International LLC USA, must provide comfort for any cost overruns related to the GGL Expansion Project. The Inter Se Agreement will define the rights and obligations of the parties in case of such overruns.