S.P. Apparels Gives ₹12.51 Cr Corporate Guarantee to UK Subsidiary

S.P. Apparels Limited has issued a corporate guarantee of ₹12.51 crore to The Hongkong and Shanghai Banking Corporation Limited. This guarantee serves as security for a term loan facility availed by its wholly-owned subsidiary, S.P. Apparels (UK) P Limited. The Chairman & Managing Director of S.P. Apparels, Mr. P. Sundararajan, is also a director in the UK subsidiary, and the transaction is stated to be at arm's length. The guarantee is expected to be disclosed as a contingent liability in the company's financial statements, with no other immediate impact.