GNG Electronics Limited has significantly enhanced its working capital facilities through a supplemental agreement with DBS Bank India Ltd, expanding its credit line from ₹300 crore to ₹800 crore. The agreement, executed on March 18, 2026, represents a substantial increase in the company's financial capacity to support its operational requirements.

Agreement Details and Purpose

The Supplemental Working Capital Facilities Agreement serves as an amendment to the principal agreement dated January 29, 2024. The primary objective of this enhancement is to provide additional financial resources for meeting the company's working capital requirements, enabling better operational flexibility and business growth support.

Financial Structure and Security

The enhanced facility maintains a professional banking relationship structure with DBS Bank India Ltd. The security arrangement includes a pari passu charge on the company's current assets, both present and future, providing adequate collateral coverage for the expanded credit line.

The agreement does not involve any equity participation or special rights provisions. DBS Bank India Ltd holds no shareholding in GNG Electronics Limited, and the transaction does not fall under related party transaction categories, ensuring arm's length commercial terms.

Regulatory Compliance and Disclosure

GNG Electronics Limited has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has informed both the National Stock Exchange of India Limited and BSE Limited about this material agreement, maintaining transparency with stakeholders.

Key Transaction Highlights

• Facility Enhancement: Credit limit increased by ₹500 crore
• Utilization: Funds designated for working capital requirements
• Security: Pari passu charge on current assets
• Relationship: No related party involvement
• Compliance: Full regulatory disclosure completed

The supplemental agreement strengthens GNG Electronics Limited's financial position by providing enhanced liquidity support for its business operations. With ₹254 crore currently outstanding against the ₹800 crore facility, the company maintains substantial available credit capacity for future operational needs.

GNG Electronics has significantly expanded its financial partnership with Kotak Mahindra Bank by enhancing its overall credit facility from ₹51.00 crores to ₹75.00 crores through a supplemental agreement executed on March 16, 2026. The company disclosed this development to stock exchanges on March 17, 2026, in compliance with SEBI listing regulations.

Enhanced Credit Facility Details

The supplemental agreement modifies the original Master Facility Agreement dated July 26, 2024, with Kotak Mahindra Bank. The enhanced facility will be utilized for meeting the working capital requirements of the company and provides interchangeability between various facilities.

Security and Terms

The facility is secured by a first pari passu hypothecation charge on all existing and future receivables and current assets of the company. The agreement does not contain any special rights such as the right to appoint directors, first right to share subscription, or restrictions on capital structure changes.

Regulatory Compliance

GNG Electronics has confirmed that this transaction does not fall within related party transactions, as Kotak Mahindra Bank is not related to the promoter, promoter group, or group companies. The company has no shareholding in Kotak Mahindra Bank, maintaining an arm's length banking relationship.

This facility enhancement demonstrates the company's growing financial requirements and Kotak Mahindra Bank's continued confidence in GNG Electronics' business prospects and creditworthiness.