Puravankara Provides Rs 50 Crore Corporate Guarantee to Wholly Owned Subsidiary
Puravankara Limited has issued a corporate guarantee of Rs 50,00,00,000 to its wholly owned subsidiary Starworth Infrastructure & Construction Limited for purchasing construction equipment and materials from SBM Bank (India) Limited. The transaction was disclosed on March 18, 2026, in compliance with SEBI regulations. While the guarantee creates a contingent liability for Puravankara, the company states there is no current impact as it involves a wholly owned subsidiary within the consolidated group.

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Puravankara Limited has provided a corporate guarantee of Rs 50,00,00,000 (Indian Rupees Fifty Crores only) to its wholly owned subsidiary Starworth Infrastructure & Construction Limited. The guarantee has been issued in favour of SBM Bank (India) Limited and disclosed to stock exchanges on March 18, 2026, in compliance with regulatory requirements.
Transaction Details
The corporate guarantee has been specifically provided to facilitate Starworth Infrastructure & Construction Limited's purchase of construction equipment and materials. The transaction falls under the regulatory framework of Regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
| Parameter | Details |
|---|---|
| Guarantee Amount | Rs 50,00,00,000 (Indian Rupees Fifty Crores only) |
| Beneficiary | Starworth Infrastructure & Construction Limited |
| Bank | SBM Bank (India) Limited |
| Purpose | Purchase of construction equipment and materials |
| Date of Disclosure | March 18, 2026 |
Regulatory Compliance
The disclosure has been made pursuant to SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 issued on July 11, 2023 and last updated on January 30, 2026. The company has confirmed that promoter, promoter group, or group companies do not have any interest in this transaction, with only Starworth Infrastructure & Construction Limited being the interested party.
Financial Impact
According to the company's disclosure, the corporate guarantee represents a contingent liability for Puravankara Limited. However, the company has stated that there is currently no impact of this guarantee on its operations, as it has been provided on behalf of a wholly owned subsidiary that forms part of the consolidated group.
Corporate Structure
Starworth Infrastructure & Construction Limited operates as a wholly owned subsidiary of Puravankara Limited, making this guarantee an intra-group transaction within the company's consolidated structure. The guarantee arrangement supports the subsidiary's operational requirements for construction equipment and materials procurement.
Historical Stock Returns for Puravankara
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.83% | -5.87% | -14.62% | -35.12% | -30.20% | +137.85% |
What major construction projects is Starworth Infrastructure planning that require Rs 50 crore worth of equipment and materials?
How might this significant equipment investment impact Puravankara's consolidated financial leverage and debt ratios in upcoming quarters?
Will this expansion in construction capabilities enable Puravankara to accelerate project delivery timelines or enter new geographical markets?


































