Radiant Cash Management Services Limited , a prominent player in the cash management sector, has taken a significant step to support its subsidiary's financial operations. The company has issued a corporate guarantee worth ₹100 crore on behalf of its subsidiary, Aceware Fintech Services Private Limited, to secure credit facilities from IDFC FIRST BANK LIMITED.

Key Details of the Corporate Guarantee

Implications for Radiant Cash Management

The issuance of this corporate guarantee carries several implications for Radiant Cash Management Services Limited:

1. Financial Reporting: The company will disclose the ₹100.00 crore guarantee as a contingent liability in its standalone financial statements.
2. Consolidated Financials: The actual borrowings by Aceware Fintech Services Private Limited will be recorded in Radiant Cash Management's consolidated financial statements.
3. Regulatory Compliance: The company has adhered to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, by promptly disclosing this material development to the stock exchanges.

Promoter and Group Interest

The company has disclosed that promoters and the promoter group have an interest in this transaction, albeit limited:

• Interest is confined to their equity shareholding in the subsidiary.
• Some promoters hold nominee directorships in Aceware Fintech Services Private Limited, representing Radiant Cash Management Services Limited.

It's important to note that the company has stated that the corporate guarantee was issued on an arm's length basis, in compliance with applicable laws and regulations.

Market Implications

This move by Radiant Cash Management Services Limited demonstrates its commitment to supporting its subsidiary's growth and financial needs. The guarantee could potentially enable Aceware Fintech Services to access necessary credit facilities, which may contribute to its operational expansion and business development.

Investors and market analysts will likely monitor how this guarantee impacts Radiant Cash Management's financial position and the performance of its subsidiary in the coming quarters. As the fintech sector continues to evolve, the strategic support from the parent company could prove crucial for Aceware Fintech Services' competitive positioning in the market.

Radiant Cash Management Services Limited continues to navigate the dynamic financial services landscape, balancing growth opportunities with prudent financial management. The company's proactive disclosure of this corporate guarantee underscores its commitment to transparency and regulatory compliance in its operations.

Radiant Cash Management Services has significantly increased its inter-corporate loan facility to its subsidiary, Aceware Fintech Services Private Limited. The company executed an addendum agreement on September 16, 2025, raising the loan limit from INR 5.00 crores to INR 15.00 crores, effectively tripling the original amount.

Key Details of the Loan Agreement

• Original Agreement Date: August 19, 2025
• Addendum Execution Date: September 16, 2025
• New Loan Limit: Up to INR 15.00 crores (increased from INR 5.00 crores)
• Nature of Loan: Unsecured and repayable on demand
• Current Outstanding Amount: INR 5.00 crores

Relationship and Transaction Nature

Radiant Cash Management Services holds a 58.21% stake in Aceware Fintech, making this a related party transaction. The company has confirmed that the transaction is conducted on an arm's length basis, ensuring fairness and transparency in the deal.

Purpose and Impact

The enhanced loan facility provides Aceware Fintech with additional financial capacity while maintaining all other terms and conditions of the original agreement. This move is likely aimed at supporting the subsidiary's operations and growth initiatives.

Regulatory Compliance

The disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Radiant Cash Management Services has duly informed the National Stock Exchange of India Limited and BSE Limited about this material development.

Management Statement

While no direct quotes were provided, the company's disclosure indicates that this amendment to the loan agreement is part of its ongoing financial strategy to support its subsidiary's operations.

This development showcases Radiant Cash Management Services' commitment to supporting its subsidiary's financial needs while adhering to regulatory requirements and maintaining transparency with its shareholders.