Jaykay Enterprises Limited has issued a corporate guarantee of ₹40.00 crores to secure credit facilities for its joint venture partner, marking a significant financial commitment to support the operations of JK Phillips LLP. The guarantee was executed on January 02, 2026, in favor of Axis Bank Limited.

Corporate Guarantee Details

The corporate guarantee covers credit facilities for JK Phillips LLP, which operates as a 50:50 joint venture between Jaykay Enterprises Limited and Phillips Machine Tools India Private Limited. Phillips Machine Tools India is a subsidiary of Phillips Corporation, USA, bringing international expertise to the partnership.

Regulatory Compliance and Disclosure

The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, following the SEBI Master Circular dated November 11, 2024. The company has confirmed that the corporate guarantee agreement was executed on an arm's length basis, ensuring transparency in the transaction.

Key regulatory aspects include:

• No promoter or promoter group interest in the transaction
• Transaction conducted on arm's length basis
• Full compliance with SEBI disclosure requirements
• Information hosted on company website for public access

Financial Impact

The corporate guarantee will be treated as a contingent liability on Jaykay Enterprises' books. This financial commitment demonstrates the company's confidence in the joint venture's prospects and its willingness to support the partnership's growth through secured credit facilities.

The guarantee structure provides JK Phillips LLP with enhanced access to banking facilities while maintaining clear accountability frameworks between the joint venture partners.

Jaykay Enterprises Limited has successfully completed its postal ballot process for material related party transactions worth Rs 1,650 crore for the financial year 2025-26. The voting results, declared on December 26, 2025, showed overwhelming shareholder support with approval rates ranging from 99.94% to 99.95% across all 11 resolutions.

Postal Ballot Process and Timeline

The e-voting process was conducted from November 26, 2025, to December 25, 2025, under the supervision of scrutinizer Varuna Mittal from M/s. Varuna Mittal & Associates. The company had 87,329 shareholders on the record date of November 21, 2025.

Detailed Voting Results

All 11 resolutions related to material related party transactions were passed with requisite majority. The voting demonstrated strong shareholder confidence with approximately 190 members participating in the e-voting process representing nearly 6 million shares.

Transaction Entities and Structure

The approved transactions involve various subsidiaries and joint ventures including JK Phillips LLP, Allen Reinforced Plastics Limited (formerly Allen Reinforced Plastics Private Limited), Neumesh Labs Private Limited, JK Defence & Aerospace Limited, and JK Digital & Advance Systems Private Limited. These transactions are designed to support operational efficiency and business growth across the company's diverse portfolio.

Financial Context and Significance

To understand the magnitude of these approved transactions, here's the company's recent financial position:

The approved transactions of Rs 1,650 crore represent a significant portion relative to the company's total assets, underscoring their material nature and potential impact on operations across Jaykay Enterprises' defense, aerospace, and digital manufacturing segments.

Regulatory Compliance and Documentation

The postal ballot process was conducted in full compliance with Section 110 of the Companies Act, 2013, and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary Shikha Rastogi submitted the detailed voting results to BSE Limited and National Stock Exchange of India Limited on December 26, 2025.

With shareholder approval now secured, Jaykay Enterprises can proceed with implementing these strategic related party transactions to enhance operational synergies and support its growth objectives in the defense, aerospace, and digital manufacturing sectors.