FMCG major Dabur on Wednesday said it is issuing a corporate guarantee of $27.5 million (Rs 182.16 crore) to Citibank for a term loan to its wholly-owned step down subsidiary Dermoviva Skin Essentials Inc.
"Dabur is issuing a corporate guarantee for an amount of $27 million (Rs 178.848 crore) plus interest thereon and any other costs, charges, fees and expenses in favour of Citibank, N.A. to enable the Bank to grant the term loan facility for an amount $25 million (Rs 165.6 crore) to Dermoviva Skin Essentials Inc, a wholly owned step down subsidiary of Dabur India Ltd," the company said in a BSE filing.
The proceeds of the terms loan facility shall be used to refinance Dermoviva Skin Essentials' working capital line of credit and its other bank loans, Dabur said, adding that the guarantee will be valid and shall remain in force up to June 30, 2021.
