Tata Cleantech Capital Limited has granted structured finance secured funding on a obligor- co-obligor basis to the Indian subsidiaries of a German entity engaged in the business of design and construction of solar power plants in Tamil Nadu.

In this transaction, the German parent entity acted as guarantor and pledgor for its Indian subsidiaries and a co-obligor structure among two set of borrowers was envisaged, in addition to an independent security provided by each borrower to ensure more control for the Lender over the Project cash flows and to cover for any shortfall in repayment by either borrower.

Krishnamurthy & Co advised Tata Cleantech Capital by structuring on the transaction structure, advising on the legal and regulatory issues in relation to the security provided by the German based parent company and promoters, co-ordination and working closely with the German law firm, negotiating, drafting and closing of the financing and security documents and drafting of ancillary documents for the Borrowers under very tight timelines.

The transaction team consisted of Zeeshan Khan (Partner), Mallika Jain (Associate) and Abhimanyu Rajguru (Associate).

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