Nitin Spinners Ltd has informed BSE that an Extra Ordinary General Meeting (EGM) of the members of the Company will be held on March 14, 2008, inter alia, to mortgage and / or charge in addition to the existing mortgages and / or charges and Hypothecations created by the Company on such terms and conditions and at such time or times, and in such form and mariner, as it may deem fit, the whole or substantially the whole of the Company's undertaking or all the undertakings including the present and/or future properties, whether movable or immovable comprised in any existing or new undertaking(s) of the company, as the ease may be, in favour of;-
1. IDBI Bank for securing Corporate Loan of Rs 10.00 crores on the basis of first charge ranking park passu with the other term lenders and
2. Consortium member bank(s) to secure Working Capital Limits of Rs 97.02 Crores advanced / agreed to be lent and. advanced by Oriental Bank of Commerce, Punjab National Bank, Indian Overseas Bank and State Bank of India or any enhancement thereof from time to time on Second charge basis.
The security to be created in the aforesaid manner shall be together with interest at the respective agreed rates, compound interest. additional interest, liquidated damages, commitment charges. premia on prepayment or on redemption, costs charges, expenses and other monies payable by the Company under Loan Agreements as and when entered into by the Company, subject to necessary provisions & approvals.