JK Tyre - V

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The proposed IFC investment is a senior, secured loan of up to US$100 million to two companies in the JK Tyre Group comprising an A loan of up to US$30 million to JK Tyre and Industries Limited (“JK Tyre” or the “Company”), and up to US$70 million to Cavendish Industries Limited (“Cavendish”), a majority owned subsidiary of JK Tyre, together referred to as the “Borrowers”. The Borrowers are amongst the top four tyre manufacturers in India and amongst the top 19 tyre manufacturers globally by revenues. Proceeds from the investment will be utilized for brownfield expansion of the Borrowers and to refinance and extend the maturity of existing debt of Cavendish (the “Project”). IFC’s investment is proposed to be classified as a Sustainability Linked Loan (“SLL) which will provide performance related incentives to the Company to achieve corporate wide decarbonization and sustainability targets.