RKF COVID Response

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The proposed investment is by way of (a) subscription to unlisted, secured non-convertible debentures (NCDs) up to INR1,100 million (equivalent to US$14.6 million) issued by Ramkrishna Forgings Limited (“RKFL” or the “Company”), and (b) at IFC’s option, subscription to NCDs and/or an equity/quasi equity instrument, aggregating up to INR400 million (equivalent to US$5.3 million), issued by the Company (the “Project”). The Project will finance the Company’s long-term working capital requirements, maintenance capex and other general corporate purposes at its existing facilities in India and provide a much-needed liquidity during the COVID-19 crisis, which will enable a swift recovery once operations ramp up. RKFL, an existing IFC client, was established in 1981 and is one of the leading forged component manufacturers in India supplying to major manufacturers of commercial vehicles and to the railway sectors. The Company operates six manufacturing plants in the states of Jharkhand and West Bengal.