Sr.

No.
11

Point of discussion
Loan and Debt
(Modification to
Serial No. 4 in the
Addendum dated 30
May, 2016)

SHA Clause
number
Clause 5.2(b)

Particulars
Current Text
In the event the Board determines that Loan Capital
is required, the Board shall seek to adopt a resolution
which shall set forth the purpose for which the Loan
Capital is required, the aggregate amount of the
Loan Capital and the material terms on which such
Loan Capital is to be sourced including the interest
rate and type of debt instrument that will be used to
evidence such Loan Capital. Immediately,
thereafter, the Board shall cause ADP to approach
and obtain from third party lenders, appropriate
proposals for such Loan Capital, which shall be
without recourse to the Private Sector Participant or
their assets except for pledge of Shares owned by
any of the Shareholders. The Directors shall take all
steps necessary to cause ADP to obtain such Loan
Capital from third party lenders including
mortgaging the land acquired by it pursuant to the
power of attorney granted to ADP in terms to
Clause 4.2. It is clarified that, if the third party
lenders requires additional security in the event there
are legal issues arising from land mortgaged by ADP
pursuant to the power of attorney granted as per
Clause 4.2, GoAP shall undertake to provide land
bank and other assets as security for obtaining the
Loan Capital.
Proposed Text
In the event the Board determines that Loan Capital
is required, the Board shall seek to adopt a resolution
which shall set forth the purpose for which the Loan
Capital is required, the aggregate amount of the
Loan Capital and the material terms on which such
Loan Capital is to be sourced including the interest
rate and type of debt instrument that will be used to
evidence such Loan Capital. Immediately,
thereafter, the Board shall cause ADP to approach
and obtain from third party lenders, appropriate
proposals for such Loan Capital, which shall be
without recourse to the Shareholders or their assets
except for pledge of Shares owned by any of the
Shareholders. The Directors shall take all steps

Sr.
No.

Point of discussion

SHA Clause
number

Particulars
necessary to cause ADP to obtain such Loan Capital
from third party lenders including mortgaging the
land acquired by it pursuant to the power of attorney
granted to ADP in terms to Clause 4.2. It is clarified
that, if the third party lenders requires additional
security in the event there are legal issues arising
from land mortgaged by ADP pursuant to the power
of attorney granted as per Clause 4.2, APCRDA
shall undertake to provide 1,691 acres (6.84 sq. km.)
of marketable and encumbrance free land as security
for obtaining the debt from the lenders. Parties agree
that the total marketable and encumbrance free land
extent to be provided by APCRDA for mortgage to
financial institutions shall not exceed the 1,691 acres
(6.84 sq. km.) of the Start-up Area. In an event
where there is impairment in security cover for
reasons other than title issues of land, for any excess
security required beyond 1,691 acres (6.84 sq. km.)
of land and pledge of shares, Shareholders of ADP
shall proportionately contribute additional capital,
subject to obtaining necessary board approvals in
this regard.