PURPOSE

The loan shall be utilized only for acquisition of well run existing Hotels/Tourist Resorts.

UPPER LIMIT

The upper limit of funding for acquisition would be 75% of the assets  being acquired.

ELIGIBLE CUSTOMERS

The acquirer/s should convince the Corporation of the unit’s viability

The acquirer/s should have adequate exposure, experience and expertise in running similar enterprise or should have a good business track record.

SECURITY FOR THE LOAN

Assets taken over.

Corporate guarantee/Personal guarantee of the promoters taking over the assets.

The promoters should have adequate solvency and their liabilities, if any, should be within moderate levels.

Collateral cover : 50% of the Term Loan.

REPAYMENT PERIOD

Maximum 6 years including a moratorium upto 6 months to start repayment.