The Syndicated Loan Agreement is a sophisticated financial instrument used when the size of the required financing exceeds the capacity or risk appetite of a single lender. This document, governed by Indian law and regulated primarily by the Reserve Bank of India (RBI), establishes a framework for multiple lenders to collectively provide financing while sharing risks. It is particularly relevant for large-scale corporate borrowing, project financing, and infrastructure development in India. The agreement comprehensively addresses facility terms, security arrangements, lender rights and obligations, borrower covenants, and administration mechanisms, all while ensuring compliance with Indian banking regulations, including the Banking Regulation Act, 1949, and relevant RBI guidelines. The document includes specific provisions for syndicate operations, including the appointment and role of a facility agent, voting mechanisms, and sharing arrangements among lenders.

1. Parties: Identifies all parties including borrower(s), lenders, facility agent, and security trustee

2. Background: Sets out the context of the loan facility and its purpose

3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and interpretation rules

4. The Facilities: Details of the loan facilities, including amounts, purpose, and availability

5. Conditions Precedent: Conditions that must be satisfied before drawdown

6. Drawdown: Procedures and requirements for utilizing the loan facilities

7. Interest: Interest calculation, periods, rates, and payment provisions

8. Repayment: Terms and schedule for repayment of the facilities

9. Prepayment and Cancellation: Provisions for voluntary and mandatory prepayment and facility cancellation

10. Tax Gross Up and Indemnities: Tax-related provisions and associated indemnities

11. Changes in Circumstances: Provisions dealing with market disruption, increased costs, and illegality

12. Representations and Warranties: Borrower's representations and warranties

13. Information Undertakings: Borrower's obligations to provide financial and other information

14. Financial Covenants: Financial ratios and other financial commitments of the borrower

15. General Undertakings: Borrower's general positive and negative covenants

16. Events of Default: Circumstances constituting default and consequences

17. The Facility Agent and the Lenders: Rights, duties, and obligations of the facility agent and lender relationships

18. Administration: Administrative provisions including payments, calculations, and notices

19. Governing Law and Jurisdiction: Law governing the agreement and jurisdiction for disputes

20. Execution: Execution blocks for all parties