Press Release December 11, 2025 PAUL MERCHANTS FINANCE PRIVATE LIMITED Rating Withdrawn

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	900.00	Not Applicable | Withdrawn	-
Total Outstanding	0.00	-	-
Total Withdrawn	900.00	-	-

Rating Rationale

Acuité has withdrawn the long-term rating on the Rs. 796.04 Cr. bank facilities of Paul Merchants Finance Private Limited without assigning any rating as the instrument is fully repaid. The withdrawal is on account of request received from the issuer and No Due Certificate received from the bankers. Acuité has withdrawn the long-term rating on the Rs. 103.96 Cr. proposed bank facilities of Paul Merchants Finance Private Limited without assigning any rating as it is a proposed facility. The withdrawal is on account of request received from the issuer. The rating withdrawal is in accordance with Acuité's policy on withdrawal of rating as applicable to the respective facility / instrument.

About the Company

Chandigarh-based Paul Merchants Finance Private Limited, a venture of the Paul Group of Companies, was established in 2010 as a 100% subsidiary of Paul Merchants Limited, the group’s flagship company listed on the BSE. Promoted by Sat Paul Bansal (Chairman & Managing Director), the company operates as an RBI-regulated NBFC. Its diverse portfolio includes gold loans, loan against property, NBFC financing, prepaid payment instruments , insurance solutions and travel & forex services, reflecting the group’s commitment to comprehensive financial solutions.

About the Group

­Delhi based, Paul Merchants Limited is the flagship Company of renowned ‘PAUL Group of Companies’, a conglomerate having interests in varied fields including foreign exchange, tours & travels, international money transfer, domestic money transfer, etc. The company is a publicly listed company with Bombay stock exchange limited. It holds license issued by Reserve Bank of India to act as authorized dealer category II and is a Sub-Agent of EBIX Money Express Private Limited for providing inbound International Money Transfer services. Further Paul Merchants Limited is an IATA accredited travel agency. The company was incorporated in 1984.

Unsupported Rating

­Not Applicable.

Analytical Approach

Extent of Consolidation- Not Applicable

Rationale for Consolidation or Parent / Group / Govt. Support

­Not Applicable

Key Rating Drivers

Strength

­Not Applicable.

Weakness

­Not Applicable

ESG Factors Relevant for Rating

­Paul Merchants Limited (PML), has a diversified revenue stream with a majority portion accruing from the financial services sector. Adoption and upkeep of strong business ethics is a sensitive material issue for the financial services business linked to foreign exchange market and lending activities. Other important governance issues relevant for the industry include management and board compensation, board independence as well as diversity, shareholder rights and role of audit committee. As regards the social factors, product or service quality has high materiality so as to minimise misinformation about the products to the customers and reduce reputational risks. For the industry, retention, and development of skilled manpower along with equal opportunity for employees is crucial. While data security is highly relevant due to company’s access to confidential client information, social initiatives such as enhancing financial literacy and improving financial inclusion are fairly important for the financial services sector. The material of environmental factors is low for this industry. The company’s board comprises of a total of six directors. PML maintains adequate disclosures with respect to the various board level committees mainly audit committee, nomination and renumeration committee along with stakeholder management committee. PML also maintains adequate level of transparency with regards to business ethics issues like related party transactions, investors grievances, litigations, and regulatory penalties for the group, if relevant. In terms of its social impact, PML is actively engaged in community development programmes through its CSR committee.

Rating Sensitivity

­Not Applicable.

Liquidity Position

­Not Applicable

Outlook: Not Applicable.

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Other Factors affecting Rating

­None

Key Financials - Standalone / Originator

­ Particulars Unit FY25(Actual) FY24(Actual) Total Assets Rs. Cr. 1446.68 997.08 Total Income* Rs. Cr. (0.61) 2.53 PAT Rs. Cr. (3.52) (3.48) Net Worth Rs. Cr. 359.18 277.24 Return on Average Assets (RoAA) (%) (0.29) (0.40) Return on Average Net Worth (RoNW) (%) (1.11) (1.46) Debt/Equity Times 3.02 2.44 Gross NPA (%) 0.21 0.75 Net NPA (%) 0.14 0.66 *Total income equals to Net Interest Income plus other income

Key Financials (Consolidated)

­ Particulars Unit FY25 (Actual) FY24 (Actual) Total Assets Rs. Cr. 1588.22 1153.44 Total Income* Rs. Cr. 81.99 151.34 PAT Rs. Cr. (12.29) (1.75) Net Worth Rs. Cr. 628.88 565.20 Return on Average Assets (RoAA) (%) (0.90) (0.17) Return on Average Net Worth (RoNW) (%) (2.06) (0.33) Debt/Equity Times 1.47 0.87 Gross NPA (%) 0.21 0.75 Net NPA (%) 0.14 0.66 *Total income equals to Net Interest Income plus other income

Status of non-cooperation with previous CRA (if applicable)

­Not Applicable.

Any Other Information

­None

Applicable Criteria

• Non-Banking Financing Entities: https://www.acuite.in/view-rating-criteria-44.htm • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm

Note on complexity levels of the rated instrument

­In order to inform the investors about complexity of instruments, Acuité has categorized such instruments in three levels: Simple, Complex and Highly Complex. Acuite’s categorisation of the instruments across the three categories is based on factors like variability of the returns to the investors, uncertainty in cash flow patterns, number of counterparties and general understanding of the instrument by the market. It has to be understood that complexity is different from credit risk and even an instrument categorized as 'Simple' can carry high levels of risk. For more details, please refer Rating Criteria “Complexity Level Of Financial Instruments” on www.acuite.in.

Rating History

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook 07 Feb 2025 Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 140.00 ACUITE A- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 173.61 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 6.49 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 77.94 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 16.33 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 5.13 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 14.64 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 17.60 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 18.38 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 91.98 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 35.00 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 25.90 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 100.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) 05 Apr 2024 Secured Overdraft Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 7.78 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 160.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 14.64 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 5.13 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 16.33 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 77.94 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 6.49 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 5.83 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Secured Overdraft Long Term 100.00 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 25.90 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 35.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 91.98 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 18.38 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 17.60 ACUITE A- | Stable (Reaffirmed) 06 Sep 2023 Secured Overdraft Long Term 100.00 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 25.90 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 35.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 57.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 22.45 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 24.66 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 18.95 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 2.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 6.43 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 18.66 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 15.55 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 5.90 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Reaffirmed) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 25.00 ACUITE A- | Stable (Assigned) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 55.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 10.00 ACUITE A- | Stable (Assigned) Secured Overdraft Long Term 30.00 ACUITE A- | Stable (Assigned) 17 Mar 2023 Secured Overdraft Long Term 100.00 ACUITE A- | Stable (Reaffirmed) Secured Overdraft Long Term 25.90 ACUITE A- | Stable (Assigned) Secured Overdraft Long Term 20.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 60.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 10.02 ACUITE A- | Stable (Assigned) Secured Overdraft Long Term 2.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 16.67 ACUITE A- | Stable (Assigned) Term Loan Long Term 13.55 ACUITE A- | Stable (Assigned) Term Loan Long Term 7.49 ACUITE A- | Stable (Assigned) Term Loan Long Term 7.29 ACUITE A- | Stable (Assigned) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Term Loan Long Term 20.00 ACUITE A- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 32.08 ACUITE A- | Stable (Assigned) Working Capital Demand Loan (WCDL) Long Term 15.00 ACUITE A- | Stable (Assigned) 19 Jan 2023 Working Capital Term Loan Long Term 100.00 ACUITE A- | Stable (Assigned)

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Annexure - Details of instruments rated

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 93.06 Simple Not Applicable|Withdrawn Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.90 Simple Not Applicable|Withdrawn H D F C Bank Limited Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple Not Applicable|Withdrawn ICICI BANK LIMITED Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 20.00 Simple Not Applicable|Withdrawn State Bank of India Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 100.00 Simple Not Applicable|Withdrawn ICICI BANK LIMITED Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.50 Simple Not Applicable|Withdrawn IDBI Bank Ltd. Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.80 Simple Not Applicable|Withdrawn Union Bank of India Not avl. / Not appl. Secured Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 12.00 Simple Not Applicable|Withdrawn Federal Bank Limited Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. 12 May 2025 4.00 Simple Not Applicable|Withdrawn INDIAN OVERSEAS BANK Not avl. / Not appl. Term Loan 12 Mar 2024 Not avl. / Not appl. 20 Mar 2029 16.00 Simple Not Applicable|Withdrawn H D F C Bank Limited Not avl. / Not appl. Term Loan 27 Jun 2023 Not avl. / Not appl. 01 Jul 2025 4.17 Simple Not Applicable|Withdrawn ESAF Small Finance Bank Not avl. / Not appl. Term Loan 13 Aug 2024 Not avl. / Not appl. 31 Jul 2026 19.46 Simple Not Applicable|Withdrawn H D F C Bank Limited Not avl. / Not appl. Term Loan 27 Sep 2023 Not avl. / Not appl. 28 Sep 2025 12.50 Simple Not Applicable|Withdrawn H D F C Bank Limited Not avl. / Not appl. Term Loan 27 Sep 2023 Not avl. / Not appl. 28 Sep 2025 6.52 Simple Not Applicable|Withdrawn H D F C Bank Limited Not avl. / Not appl. Term Loan 28 Jun 2024 Not avl. / Not appl. 29 Dec 2025 25.00 Simple Not Applicable|Withdrawn INDIAN OVERSEAS BANK Not avl. / Not appl. Term Loan 30 Jan 2025 Not avl. / Not appl. 01 May 2028 50.00 Simple Not Applicable|Withdrawn Mannapuram Finance Ltd. Not avl. / Not appl. Term Loan 25 Apr 2024 Not avl. / Not appl. 31 May 2026 12.21 Simple Not Applicable|Withdrawn Poonwala Fincorp Limited (erstwhile Magma Fincorp Ltd.) Not avl. / Not appl. Term Loan 31 Jul 2024 Not avl. / Not appl. 05 Aug 2026 14.61 Simple Not Applicable|Withdrawn South Indian Bank Not avl. / Not appl. Term Loan 09 Jul 2024 Not avl. / Not appl. 16 Jan 2026 5.00 Simple Not Applicable|Withdrawn State Bank of India Not avl. / Not appl. Term Loan 26 Oct 2023 Not avl. / Not appl. 31 Oct 2026 26.22 Simple Not Applicable|Withdrawn State Bank of India Not avl. / Not appl. Term Loan 07 May 2024 Not avl. / Not appl. 31 May 2027 39.62 Simple Not Applicable|Withdrawn State Bank of India Not avl. / Not appl. Term Loan 09 Jan 2025 Not avl. / Not appl. 29 Feb 2028 97.89 Simple Not Applicable|Withdrawn TATA Capital Financial Service Ltd. Not avl. / Not appl. Term Loan 27 Aug 2024 Not avl. / Not appl. 05 Mar 2027 27.04 Simple Not Applicable|Withdrawn Union Bank of India Not avl. / Not appl. Term Loan 14 Feb 2025 Not avl. / Not appl. 08 Mar 2028 20.00 Simple Not Applicable|Withdrawn TATA Capital Financial Service Ltd. Not avl. / Not appl. Term Loan 27 Jul 2023 Not avl. / Not appl. 05 Feb 2026 4.40 Simple Not Applicable|Withdrawn Capital Small Finance Bank Not avl. / Not appl. Term Loan 17 Sep 2022 Not avl. / Not appl. 30 Sep 2025 3.18 Simple Not Applicable|Withdrawn Cholamandalam Investment Finance Company Ltd. Not avl. / Not appl. Term Loan 12 Dec 2022 Not avl. / Not appl. 10 Feb 2026 2.49 Simple Not Applicable|Withdrawn INDIAN OVERSEAS BANK Not avl. / Not appl. Term Loan 28 Mar 2023 Not avl. / Not appl. 28 Mar 2028 12.00 Simple Not Applicable|Withdrawn State Bank of India Not avl. / Not appl. Term Loan 28 Dec 2022 Not avl. / Not appl. 31 Dec 2027 40.45 Simple Not Applicable|Withdrawn IDBI Bank Ltd. Not avl. / Not appl. Term Loan 28 Mar 2023 Not avl. / Not appl. 01 Apr 2027 7.81 Simple Not Applicable|Withdrawn A U Small Finance Bank Not avl. / Not appl. Term Loan 27 Sep 2023 Not avl. / Not appl. 26 Feb 2026 16.67 Simple Not Applicable|Withdrawn THE KARUR VYSYA BANK LIMITED Not avl. / Not appl. Term Loan 26 Nov 2024 Not avl. / Not appl. 27 Feb 2028 19.44 Simple Not Applicable|Withdrawn IDFC First Bank Limited Not avl. / Not appl. Term Loan 12 Nov 2024 Not avl. / Not appl. 04 Jun 2027 17.99 Simple Not Applicable|Withdrawn Bajaj Finance Ltd. Not avl. / Not appl. Term Loan 15 Jul 2024 Not avl. / Not appl. 22 Jul 2026 7.08 Simple Not Applicable|Withdrawn Capital Small Finance Bank Not avl. / Not appl. Term Loan 28 Apr 2023 Not avl. / Not appl. 01 May 2026 2.31 Simple Not Applicable|Withdrawn Catholic Syrian Bank Not avl. / Not appl. Term Loan 28 Dec 2025 Not avl. / Not appl. 27 Jun 2024 5.00 Simple Not Applicable|Withdrawn IDBI Bank Ltd. Not avl. / Not appl. Term Loan 01 Feb 2022 Not avl. / Not appl. 01 Feb 2026 2.98 Simple Not Applicable|Withdrawn IDBI Bank Ltd. Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.20 Simple Not Applicable|Withdrawn IDFC First Bank Limited Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple Not Applicable|Withdrawn ICICI BANK LIMITED Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 42.50 Simple Not Applicable|Withdrawn South Indian Bank Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple Not Applicable|Withdrawn Catholic Syrian Bank Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 25.00 Simple Not Applicable|Withdrawn Bajaj Finance Ltd. Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple Not Applicable|Withdrawn Catholic Syrian Bank Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple Not Applicable|Withdrawn Union Bank of India Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 18.00 Simple Not Applicable|Withdrawn RBL Bank Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple Not Applicable|Withdrawn

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*Annexure 2 - List of Entities (applicable for Consolidation or Parent / Group / Govt. Support)

­ Particular Company 1) Paul Merchants Limited 2) Paul Merchants Finance Private Limited

Contacts

Mohit Jain Chief Analytical Officer - Rating Operations Tejas Chaugule Analyst - Rating Operations	Contact details exclusively for investors and lenders Mob: +91 8591310146 Email ID: analyticalsupport@acuite.in

About Acuité Ratings & Research

Acuité is a full-service Credit Rating Agency registered with the Securities & Exchange Board of India (SEBI). The company received RBI Accreditation as an External Credit Assessment Institution (ECAI) for Bank Loan Ratings under BASEL-II norms in the year 2012. Acuité has assigned ratings to various securities, debt instruments and bank facilities of entities spread across the country and across a wide cross section of industries. It has its Registered and Head Office in Kanjurmarg, Mumbai. Disclaimer: An Acuité rating does not constitute an audit of the rated entity and should not be treated as a recommendation or opinion that is intended to substitute for a financial adviser's or investor's independent assessment of whether to buy, sell or hold any security. Ratings assigned by Acuité are based on the data and information provided by the issuer and obtained from other reliable sources. Although reasonable care has been taken to ensure that the data and information is true, Acuité, in particular, makes no representation or warranty, expressed or implied with respect to the adequacy, accuracy or completeness of the information relied upon. Acuité is not responsible for any errors or omissions and especially states that it has no financial liability whatsoever for any direct, indirect or consequential loss of any kind, arising from the use of its ratings. Ratings assigned by Acuité are subject to a process of surveillance which may lead to a revision in ratings as and when the circumstances so warrant. Please visit our website (www.acuite.in) for the latest information on any instrument rated by Acuité. Please visit https://www.acuite.in/faqs.htm to refer FAQs on Credit Rating. Note: None of the Directors on the Board of Acuité Ratings & Research Limited are members of any rating committee and therefore do not participate in discussions regarding the rating of any entity.