Press Release April 15, 2025 ARMAN FINANCIAL SERVICES LIMITED Rating Assigned,Reaffirmed and Withdrawn

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	70.00	ACUITE A | Negative | Reaffirmed	-
Non Convertible Debentures (NCD)	50.00	ACUITE A | Negative | Assigned	-
Non Convertible Debentures (NCD)	100.00	ACUITE A | Negative | Reaffirmed	-
Non Convertible Debentures (NCD)	30.00	Not Applicable | Withdrawn	-
Total Outstanding	220.00	-	-
Total Withdrawn	30.00	-	-

Rating Rationale

­Acuité has reaffirmed the long-term rating of 'ACUITE A’ (read as ACUITE A) on the Rs.70.00 Cr. bank facility of Arman Financial Services Limited (AFSL). The outlook is 'Negative'. Acuité has reaffirmed the long-term rating of ‘ACUITE A’ (read as ACUITE A) on the Rs. 100.00 Cr. Non Convertible Debentures of Arman Financial Services Limited (AFSL). The outlook is 'Negative'. Acuité has assigned the long-term rating of ‘ACUITE A’ (read as ACUITE A) on the Rs. 50.00 Cr. Non Convertible Debentures of Arman Financial Services Limited (AFSL). The outlook is 'Negative'. Acuité has withdrawn the long-term rating on the Rs. 30.00 Cr. Non-Convertible Debentures facilities of Arman Financial Services Limited (AFSL) without assigning any rating as the instrument is fully repaid. The withdrawal is on account of request received from client, NOC (No Objection Certificate received from the trustee and in accordance with Acuite's policy on withdrawal of ratings as applicable to the respective facility / instrument. Rationale for the rating. The rating  factors in a significant deterioration in earnings profile, asset quality, which is due to the ongoing stress in the micro-finance (MFI) segment. The profitability has declined significantly from Rs.173.57 Cr. FY24 to Rs. 39.31 Cr. in 9MFY25 due to significant increase in credit cost and significant writeoffs in Q3FY25.The asset quality has deteriorated, marked by a GNPA of 4.13 percent as on December 31, 2024, where the GNPA was 2.91 percent respectively in March 31, 2024. However, the rating takes into account the comfortable capital base, liquidity position and gearing levels. Going forward, the ability of the group to improve its profitably by scale up its operations while mitigating asset quality risk would be a key rating monitorable.

About the Company

­Incorporated in 1992 and promoted by Mr. Jayendra Patel, Arman Financial Services Limited (together with Namra Finance Limited referred to as “Arman Group”) is a non-deposit taking Non-Banking Financial Company registered with RBI. Arman commenced its operations with asset backed finance lending in the state of Gujarat. Following the RBI directive for creating a separate category of NBFC for lending to micro finance sector, the company was the first in India to obtain "NBFC-MFI"license for its wholly owned subsidiary -Namra Finance Limited (Namra) on February 14, 2013. In March 2017, Arman Financial Services Limited also commenced MSME Lending Business. The Company (Arman and Namra together) is mainly engaged into micro-financing and asset backed financing. The company offers two-wheeler and MSME financing and Joint Liability Group (JLG) financing. It is registered in Ahmedabad Gujarat. Arman Financial Services Limited, on a consolidated basis, operates in 10 states i.e Gujarat, Madhya Pradesh, Maharashtra, Uttar Pradesh, Uttarakhand, Rajasthan, Jharkhand, Telangana, Haryana and Bihar spread across 149 districts through a network of 402 branches with Assets Under Management (AUM) at Rs 1,642.15 Cr. as on December 31, 2022. Arman Financial Services Limited’s equity shares were listed on BSE in 1995. Currently, Mr. Jayendrabhai Bhailalbhai Patel, Mrs. Ritaben Jayendrabhai Patel, Mr. Alok Prasad, Mr. Yash Kaushik Shah, Mr. Aalok Jayendra Patel, Mr. Aakash Jayendra Patel, Mrs. Geeta Haresh Solanki are directors of the company.

About the Group

­Namra Finance Limited (NFL) is a wholly owned subsidiary of AFSL which is a Non-Deposit taking NBFC registered with Reserve Bank of India, promoted by Mr. Jayendra Patel. Prior to May 2013, AFSL was engaged in the business of two-wheeler financing and microfinance lending business through Joint Liability Group (JLG) model. However, NFL got an NBFC – Micro Finance Institution license from RBI on February 14, 2013 and from May 2013, entire new microfinance lending is being carried out by NFL. Microfinance lending is presently the largest business segment of the group contributing ~83 percent of the total Assets under Management (AUM) as on March 31, 2024.

Unsupported Rating

­Not Applicable.

Analytical Approach

Extent of Consolidation

•Full Consolidation

Rationale for Consolidation or Parent / Group / Govt. Support

­Acuité has consolidated the business and financial risk profiles of AFSL and NFL (Hereinafter referred to as ‘Arman Group’) for arriving at the rating. The consolidation is in view of common promoters and management, integrated businesses, shared brand name and significant operational and financial linkages between these entities.

Key Rating Drivers

Strength

­Strength Established track record of operations with experienced promoters and management. AFSL has been engaged in the financing business since 1992 and has demonstrated a long track record of operations through various business cycles. Arman commenced its operations with asset backed finance lending in the state of Gujarat and has built a strong experience of 29 years in the industry. Following the RBI directive for creating a separate category of NBFC for lending to micro finance sector, the company was the first in India to obtain "NBFCMFI" license for its wholly owned subsidiary - Namra Finance Ltd (Namra) on February 14, 2013. Accordingly, all the assets related to micro finance were transferred to Namra Finance Limited (NFL). In 2017, company began its MSME loan product segment. The group has geographical presence in the states of Gujarat, Madhya Pradesh, Uttar Pradesh, Maharashtra, Uttarakhand, Rajasthan, Haryana and Bihar with a network of 319 branches spread across 120 districts as on March 31, 2024. The company is promoted by Mr. Jayendra Patel, Vice Chairman and Managing Director, who has 35 years of senior managerial and board level experience in the finance sector. Mr. Patel is the founder member of Gujarat Finance Companies Association. He is supported by Mr. Aalok Patel, Joint Managing Director, who is also on the Board of the company and has more than 15 years of experience in the financial sector. Further, Mr. Alok Prasad is the present Chairman on the Board of AFSL, who is also on the Board of the company and is having 35 years of experience in regulatory, banking and financial services. He has been associated with MFIN as Founder Chief Executive Officer. The Board is well represented by nine directors with adequate and relevant experience in the corporate and finance domains. Acuité believes that the established presence of the promoters and management coupled with effective guidance from the directors on the board, will support the business risk profile of the company in the near to medium term. Modest capital structure. The group’s net worth stood at Rs. 858.81 Cr. as on December 31, 2024 (Rs. 812.69 Cr. as on March 31, 2024). AFSL has adequate capitalization level with Capital Adequacy Ratio of 39.45 percent as on December 31, 2024. The group's consolidated gearing levels stood moderate at 1.48 times as on December 31, 2024. (2.12 times as on March 31, 2024).

Weakness

­Deteriorating asset quality. The asset quality has deteriorated, marked by a GNPA of 4.13 percent as on December 31, 2024, whereas the GNPA levels were at 2.91 percent as on March 31, 2024. The total zero plus dpd as on December 31, 2024 stands at over 12 percent. Since lower collection efficiency rates is one of the predominant factors of stress in the MFI segment, AFSL has also struggled in this facet where the on-time portfolio has declined to ~87.54 percent as on December 31, 2024. On account high write-offs of Rs.125.71 Cr. as on December 31, 2024, the NNPA ratio remains comfortable at 0.67 percent as on December 31, 2024. Acuite believes that the ability of the company to profitably scale-up its operations while maintaining healthy asset quality will be key monitorable. Moderate profitability; increasing credit cost. The group reported a consolidated PAT of Rs. 173.57 Cr. in FY2024 and Rs.39.31 Cr. as on 9MFY25. The deterioration in earnings profile is also backed by increase in overall credit cost and write-offs. Credit cost have gone up to Rs.175.12 Cr. in 9MFY25 and respectively write offs have been proactively taken amounting to Rs.125.71 Cr. The group has established relationships with over 30 lenders; public and private sector bank and financial institutions. The debt profile of the group remains diverse with borrowings through Banks & SFBs, DFIs, NBFC/FIs. Going forward, Acuité expects the group to continue to benefit from a diversified funding mix and also believes that company's ability to contain and curb the credit costs will be a key monitorable.

ESG Factors Relevant for Rating

­Arman Financial Services Limited (AFSL) belongs to the NBFC sector which complements bank lending in India. Some of the material governance issues for the financial services sector are policies and practices with regard to business ethics, board diversity and independence, compensation structure for board and KMPs, role of the audit committee and shareholders’ rights. On the social aspect, some of the critical issues for the sector are the contributions to financial inclusion and community development, responsible financing including environmentally friendly projects and policies around data privacy. The industry, by nature has a low exposure to environmental risks. AFSL focuses towards overcoming the financial inclusion gap through vehicle finance and microfinance in semi-rural and rural areas. The entity has corporate governance policies on whistle-blower programme and vigil mechanism. The NBFC outlines the policies related to diversity, sexual harassment, and ethical business practices in its code of conduct and also has a high transparency in terms of disclosures related to board and management compensation. AFSL’s CSR policy focuses on development of marginalized communities and initiatives such as Hygiene Awareness programmes among rural women in Gujarat. As part of the ‘green initiative’, the company has switched to electronic mode to send annual reports or Notice of AGM to the shareholders and depository participants.

Rating Sensitivity

­Movement in leverage. Movement in asset quality and collection efficiency. Movement in capitalization and liquidity buffers. Movement in profitability metrics.

All Covenants

­ The Financial covenants to be tested on a consolidated basis shall be as under: Capital Adequacy Ratio of 18% (eighteen percent) or such other higher threshold as may be prescribed by the RBI from time to time; The ratio of Financial Indebtedness to Tangible Net Worth shall not exceed 5.5x for the tenor of the instrument. The Company shall at all times maintain a ratio of (x) the sum of Portfolio at Risk over 90 days plus Restructured Loans plus Net Charge-Offs during the last 12 months divided by (y) the Outstanding Gross Loan Portfolio of not greater than 5%. The Company shall maintain the ratio of the sum of (x) Portfolio at Risk over 90 days + Restructured Loans – Loan Loss Reserve) divided by (y) Tier 1 Capital of no more than 10% GNPA of not more than 5% NNPA of not more than 2% Other covenants as agreed in transaction documents All the above covenants shall be tested on quarterly basis on June 30, September 30, December 31, March 31

Liquidity Position

Adequate

­AFSL has adequately matched asset liability profile with accumulative surplus in all maturity buckets. The group has adequate liquidity buffers by way of sufficient cash and cash equivalents of Rs. ~524.73 Cr. as on March 31, 2024.

Outlook

­Negative.

Other Factors affecting Rating

­None

Key Financials - Standalone / Originator

­ Particulars Unit FY24 (Actual) FY23(Actual) Total Assets Rs. Cr. 844.01 563.83 Total Income* Rs. Cr. 90.39 65.30 PAT Rs. Cr. 37.90 28.36 Net Worth Rs. Cr. 534.88 229.36 Return on Average Assets (RoAA) (%) 5.38 6.40 Return on Average Net Worth (RoNW) (%) 9.92 15.32 Debt/Equity Times 0.54 1.40 Gross NPA (%) 2.65 2.64 Net NPA (%) 0.99 0.47 *Total income equals to Net Interest Income plus other income

Key Financials (Consolidated)

­ Particulars Unit FY24 (Actual) FY23(Actual) Total Assets Rs. Cr. 2615.90 2022.70 Total Income* Rs. Cr. 395.72 251.65 PAT Rs. Cr. 173.57 93.81 Net Worth Rs. Cr. 812.69 365.69 Return on Average Assets (RoAA) (%) 7.48 5.78 Return on Average Net Worth (RoNW) (%) 29.46 32.44 Debt/Equity Times 2.12 4.39 Gross NPA (%) 2.91 2.79 Net NPA (%) 0.31 0.16 *Total income equals to Net Interest Income plus other income

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

­Not Applicable

Interaction with Audit Committee anytime in the last 12 months (applicable for rated-listed / proposed to be listed debt securities being reviewed by Acuite)

Yes

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 28 Feb 2025 Cash Credit Long Term 2.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Cash Credit Long Term 0.50 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 0.56 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 3.06 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 0.29 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Proposed Long Term Bank Facility Long Term 21.16 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 6.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 1.43 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Proposed Non Convertible Debentures Long Term 0.20 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 15.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Term Loan Long Term 20.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Non-Covertible Debentures (NCD) Long Term 49.80 ACUITE A | Negative (Reaffirmed (Stable to Negative)) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A | Negative (Reaffirmed (Stable to Negative)) 18 Nov 2024 Cash Credit Long Term 2.00 ACUITE A | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 21.16 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 6.00 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 1.43 ACUITE A | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 0.20 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 15.00 ACUITE A | Stable (Reaffirmed) Term Loan Long Term 20.00 ACUITE A | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 49.80 ACUITE A | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE Not Applicable (Withdrawn) Principal protected market linked debentures Long Term 25.00 ACUITE Not Applicable (Withdrawn) 16 Aug 2024 Cash Credit Long Term 2.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Cash Credit Long Term 0.50 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 0.56 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 3.06 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 0.29 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Proposed Long Term Bank Facility Long Term 21.16 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 6.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 1.43 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Proposed Non Convertible Debentures Long Term 0.20 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 15.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Term Loan Long Term 20.00 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Non-Covertible Debentures (NCD) Long Term 49.80 ACUITE A | Stable (Upgraded from ACUITE A- | Stable) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A | Stable (Upgraded from ACUITE PP-MLD A- | Stable) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A | Stable (Upgraded from ACUITE PP-MLD A- | Stable) 18 Apr 2024 Proposed Non Convertible Debentures Long Term 1.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 39.79 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 9.37 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.43 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A- | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 50.00 ACUITE A- | Stable (Assigned) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 03 Apr 2024 Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 39.79 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 9.37 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.43 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 09 Feb 2024 Non-Covertible Debentures (NCD) Long Term 25.00 ACUITE A- | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 24.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 39.79 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 9.37 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.43 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 21 Aug 2023 Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 4.29 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 14.33 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 31.97 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Proposed Non Convertible Debentures Long Term 1.00 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 49.00 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 06 Jul 2023 Proposed Non Convertible Debentures Long Term 25.00 ACUITE A- | Stable (Assigned) Proposed Non Convertible Debentures Long Term 25.00 ACUITE A- | Stable (Assigned) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 31.97 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 14.33 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 4.29 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 19 May 2023 Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 31.97 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 14.33 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 4.29 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Principal protected market linked debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Reaffirmed) 12 Jan 2023 Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 4.29 ACUITE A- | Stable (Reaffirmed) Non-Covertible Debentures (NCD) Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.29 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 17.30 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 27.00 ACUITE A- | Stable (Reaffirmed) Market Linked Debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Reaffirmed) Proposed Market Linked Debentures Long Term 25.00 ACUITE PP-MLD A- | Stable (Assigned) 30 Sep 2022 Cash Credit Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.42 ACUITE A- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 13.60 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 27.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 6.86 ACUITE A- | Stable (Reaffirmed) Proposed Secured Non-Convertible Debentures Long Term 30.00 ACUITE A- | Stable (Reaffirmed) Proposed Market Linked Debentures Long Term 20.00 ACUITE PP-MLD A- | Stable (Assigned) 11 Apr 2022 Proposed Long Term Bank Facility Long Term 11.93 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 27.00 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 6.86 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.67 ACUITE A- | Stable (Reaffirmed) Proposed Secured Non-Convertible Debentures Long Term 30.00 ACUITE A- | Stable (Assigned) Cash Credit Long Term 2.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 5.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed) Cash Credit Long Term 0.50 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 0.56 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 3.06 ACUITE A- | Stable (Reaffirmed) Term Loan Long Term 1.42 ACUITE A- | Stable (Reaffirmed)

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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 A U Small Finance Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE A | Negative | Reaffirmed IDFC First Bank Limited Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.50 Simple ACUITE A | Negative | Reaffirmed Not Applicable INE109C07089 Non-Convertible Debentures (NCD) 19 Jul 2023 8.82 19 Jul 2025 25.00 Simple ACUITE A | Negative | Reaffirmed Not Applicable INE109C07097 Non-Convertible Debentures (NCD) 25 Apr 2024 10.20 25 Jan 2026 49.80 Simple ACUITE A | Negative | Reaffirmed Not Applicable INE109C07089 Non-Convertible Debentures (NCD) 19 Jul 2023 8.82 19 Jul 2025 24.00 Simple ACUITE A | Negative | Reaffirmed Not Applicable INE109C07030 Non-Convertible Debentures (NCD) 31 Mar 2022 11.80 31 Dec 2024 30.00 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. 21.16 Simple ACUITE A | Negative | Reaffirmed Not Applicable Not avl. / Not appl. Proposed Non Convertible Debentures Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple ACUITE A | Negative | Reaffirmed Not Applicable Not avl. / Not appl. Proposed Non Convertible Debentures Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 50.00 Simple ACUITE A | Negative | Assigned Not Applicable Not avl. / Not appl. Proposed Non Convertible Debentures Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.20 Simple ACUITE A | Negative | Reaffirmed Kotak Mahindra Bank Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. 10 Mar 2025 15.00 Simple ACUITE A | Negative | Reaffirmed IDFC First Bank Limited Not avl. / Not appl. Term Loan 12 Mar 2024 Not avl. / Not appl. 12 Jun 2026 20.00 Simple ACUITE A | Negative | Reaffirmed State Bank of India Not avl. / Not appl. Term Loan 30 Mar 2022 Not avl. / Not appl. 30 Mar 2025 6.00 Simple ACUITE A | Negative | Reaffirmed IDFC First Bank Limited Not avl. / Not appl. Term Loan 08 Mar 2022 Not avl. / Not appl. 08 Mar 2024 1.43 Simple ACUITE A | Negative | Reaffirmed A U Small Finance Bank Not avl. / Not appl. Term Loan 15 Oct 2018 Not avl. / Not appl. 15 Oct 2021 0.56 Simple ACUITE A | Negative | Reaffirmed A U Small Finance Bank Not avl. / Not appl. Term Loan 31 Jul 2019 Not avl. / Not appl. 31 Jul 2022 3.06 Simple ACUITE A | Negative | Reaffirmed IDFC First Bank Limited Not avl. / Not appl. Term Loan 22 Dec 2020 Not avl. / Not appl. 22 Dec 2022 0.29 Simple ACUITE A | Negative | Reaffirmed

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

­ Particular Company 1) Arman Financial Services Limited. 2) Namra Finance Limited.

Contacts

Mohit Jain Senior Vice President - Rating Operations Tejas Chaugule Associate Analyst - Rating Operations	Contact details exclusively for investors and lenders Mob: +91 8591310146 Email ID: analyticalsupport@acuite.in

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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.