Press Release October 17, 2024 AVINASH DEVELOPERS PRIVATE LIMITED Rating Downgraded and Issuer not co-operating

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	417.50	ACUITE C | Downgraded | Issuer not co-operating*	-
Total Outstanding	417.50	-	-
Total Withdrawn	0.00	-	-
* The issuer did not co-operate; based on best available information.

Rating Rationale

­Acuité has downgraded long term rating at "ACUITE C" (read as ACUITE C) from "ACUITE BBB" (read as ACUITE triple B) on the Rs.417.50 Crore bank facilities of Avinash Developers Private Limited. The downgraded is on account of information risk. The rating is now flagged as “Issuer Not-Cooperating” on account of information risk and is based on the best available information. Rationale for downgrade As per the reporting in CRIF High mark Report, there is a delay of in debt obligation servicing for one day in August 2024. In addition, there are other accounts wherein couple of days delay has been recorded in the months of April 2024, May 2024 and June 2024. On the basis of information available in public domain, the rating is being downgraded.

About the Company

­Avinash Developers Private Limited, Incorporated in 1997 is based in Raipur. It develops residential & commercial real estate and also operates Magneto Mall in Chhattisgarh. The directors are Mr. Mukesh Singhania, Mr. Aditya Singhania, Mr. Anand Singhania and Mr. Priyank Singhania. Currently, the group is developing 13 projects, which spread over 7 million square feet.

About the Group

­The Avinash Group comprises companies as enumerated below: AIM Infrastructure and Developers Raipur based AIM Infrastructure and Developers is a Partnership firm Establish in 2016. Mr. Anand Singhania and Mr.  Mukesh Singhania is the Partner of Company. The focus of the firm is on developing projects with uncompromising standards of quality. It ensures that it meets the special demands of its discerning customers and provide them with the best option in today's real estate market. Avinash Builders Established in 2014, Avinash Builders is a Partnership firm based in Raipur. The firm is headed by Mr. Anand Singhania and Mr.  Mukesh Singhania. It is involved in developing residential and commercial real estate in Raipur.

Unsupported Rating

­Not Applicable

Non-cooperation by the issuer/borrower

­Acuité has been requesting for data, information and undertakings from the rated entity for conducting surveillance & review of the rating. However, the issuer / borrower failed to submit such information before due date. Acuité believes that information risk is a critical component in such ratings, and non - cooperation by the issuer along with unwillingness to provide information could be a sign of potential deterioration in its overall credit quality. This rating is therefore being flagged as “Issuer not-cooperating”, in line with prevailing SEBI regulations and Acuité’s policies.

Limitation regarding information availability

­The rating is based on information available from sources other than the issuer/borrower (in the absence of information provided by the issuer/borrower). Acuité endeavoured to gather information about the entity/industry from the public domain. Therefore, Acuité cautions lenders and investors regarding the use of such information, on which the indicative credit rating is based.

Rating Sensitivities

­No information provided by the issuer / available for Acuité to comment upon.

Liquidity Position

­No information provided by the issuer / available for Acuité to comment upon.

Outlook

­Not Applicable

Other Factors affecting Rating

­None

Key Financials

Particulars	Unit	FY 22 (Actual)	FY 21 (Actual)
Operating Income	Rs. Cr.	171.45	128.20
PAT	Rs. Cr.	6.58	2.82
PAT Margin	(%)	3.84	2.20
Total Debt/Tangible Net Worth	Times	1.28	1.09
PBDIT/Interest	Times	1.41	1.20

Status of non-cooperation with previous CRA

­Not Applicable

Any other information

­None

Applicable Criteria

• 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 • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Real Estate Entities: https://www.acuite.in/view-rating-criteria-63.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 Jul 2023 Cash Credit Long Term 7.50 ACUITE BBB | Stable (Reaffirmed) Term Loan Long Term 80.00 ACUITE BBB | Stable (Reaffirmed) Term Loan Long Term 5.00 ACUITE BBB | Stable (Assigned) Lease Rental Discounting Long Term 34.76 ACUITE BBB | Stable (Assigned) Term Loan Long Term 17.60 ACUITE BBB | Stable (Assigned) Term Loan Long Term 22.80 ACUITE BBB | Stable (Assigned) Term Loan Long Term 37.00 ACUITE BBB | Stable (Assigned) Proposed Long Term Bank Facility Long Term 103.64 ACUITE BBB | Stable (Assigned) Dropline Overdraft Long Term 13.00 ACUITE BBB | Stable (Assigned) Lease Rental Discounting Long Term 64.20 ACUITE BBB | Stable (Assigned) Term Loan Long Term 32.00 ACUITE BBB | Stable (Assigned) 29 Jun 2023 Cash Credit Long Term 7.50 ACUITE BBB | Stable (Reaffirmed) Term Loan Long Term 80.00 ACUITE BBB | Stable (Reaffirmed) 31 Mar 2022 Cash Credit Long Term 7.50 ACUITE BBB | Stable (Assigned) Proposed Long Term Bank Facility Long Term 7.50 ACUITE BBB | Stable (Assigned) Proposed Long Term Bank Facility Long Term 72.50 ACUITE BBB | 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 Axis Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 7.50 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) State Bank of India Not avl. / Not appl. Dropline Overdraft Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 13.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) HDFC Bank Ltd Not avl. / Not appl. Lease Rental Discounting Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 64.20 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) Axis Bank Not avl. / Not appl. Lease Rental Discounting Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 34.76 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 103.64 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) HDFC Ltd Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 17.60 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) Bank of Baroda Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 22.80 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) State Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 37.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) HDFC Ltd Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 32.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB ) Bank of Baroda Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 85.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BBB )

* The issuer did not co-operate; based on best available information.

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

Sr. No Name of the companies 1 Avinash Developers Private Limited 2 AIM Infrastructure and Developers 3 Avinash Builders

Contacts

Mohit Jain Senior Vice President - Rating Operations Archita Sharma 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.