Press Release October 05, 2026 BHAGYANAGAR COPPER PRIVATE LIMITED Rating Assigned and Upgraded

Product	Quantum (Rs. Cr) (SEBI)	Quantum (Rs. Cr) (Other FSR)	Long Term Rating	Short Term Rating	Regulated By
Bank Loan Ratings	0.00	50.00	ACUITE A- | Stable | Assigned	-	RBI
Bank Loan Ratings	0.00	435.00	ACUITE A- | Stable | Upgraded	-	RBI
Total Outstanding	0.00	485.00	-	-	-
Total Withdrawn	0.00	0.00	-	-	-

Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.

Rating Rationale

­Acuite has upgraded its long-term rating to 'ACUITE A-' (read as ACUITE A minus) from 'ACUITE BBB+' (read as ACUITE triple B plus) on the Rs. 435.00 Cr. bank facilities of Bhagyanagar Copper Private Limited (BCPL). The outlook is 'Stable'. Acuite has assigned its long-term rating of 'ACUITE A-' (read as ACUITE A minus) on the Rs. 50.00 Cr. bank facilities of Bhagyanagar Copper Private Limited (BCPL). The outlook is 'Stable'. Rationale for rating upgrade The rating upgrade considers the significant improvement in operating performance of the company which is expected to continue in current fiscal on the back of steady demand and improved realisations. The rating also factors in the company’s established market position of the company in copper business with a diverse product profile along with extensive industry experience of the promoters over four decades in copper manufacturing and benefits of being part of Surana group. The rating also draws comfort from company’s healthy financial risk profile and efficient working capital operations along with adequate liquidity position. However, the rating remains constrained by susceptibility of profitability to volatility in raw material prices, forex risk in a competitive industry.

About the Company

Bhagyanagar Copper Private Limited (BCPL; formerly known as Aanvik Mercantile Private Limited), was incorporated in 2008, and is a wholly owned subsidiary of Bhagyanagar India Limited (BIL). BCPL is engaged in the manufacturing of copper and allied products. The company is based in Hyderabad, Telangana. The company manufactures and supplies a wide range of copper products, including copper rods, strips, pipes, busbars, and sheets. BCPL primarily caters to original equipment manufacturers (OEMs) and has established long-standing relationships with its customers. BCPL operates a manufacturing facility with an installed capacity of 35,000 metric tonnes per annum (MTPA). The current directors of the company are Mr. Rakesh Kumar Agarwal, Mr. Devendra Surana, Ms. Sanjana Jain, Mr. Naresh Chand Bhardwaj, and Mr. Venkateswara Rao Nukala.

About the Group

Bhagyanagar India Limited (BIL) was incorporated in 1985, registered in Hyderabad, Telangana. The company was earlier engaged in the manufacture of copper products with an installed capacity of 10,000 MT per annum, which was subsequently transferred to Bhagyanagar Copper Private Limited (BCPL) as part of business restructuring. The current directors of the company are Mr. Naresh Chand Bhardwaj, Mr. Devendra Surana, Ms. Sanjana Jain, Mr. Venkateswara Rao Nukala, Mr. Chandra Shekhar Agrawal, and Mr. Venkata Murali Krishna Tripuraneni. In addition to its core copper business, BIL has diversified into the non- conventional energy sector and operates a wind power project with an installed capacity of 9 MW at Kapatigudda, Karnataka. BIL is listed on the Bombay Stock Exchange and the National Stock Exchange.

Unsupported Rating

­Not Applicable

Analytical Approach

Extent of Consolidation

•Full Consolidation

Rationale for Consolidation or Parent / Group / Govt. Support

­For arriving at the rating, Acuite has consolidated business and financial risk profiles of Bhagyanagar Copper Private Limited (BCPL)and its holding company Bhagyanagar India Limited (Bil), these companies are together referred to as the “Bhagya Nagar group”. This is because both the companies have the common management, BCPL is a wholly owned subsidiary of BIL, wherein BIL has extended a corporate guarantee to BCPL.

Key Rating Drivers

Strengths

­Extensive industry experience of the promoters BCPL, incorporated in 2008, is promoted by Mr. Rakesh Kumar Agarwal, Mr. Devendra Surana, Ms. Sanjana Jain, Mr. Naresh Chand Bhardwaj, and Mr. Venkateswara Rao Nukala—industry veterans with over four decades of experience in the copper manufacturing sector.  The company derives strategic advantages from being part of the Hyderabad-based Surana Group, a diversified business conglomerate with interests in copper products, wind and solar power generation, and real estate. The Group’s flagship entity, Bhagyanagar India Limited (BIL), was founded in 1985 by Mr. G. M. Surana. BCPL’s operations are also supported by a team of experienced and qualified professionals. further strengthening its business profile. Acuité believes that the experience of promoters and qualified professionals will benefit the company going forward, resulting in steady growth in the scale of operations and profitability. Improvement in scale of operations and profitability margins The group’s operating performance improved significantly in FY2026, with revenue increasing by about 46 percent to Rs. 2,377.83 Cr. from Rs. 1,625.61 Cr. in FY2025 on account of higher sales volumes and realisations, along with an increased contribution from value-added products. Further, the group reported revenue of Rs. 1370.49 Cr. till 5MFY2027 as against Rs. 863.71 Cr. in the same period previous year. The group’s absolute EBITDA increased to Rs. 106.10 Cr. in FY2026 from Rs. 36.99 Cr. in FY2025. Further the EBITDA margin improved to 4.46 percent in FY2026 from 2.28 percent in FY2025. The shift towards higher-margin value added products has resulted in sustained improvement in operating profitability and return metrics. Higher contribution from sectors such as power transmission, green energy, data centres, busbars, motors and automotive applications, coupled with operational efficiency improvements, has further driven margin expansion. The product-mix transformation remains a key focus, with continued efforts to increase the share of value-added products and expand into high-growth segments such as EV infrastructure, solar PV systems, power transmission, data centres, green energy applications and high-efficiency motors. PAT increased to Rs. 50.17 Cr. in FY2026 from Rs. 14.02 Cr. in FY2025, with the PAT margin improving to 2.11 percent from 0.86 percent. Acuite believes that the continued focus on value-added products and improving realisation prices should support steady growth in the group’s scale of operations and profitability over the medium term. Healthy financial risk profile Group’s financial risk profile remained healthy, marked by healthy net worth, low gearing and comfortable debt protection metrics. The net worth of the group stood at Rs. 294.63 Cr. as on March 31st, 2026, against Rs. 281.54 Cr. as on March 31, 2025, due to accretion of profits to reserves. The net worth includes quasi-equity of Rs. 37.08 Cr, comprising unsecured loans from promoters/related parties considered as quasi-equity, as against Rs. 74.16 Cr. as on March 31, 2025. The decline is primarily on account of the repayment of a portion of the unsecured loans during the year. The company has recently completed a preferential equity issuance of Rs. 52.25 Cr. to institutional and non-institutional investors at an issue price of Rs. 348 per share, further improving its net worth in Q2FY27. The gearing of the group stood at 0.75 times as on March 31,2026, as against 0.71 times as on March 31, 2025. Total debt stood at Rs. 221.84 Cr that includes short term debt of Rs. 209.63 Cr, long term debt of Rs. 6.13 Cr and CPLTD of Rs. 6.08 Cr. as on 31 March 2026 as against total debt of RS. 200.97 Cr. as on 31 March 2025. The Group’s debt protection metrics improved marked by Interest coverage ratio (ICR) and debt service coverage ratio (DSCR) at 3.08 times and 2.34 times as on March 31, 2026, respectively as against 2.52 times and 1.45 times as on March 31, 2025, respectively. TOL/TNW stood at 1.15 times as on March 31st, 2026, against 0.85 times as on March 31st, 2025. The debt to EBITDA of the group stood at 2.00 times in March 2026 as against 4.71 times in FY2025. The company currently operates at a capacity of 35,000 MTPA and is targeting further expansion to 45,000 MTPA by Q1FY28. The company has planned a total capex of approximately Rs. 40 Cr. in FY2028 towards capacity enhancement.  The planned capex is expected to be primarily funded through internal accruals. Acuite believes that the financial risk profile will remain healthy over the medium term on the back of steady accruals and no major debt funded capex. Efficient working capital operations Group's working capital operations remained efficient in nature as reflected through the gross current assets (GCA) of 79 days in FY2026 against 87 days in FY2025. The GCA days also includes high other current assets of ~Rs. 85 Cr. which mainly consist of advance to suppliers. Inventory days stood at 37 days in FY2025 compared to 36 days in FY2025. The inventory mainly imported raw materials involve longer lead times and therefore the group needs to maintain higher inventory levels to ensure smooth and uninterrupted production. Debtor days stood at 31 days in FY2026 against 33 days in FY2025. The fund based working capital limits were utilized at an average of ~72.6 percent over the past 7 months ending July 2026. Acuite believes the working capital operations are expected to remain efficient over the medium term.

Weaknesses

Susceptibility to profitability to volatility in raw material prices and forex risk The group faces significant susceptibility to margin erosion due to the high volatility in the prices of metals. Since raw materials constitute a major portion of their production costs, sharp, unexpected price increases can swiftly squeeze profit margins if finished goods prices cannot be adjusted quickly or effectively. This sensitivity necessitates robust risk management strategies, such as hedging and maintaining optimal inventory levels, to mitigate the financial impact of rapid market fluctuations and protect profitability. The company is also exposed to foreign exchange risk, however, the forex risk is partially mitigated through derivative contracts. Exposure to intense competition Due to presence of large number of organized & unorganized players in the industry, the industry is exposed to intense competition. Therefore, scale of operations determines the negotiating power with suppliers and customers, and ability to withstand business downturns.

Rating Sensitivities

Potential triggers (individual or collective) for an upward rating action:

- Significant growth in revenues and profitability margins -Improvement in working capital cycle -Improvement in financial risk profile with DSCR above 4 times on sustained basis

Potential triggers (individual or collective) for a downward rating action:

-Significant decline revenues and profitability -Deterioration in financial risk profile on the back of unexpected debt funded capex or working capital borrowings with debt to EBITDA above 3.00 times and Debt to equity above 1.20 times on sustained basis -Elongation in working capital cycle

Liquidity Position

Adequate

Group’s liquidity is adequate marked by adequate net cash accruals (NCAs) against its repayment obligations. The group has generated cash accruals of Rs. 57.52 Cr during FY2026, against its maturing debt obligations of Rs. 4.02 Cr during the same period. Going forward, the company is expected to generate net cash accruals of ~Rs. 86 Cr and ~Rs. 100 Cr against it’s repayment obligations of ~Rs. 6 Cr and ~Rs. 13 Cr. in FY27 and FY28 respectively. The Group has maintained unencumbered cash and bank balances Rs. 0.11 Cr and the current ratio stood at 1.59 times as on March 31, 2026. Group's working capital operations remained efficient in nature as reflected through the gross current assets (GCA) of 79 days in FY2026 against 87 days in FY2025. The fund based working capital limits were utilized at an average of ~72.6 percent over the past 7 months ending July 2026. Acuite expects that the liquidity of the group is likely to be adequate over the medium term on account of healthy cash accruals.

Outlook: Stable

­

Other Factors affecting Rating

­None

Key Financials

Particulars	Unit	FY 26 (Actual)	FY 25 (Actual)
Operating Income	Rs. Cr.	2377.83	1625.61
PAT	Rs. Cr.	50.17	14.02
PAT Margin	(%)	2.11	0.86
Total Debt/Tangible Net Worth	Times	0.75	0.71
PBDIT/Interest	Times	3.08	2.52

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

­Not Applicable

Any Other Information

Bhagyanagar India Limited (BIL) approved a Composite Scheme of Arrangement on September 20, 2025, comprising the amalgamation of its wholly-owned subsidiary, Bhagyanagar Copper Private Limited (BCPL), with BIL, followed by the demerger of BIL’s copper business into Tieramet Limited. Subsequently, the National Company Law Tribunal (NCLT) approved the scheme on September 7, 2026. As per the approved scheme, shareholders of BIL will receive one equity share of Tieramet Limited for every one equity share held in BIL (1:1 share entitlement ratio). The scheme will become effective from October 1, 2026, and is currently under implementation, with the company undertaking the necessary procedural and regulatory compliances. The listing of Tieramet Limited on the BSE and NSE is expected to be completed by December 31, 2026.

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 • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.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 Jan 2026 Cash Credit Long Term 40.00 ACUITE BBB+ | Stable (Assigned) Term Loan Long Term 10.00 ACUITE BBB+ | Stable (Assigned) Cash Credit Long Term 140.00 ACUITE BBB+ | Stable (Assigned) Cash Credit Long Term 75.00 ACUITE BBB+ | Stable (Assigned) Term Loan Long Term 5.00 ACUITE BBB+ | Stable (Assigned) Cash Credit Long Term 100.00 ACUITE BBB+ | Stable (Assigned) Working Capital Demand Loan (WCDL) Long Term 45.00 ACUITE BBB+ | Stable (Assigned) Proposed Long Term Bank Facility Long Term 20.00 ACUITE BBB+ | Stable (Assigned)

­

­

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

­ Sr.no. Company name 1. Bhagyanagar Copper Private Limited 2. Bhagyanagar India Limited

Contacts

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

List of instruments and names of regulators of the instruments

As required by SEBI Circular (SEBI/HO/DDHS/DDHS-PoD-2/I/4685/2026) dated February 10, 2026, a list of activities or instruments falling under the purview of various Financial Sector Regulators (FSRs), along with the names of respective FSRs, is being disclosed below: A. Rating Activity:   Sr. No. Instrument / activity Name Regulator of the instrument 1 Listed/Proposed to be listed Bonds/Debentures/Preference Shares (all securities) SEBI 2 Unlisted/Proposed to be unlisted Bonds/Debentures/ Preference share (all securities) MCA 3 Listed PTCs / Securitisation Notes (originated by entities regulated by RBI)1 6 RBI 4 Listed PTCs / Securitisation Notes (originated by entities not regulated by RBI)1 SEBI 5 Unlisted PTCs / Securitisation Notes (originated by entities regulated by RBI)1 RBI 6 Listed Commercial Paper and NCDs with original maturity less than 1 year RBI 7 Unlisted Commercial Paper and NCDs with original maturity less than 1 year RBI 8 Loan Facilities (Fund/Non-Fund Based) from Bank / NBFCs/ NHB/ FIs 2 RBI 9 External Commercial Borrowings and other similar borrowings RBI 10 Certificates of Deposit RBI 11 a Fixed Deposits raised by NBFCs, HFCs, FIs RBI 11 b Fixed Deposits raised by Banks 7 + 12 Fixed Deposits raised by corporates other than NBFCs, Banks, HFCs, FIs MCA 13 Inter Corporate Deposits/Loans extended by Corporates MCA 14 Borrowing programme 3 - 15 Issuer Ratings 4 - 16 Credit Ratings for Capital Protection Oriented Schemes (by Mutal Funds and AIFs) SEBI 17 Credit quality ratings (CQRs) for Mutual Fund Schemes and Schemes of AIFs SEBI 18 Listed Security Receipts 6 RBI 19 Unlisted Security Receipts RBI 20 Independent Credit Evaluation (ICE) RBI 21 Expected Loss Ratings (For Loan Facilities [Fund/Non-Fund based] from Banks/NBFCs/NHB/FIs) 7 + 22 Expected Loss Ratings (Listed / Proposed to be listed Bonds / Debentures / Preference Shares (all securities)) SEBI 23 Expected Loss Ratings (Unlisted / Proposed to be unlisted Bonds/ Debentures / Preference Shares (all securities)) MCA 24 Unlisted PTCs / Securitisation Notes (originated by entities not regulated by RBI) 1 Investor-side Regulator such as IRDAI, PFRDA 5   1 Includes securitisation transactions involving assignee payout, acquirer's payout. 2 Includes bank facilities such as liquidity facility, second loss facility that are part of securitisation transactions. 3 The rated instrument may involve issuance of different instruments such as debt securities (listed or otherwise), bank loans, commercial paper (listed or otherwise), etc. The regulator of the instrument may accordingly be SEBI, RBI or MCA and can only be determined upon issuance. In Press Release(s) subsequent to issuance(s), Acuite shall separately capture the rated quantum details along with names of respective regulators. 4 There is no instrument being rated and hence, Regulator of the Instrument is not applicable. The rating scale and definitions are being followed as stipulated in SEBI Master Circular for CRAs. 5 These ratings were assigned during regulatory regime prior to the introduction of SEBI CRA Circular dated Feb 10, 2026 and accordingly, investor side regulators have been included. 6 By virtue of the instrument being listed, SEBI acts as the regulator for listing and related issues. 7 To be finalized following a discussion with the regulatory authorities.   B. Other activities:   Sr. No. Activity Name Regulator of the activity 1 Monitoring Agency SEBI 2 Research activities, incidental to rating, such as research for Economy, Industries and Companies 8 Not applicable 8 permitted by SEBI vide SEBI Master Circular for CRAs. Disclosure on instruments / activities and names of regulators: A list of products/activities or ratings of instruments falling under the purview of various financial sector regulators (FSRs) along with the names of respective FSRs has also been duly disclosed by Acuite on its website. A link to the same has been provided below for ready reference: https://acuite.in/Activities-and-Regulators.html   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.