Press Release

Press Release

December 24, 2025

COLOSSAL WAREHOUSE AND LOGISTICS PRIVATE LIMITED
Rating Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	221.50	ACUITE BBB+ \| Stable \| Reaffirmed	-
Bank Loan Ratings	10.00	-	ACUITE A2 \| Reaffirmed
Total Outstanding	231.50	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuité has reaffirmed its long-term rating of 'ACUITE BBB+' (read as ACUITE Triple B plus) and its short-term rating of 'ACUITE A2' (read as ACUITE A two) on the bank facilities of Rs.231.50 Crore of Colossal Warehouse and Logistics Private Limited (CWLPL). The outlook is 'Stable'.

Rationale for rating
The rating draws comfort from the strong and experienced promoter of the company ~ ESR Group along with the presence of DSRA and the escrow mechanism with the bank. Further, the Delhi Project is fully completed and the management is engaging with potential clientele to secure letters of intent (LOI's), which are expected in the near to medium term. Meanwhile, the Rajpura Project is ongoing and is to be executed in three phases. Out of these, one phase (Block 03) is completed and fully leased to JCBL Limited. The average DSCR for the whole project (Delhi and Rajpura) from FY2026 to FY2031 is 1.34 times. However, the rating remains constrained by the ability of the company to timely tie up the LOI’s for the Delhi project and ensure the on-schedule execution of the remaining phases of the Rajpura Project (B02 and B03) and the same will remain key rating sensitivity factors.

About the Company

Incorporated in 2019, Colossal Warehouse and Logistics Private Limited is engaged in the business of acquiring land and developing warehouses on those land parcels for the purpose of renting. Presently it is developing two warehouses at Delhi and Rajpura (Punjab). The company has its registered office at Bandra-Kurla Complex, Bandra (East), Mumbai. The present directors of the company are Mr. Stuart Gibson, Mr. Ishwar Shandilya and Mr. Abhijit Malkani.

Unsupported Rating

Not Applicable

Analytical Approach

Acuite has taken the standalone financial and business risk profile of Colossal Warehouse and Logistics Private Limited to arrive at this rating and notched up the standalone rating by factoring in the strong operational and financial support extended by the ESR Group.

Key Rating Drivers

Strengths

Experienced and Strong Promoter
CWLPL is a special purpose vehicle (SPV), fully owned by ESR Rajpura 1 Pte Ltd. (part of ESR Group), for constructing and managing projects in Delhi and Rajpura. ESR Group is the leading logistics real estate platform focusing on the Asia-Pacific region. It is a comprehensive real estate asset management company that acquires and manages land and buildings, listed REITs, private funds, etc. and develops real estate. ESR entered the Indian market in 2017 with the aim to transform the industrial and logistics space and currently has a presence in 10 cities and around 22 sites across India. Acuite believes that CWLPL will continue to derive benefit from the experience and support extended by its promoters.

Presence of DSRA and ESCROW mechanism
As per the loan agreement, all the cash inflows from lease rentals will be routed directly to the escrow account. In addition, the company is required to maintain the DSRA for three to six months of interest.

Weaknesses

Exposure to project risk
CWLPL is exposed to project risk wherein the company is handling projects at ~ Delhi and Rajpura. The Delhi Project is fully completed. However, the Rajpura project is still under construction wherein the construction of Block 02 and Block 01 are expected to be completed by December, 2026 and March, 2027 respectively and is consequently exposed to execution risk in terms of the completion of the project. However, the risk has been mitigated to an extent by the funds tie-up for the entire project cost and the extended support given by the promoter to fund the debt obligation in case of any shortfalls.

Demand Risk
CWLPL intends to convert the construction (term loan) to lease rental discounting (LRD) loan once 80% to 90% of the LOIs for both the projects are tied up. For the Rajpura Project, Block 03 is completed and has been fully leased to JCBL Limited out of the three blocks (B01, B02 and B03). The lease rentals for the same (Block 03) have started from October, 2025. Meanwhile, for the Delhi Project, the construction is fully completed and lease agreement has been signed with Grasim Industries Limited, Birla Paints Division (Aditya Birla – Paints) for only 5% of the total leasable area. The lease rentals for the same are expected to start from April, 2026. Further, the management is engaging with prospective clientele to secure additional Letters of Intent (LOIs), which are expected in the near to medium term. Acuite believes that the timely execution of LOI tie-ups for the projects will be a key monitorable factor.

Rating Sensitivities

Timely execution of the Rajpura project (Block 02 and Block 03)
Timely tying up of LOI's with the potential clientele for the Delhi project.

Liquidity Position

Adequate

The liquidity position of the company is adequate as reflected by the fund tie-up for the entire under-construction project (Rajpura) and the extended support given by the promoter (ESR Rajpura 1 Pte Ltd.) to cover shortfall, if any in repayment of the debt obligations. The average DSCR for the whole project (Delhi and Rajpura) from FY2026 to FY2031 is 1.34 times. Further, the cash and cash equivalents of the company stood at Rs.12.62 Cr. as on 30th September 2025 as against Rs.11.01 Cr. as on 31st March, 2025. The current ratio of the company stood at 0.86 times as on 31st March, 2025. Acuite expects the liquidity position of the company to remain adequate in the near to medium term supported by its lease rentals.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	0.00	0.00
PAT	Rs. Cr.	(7.38)	(3.77)
PAT Margin	(%)	0.00	0.00
Total Debt/Tangible Net Worth	Times	14.99	12.43
PBDIT/Interest	Times	0.39	0.16

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

Not Applicable

Any other information

None

Applicable Criteria

• 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
• Group And Parent Support: https://www.acuite.in/view-rating-criteria-47.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
25 Sep 2024	Bank Guarantee (BLR)	Short Term	5.00	ACUITE A2 (Assigned)
	Bank Guarantee (BLR)	Short Term	5.00	ACUITE A2 (Assigned)
	Term Loan	Long Term	138.00	ACUITE BBB+ \| Stable (Assigned)
	Term Loan	Long Term	83.50	ACUITE BBB+ \| Stable (Assigned)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
INDUSIND BANK LIMITED	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE A2 \| Reaffirmed
INDUSIND BANK LIMITED	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE A2 \| Reaffirmed
INDUSIND BANK LIMITED	Not avl. / Not appl.	Term Loan	28 Mar 2024	Not avl. / Not appl.	31 May 2026	138.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed
INDUSIND BANK LIMITED	Not avl. / Not appl.	Term Loan	28 Mar 2024	Not avl. / Not appl.	28 Feb 2027	83.50	Simple	ACUITE BBB+ \| Stable \| Reaffirmed

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

S No.	Company Name
1	Colossal Warehouse and Logistics Private Limited
2	ESR Group

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Archita Sharma
Associate 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.