Press Release February 10, 2025 C SQUARE HEALTHCARE PRIVATE LIMITED Rating Downgraded and Issuer not co-operating

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	29.87	ACUITE C | Downgraded | Issuer not co-operating*	-
Total Outstanding	29.87	-	-
Total Withdrawn	0.00	-	-
* The issuer did not co-operate; based on best available information.

Rating Rationale

­Acuité has downgraded its long-term rating to ‘ACUITE C’ (read as ACUITE C) from ‘ACUITE B’ (read as ACUITE B) on Rs. 29.87 crore bank facilities of C Square Healthcare Private Limited. Rationale of Rating Downgrade This rating is now an indicative rating and is based on best available information. The downgrade is based on information risk and delays reported in servicing of debt obligation in credit bureau information report.

About the Company

­Incorporated in 2014, C Square Healthcare Private Limited (CSHPL) is a Bangalore; Karnataka based private limited company engaged in providing healthcare services. The promoters of CSHPL namely Dr. Prakash Ramchandra, Dr. M.C Uthappa, Dr. Srinivas, Dr. K.R Madhava and Dr. Somnath Chatterjee are well trained doctors and hold experience of more than two decades in healthcare services industry. The company set up a new hospital named “Prakriya Hospitals” in Jan, 2019 which is a 200 beds multispecialty hospital focusing initially on key departments like Oncology, GI and Hepatobiliary services, Orthopedic and Neurosciences, Gynecology, Pediatrics, Nephrology and other departments.

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 the 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

This rating is based on information available from sources other than the issuer / borrower (in the absence of information provided by the issuer / borrower) . Acuite endeavoured to gather information about the entity/industry from the public domain. Any rating with the suffix 'Issuer not cooperating' is assigned without any management interaction with the issuer entity or any data / information from the entity. Sometimes this non co-operation by a rated entity may be due to a result of deterioration in the credit risk profile of the entity. 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 Acuite to comment upon."

Liquidity Position

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

Outlook: Not Applicable

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Other Factors affecting Rating

­None

Key Financials

Particulars	Unit	FY 24 (Actual)	FY 23 (Actual)
Operating Income	Rs. Cr.	53.12	45.28
PAT	Rs. Cr.	(6.25)	(25.43)
PAT Margin	(%)	(11.77)	(56.16)
Total Debt/Tangible Net Worth	Times	(4.54)	(7.81)
PBDIT/Interest	Times	0.61	(1.25)

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 • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Service Sector: https://www.acuite.in/view-rating-criteria-50.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 22 Nov 2023 Cash Credit Long Term 2.00 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Term Loan Long Term 9.01 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Cash Credit Long Term 2.00 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Term Loan Long Term 7.32 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 0.99 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 1.07 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 0.90 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 1.13 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 1.99 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Working Capital Term Loan Long Term 1.34 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Proposed Long Term Bank Facility Long Term 1.91 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) Term Loan Long Term 0.21 ACUITE B | Stable (Downgraded from ACUITE BB- | Stable) 24 Aug 2022 Term Loan Long Term 7.11 ACUITE BB- | Stable (Reaffirmed) Working Capital Term Loan Long Term 0.68 ACUITE BB- | Stable (Reaffirmed) Working Capital Term Loan Long Term 2.95 ACUITE BB- | Stable (Reaffirmed) Working Capital Term Loan Long Term 0.09 ACUITE BB- | Stable (Reaffirmed) Working Capital Term Loan Long Term 0.69 ACUITE BB- | Stable (Reaffirmed) Working Capital Term Loan Long Term 2.58 ACUITE BB- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 4.58 ACUITE BB- | Stable (Assigned) Term Loan Long Term 0.21 ACUITE BB- | Stable (Assigned) Cash Credit Long Term 1.00 ACUITE BB- | Stable (Reaffirmed) Term Loan Long Term 8.98 ACUITE BB- | Stable (Reaffirmed) Cash Credit Long Term 1.00 ACUITE BB- | Stable (Reaffirmed) 27 Apr 2022 Cash Credit Long Term 1.00 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Term Loan Long Term 9.11 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Cash Credit Long Term 1.00 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Term Loan Long Term 7.11 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Working Capital Term Loan Long Term 2.18 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Working Capital Term Loan Long Term 1.48 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Working Capital Term Loan Long Term 0.32 ACUITE BB- (Reaffirmed & Issuer not co-operating*) Proposed Long Term Bank Facility Long Term 0.30 ACUITE BB- (Reaffirmed & Issuer not co-operating*)

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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 Union Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Bank of Maharashtra Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.91 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Union Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.21 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Bank of Maharashtra Not avl. / Not appl. Term Loan 01 Jun 2017 Not avl. / Not appl. 01 Dec 2025 9.01 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Union Bank of India Not avl. / Not appl. Term Loan 01 Jun 2017 Not avl. / Not appl. 01 Dec 2025 7.32 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Union Bank of India Not avl. / Not appl. Working Capital Term Loan 01 Sep 2020 Not avl. / Not appl. 01 Sep 2024 0.99 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Bank of Maharashtra Not avl. / Not appl. Working Capital Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.07 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Union Bank of India Not avl. / Not appl. Working Capital Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.90 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Bank of Maharashtra Not avl. / Not appl. Working Capital Term Loan 01 Jun 2020 Not avl. / Not appl. 01 Jun 2024 1.13 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Bank of Maharashtra Not avl. / Not appl. Working Capital Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.99 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B ) Union Bank of India Not avl. / Not appl. Working Capital Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.34 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE B )

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

Contacts

Mohit Jain Senior Vice President - Rating Operations Sanidhya Jain 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.