Press Release JAIKAR TECHNO PRIVATE LIMITED October 09, 2023 Rating Reaffirmed and Issuer not co-operating

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	4.40	ACUITE BB- | Reaffirmed | Issuer not co-operating*	-
Bank Loan Ratings	9.40	-	ACUITE A4+ | Reaffirmed | Issuer not co-operating*
Total Outstanding Quantum (Rs. Cr)	13.80	-	-

Rating Rationale

Acuité has reaffirmed the long-term rating of ‘ACUITE BB-’ (read as ACUITE double B minus) and short-term rating of ‘ACUITE A4+’ (read as ACUITE A four plus) on the Rs. 13.80 crore bank facilities of Jaikar Techno Private Limited. The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information.

About the Company

Jaikar Techno Private Limited ­(JKTPL), was established in 1998 as a partnership firm and incorporated in April 2010 as a private limited company by Mr. Rajindra Chahal and his family members. Later in 2011 the company commenced its operations after taking over the business of two of its associate concerns ie JK Diesels and Prime Power Services. In FY2014-15, the company also merged its group entity Jas Kar Techno Private Limited. The company is an authorized dealer of Cummins India Limited (CIL) and provides sales & service support for Cummins products. Currently the company has presence in Jharkhand (25 districts), Bihar - (37 districts), Odisha (23 districts), Madhya Pradesh (2 districts), Uttar Pradesh (2 districts), Haryana (3 districts) and Punjab (6 districts). Currently, Mr. Rajinder Singh Chahal and Mr. Joginder Kaur Chahal are the directors of the company. The company's registered office is located in Dhanbad, Jharkhand.

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:

­­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 endeavored 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 Sensitivity

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

All Covenants

­Not Applicable.

Liquidity Position

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

Outlook

­Not Applicable.

Other Factors affecting Rating

­Not Applicable.

Key Financials

Particulars	Unit	FY 21 (Actual)	FY 20 (Actual)
Operating Income	Rs. Cr.	24.71	98.89
PAT	Rs. Cr.	(1.75)	0.48
PAT Margin	(%)	(7.08)	0.49
Total Debt/Tangible Net Worth	Times	0.02	0.51
PBDIT/Interest	Times	(2.37)	2.38

Status of non-cooperation with previous CRA

­Not Applicable.

Any other information

­Acuité is yet to receive the latest No Default Statement (NDS) from the rated entity, despite repeated requests and follow-ups.

Applicable Criteria

• Trading Entities: https://www.acuite.in/view-rating-criteria-61.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

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 13 Jul 2022 Bank Guarantee Short Term 2.95 ACUITE A4+ ( Issuer not co-operating*) Working Capital Demand Loan Long Term 0.28 ACUITE BB- (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 1.00 ACUITE A4+ ( Issuer not co-operating*) Proposed Working Capital Demand Loan Long Term 0.12 ACUITE BB- (Downgraded and Issuer not co-operating*) Standby Line of Credit Short Term 0.45 ACUITE A4+ ( Issuer not co-operating*) Cash Credit Long Term 4.00 ACUITE BB- (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 5.00 ACUITE A4+ ( Issuer not co-operating*) 14 Apr 2021 Bank Guarantee Short Term 2.95 ACUITE A4+ (Issuer not co-operating*) Standby Line of Credit Short Term 0.45 ACUITE A4+ (Issuer not co-operating*) Cash Credit Long Term 4.00 ACUITE BB (Downgraded and Issuer not co-operating*) Proposed Working Capital Demand Loan Long Term 0.12 ACUITE BB (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 5.00 ACUITE A4+ (Issuer not co-operating*) Working Capital Demand Loan Long Term 0.28 ACUITE BB (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 1.00 ACUITE A4+ (Issuer not co-operating*) 14 Jan 2020 Standby Line of Credit Long Term 0.45 ACUITE BB+ (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 1.00 ACUITE A4+ (Downgraded and Issuer not co-operating*) Cash Credit Long Term 4.00 ACUITE BB+ (Downgraded and Issuer not co-operating*) Bank Guarantee Short Term 2.95 ACUITE A4+ (Downgraded and Issuer not co-operating*) Proposed Bank Facility Short Term 0.12 ACUITE A4+ (Downgraded and Issuer not co-operating*) Working Capital Demand Loan Long Term 0.28 ACUITE BB+ (Downgraded and Issuer not co-operating*) Inventory Funding Short Term 5.00 ACUITE A4+ (Downgraded and 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 State Bank of India Not Applicable Bank Guarantee (BLR) Not Applicable Not Applicable Not Applicable 2.95 Simple ACUITE A4+ | Reaffirmed | Issuer not co-operating* State Bank of India Not Applicable Cash Credit Not Applicable Not Applicable Not Applicable 4.00 Simple ACUITE BB- | Reaffirmed | Issuer not co-operating* State Bank of India Not Applicable Inventory Funding Not Applicable Not Applicable Not Applicable 5.00 Simple ACUITE A4+ | Reaffirmed | Issuer not co-operating* State Bank of India Not Applicable Inventory Funding Not Applicable Not Applicable Not Applicable 1.00 Simple ACUITE A4+ | Reaffirmed | Issuer not co-operating* Not Applicable Not Applicable Proposed Working Capital Demand Loan Not Applicable Not Applicable Not Applicable 0.12 Simple ACUITE BB- | Reaffirmed | Issuer not co-operating* State Bank of India Not Applicable Stand By Line of Credit Not Applicable Not Applicable Not Applicable 0.45 Simple ACUITE A4+ | Reaffirmed | Issuer not co-operating* State Bank of India Not Applicable Working Capital Demand Loan (WCDL) Not available Not available Not available 0.28 Simple ACUITE BB- | Reaffirmed | Issuer not co-operating*

Contacts

Analytical Details	Contact Details
Mohit Jain Senior Vice President - Rating Operations Tel: 022–49294017 mohit.jain@acuite.in Suman Paul Analyst - Rating Operations Tel: 022-49294065 suman.paul@acuite.in	Contact details exclusively for investors and lenders Mob: +91 8069217456 Email ID: analyticalsupport@acuite.in Tel: 022-49294011 rating.desk@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.