Press Release June 26, 2024 PAN INTELLECOM LIMITED Rating Downgraded and Issuer not co-operating

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	14.00	ACUITE BB+ | Downgraded | Issuer not co-operating*	-
Bank Loan Ratings	36.00	-	ACUITE A4+ | Downgraded | Issuer not co-operating*
Total Outstanding	50.00	-	-

Rating Rationale

­Acuité has downgraded its long-term rating to ‘ACUITE BB+’ (read as ACUITE Double B plus) from ‘ACUITE BBB-’ (read as ACUITE Triple B minus) and the short term rating to 'ACUITE A4+' (read as ACUITE A four Plus) from 'ACUITE A3' (read as ACUITE A Three) on Rs. 50.00 crore bank facilities of PAN Intellecom Limited. This rating is now an indicative rating and is based on best available information and downgraded is on account of information risk.

About the Company

­­Pan Intellecom Limited (PIL), a Haryana based company was incorporated in May 1992. PIL is engaged in providing system integration of Audio/Video solutions, video surveillance, interactive solutions, security and allied products. The company has rendered services such as multi-media training facility for Police Training College (Delhi), Command and control Room for Defense and Naval HQ, professional sound system for Jawahar Lal Nehru Stadium, New Delhi, Golden Temple Plaza (Amritsar) etc. The company has also executed various projects for Government such as setting up of Board room for ministry of Finance, Ministry of Home Affairs, Ministry of Finance etc. It is promoted by Mr. Harbir Singh Panesar, Mr. Rupinder Panesar and Mr. Ranbir Singh Panesar.

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

­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 base.

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.

Other Factors affecting Rating

­None.

Key Financials

Particulars	Unit	FY 23 (Actual)	FY 22 (Actual)
Operating Income	Rs. Cr.	96.11	103.28
PAT	Rs. Cr.	6.21	5.18
PAT Margin	(%)	6.47	5.01
Total Debt/Tangible Net Worth	Times	0.12	0.09
PBDIT/Interest	Times	11.04	17.69

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 05 Apr 2023 Bank Guarantee (BLR) Short Term 20.00 ACUITE A3 (Reaffirmed) Bank Guarantee (BLR) Short Term 8.00 ACUITE A3 (Assigned) Proposed Short Term Loan Short Term 2.00 ACUITE A3 (Reaffirmed) Proposed Short Term Loan Short Term 6.00 ACUITE A3 (Assigned) Cash Credit Long Term 3.00 ACUITE BBB- | Stable (Reaffirmed) Cash Credit Long Term 2.00 ACUITE BBB- | Stable (Assigned) Proposed Long Term Loan Long Term 9.00 ACUITE BBB- | Stable (Assigned) 20 Jan 2022 Proposed Short Term Bank Facility Short Term 2.00 ACUITE A3 (Assigned) Bank Guarantee (BLR) Short Term 20.00 ACUITE A3 (Assigned) Cash Credit Long Term 3.00 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 Union Bank of India Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 28.00 Simple ACUITE A4+ | Downgraded | Issuer not co-operating* ( from ACUITE A3 ) Union Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE BB+ | Downgraded | Issuer not co-operating* ( from ACUITE BBB- ) Not Applicable Not avl. / Not appl. Proposed Long Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 9.00 Simple ACUITE BB+ | Downgraded | Issuer not co-operating* ( from ACUITE BBB- ) Not Applicable Not avl. / Not appl. Proposed Short Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 8.00 Simple ACUITE A4+ | Downgraded | Issuer not co-operating* ( from ACUITE A3 )

Contacts

Analytical Details	Contact Details
Mohit Jain Senior Vice President - Rating Operations Tel: 022–49294017 mohit.jain@acuite.in Apurva Kumari Associate Analyst - Rating Operations Tel: 022-49294065 apurva.kumari@acuite.in	Contact details exclusively for investors and lenders Mob: +91 8591310146 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.