Press Release

Press Release

April 08, 2026

SKADE MINERALS LLP
Rating Upgraded

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	80.00	ACUITE A+ \| Stable \| Upgraded	-
Total Outstanding	80.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuité has upgraded its long-term rating to 'ACUITE A+’ (read as ACUITE A plus) from ‘ACUITE A’ (read as ACUITE A) to the Rs.80.00 Cr. bank facilities of Skade Minerals LLP (SML). The outlook is 'Stable'.

Rationale for upgrade
The rating upgrade considers continuous improvement in the scale of operations of the group, same being sustained during the first 9 months of FY2026 backed by robust order book position of Rs. 86,325.89 Cr. as on December 2025, providing long-term revenue visibility. The financial risk profile of group continues to remain healthy with strong debt protection metrics and low gearing. The rating also factors in the extensive experience of the promoters and group’s operating track record of more than three decades in the industry. Further, the rating continues to derive strength from strong liquidity position and established client relationship with presence of long-term contracts with strong counterparties. However, the ratings remain constrained by the working capital-intensive nature of operations and susceptibility to risks related to heightened regulations in the mining industry.

About the Company

Skade Minerals LLP, was established on May 26th, 2023, is a Hyderabad, Telangana-based firm. The partners of the company are Mr. Deepak Induru, Mr. Induru Dheeraj, and Mr. Karthik Bathena, who are also the shareholders of BGR Mining and Infra Limited. The promoters bring extensive experience in industry. The LLP has been (Initially) established for carrying out the operations of the Kerandari MDO project in the Jharkhand region.

About the Group

Incorporated in 2011, BGR Mining and Infra Limited (BGRMIL) is a Hyderabad-based company majorly engaged in two business segments: contract mining and mine development and operations (MDO). BGR (formerly B Girijapathi Reddy & Co.) was set up in 1988 as a partnership firm by Mr. Girijapathy Reddy, Mr. Bathina Umapathy Reddy, and Mr. I. Sudhakara Reddy. It was reconstituted as a private limited company in 2011. The company has a strong presence across multiple states with a fleet of over 1,200 HEMM (Heavy Earth Moving Machineries). The company is currently headed by Mr. B. Umapathy Reddy, Mr. I. Sudhakara Reddy, and the second-generation promoters.

Incorporated on March 2016, BI Mining Private Limited (BMPL) is a Hyderabad, Telangana based company. The company is currently executing the entire work of overburden at BINA Open Cast project (OCP) of Northern Coalfields Limited (NCL) subtracted to them by BGR DECO Consortium Private Limited (BDCPL). BMPL is executing the entire work though leased vehicles as well as though vehicles taken on hire. The company is currently headed by Mr. Umapathy Reddy Bathina and Mr. Induru Sudhakara Reddy.

Incorporated on June 2020, BGR Deco Consortium Private Limited (BDCPL) is a joint venture of BGR Mining & Infra Limited (BGRMIL) and Dhansar Engineering Company Private Limited (DECO). BGR Mining & Infra Limited is holding 51 per cent of shares and DECO is holding 49 per cent of shares. Initially, the JV was formed as association of person on Jan, 2022, the constitution changed to Private Limited bearing its current name. The company is bagged one large size tender from Northern Coalfields Limited and has subcontracted the same to BMPL, a group entity of BGRMIL. The company is currently headed by Mr. Harsh Agarwalla from DECO and Mr. Induru Dheeraj from BGRMIL.

Hyderabad based, Bain Global Resources Private Limited (BGRPL) (Erstwhile Bain Global Resources LLP) was incorporated on May 26, 2023, as LLP later converted as private limited in June 2025. The directors of the company are Mr. Deepak Induru, Mr. Induru Dheeraj, and Mr. Karthik Bathena, who are also part of the promoters / shareholders of BGR Mining & Infra Limited. The LLP was established specifically for carrying out operations of the Manoharpur MDO and Jamkhani MDO projects in Odisha.

Shar Projects Private Limited (SPPL) was incorporated on May 16th, 2023, is a Hyderabad, Telangana-based company. The directors are Mr. Rohit Reddy Bathina who represent the shareholders of BGR Mining & Infra Limited and Mrs. Samanvayi Bathina. The promoters possess extensive experience in the industry. The company was established to manage and carry out the operations of the Panchwara MDO project and other MDO projects in West Bengal on behalf of BGR Mining and Infra Limited.

Unsupported Rating

Not Applicable

Analytical Approach

Extent of Consolidation

•Full Consolidation

Rationale for Consolidation or Parent / Group / Govt. Support

For arriving at the ratings, ACUITE has consolidated the business and financial risk profiles of BGR Mining and Infra Limited (BGRMIL) ,BGR Deco Consortium Private Limited (BDCPL); BI Mining Private Limited, Bain Global Resources Private Limited, Skade Minerals LLP, Shar Projects Private Limited. On account of common management, operational and financial linkages and cross-corporate guarantees between six companies.

Key Rating Drivers

Strengths

Experienced management and long track record of operations

The group has been engaged in coal excavation and transportation for over two decades now and was initially carrying out these activities for the subsidiaries of Coal India Limited. Over the years, the group has started catering to several other reputed companies also, like Central Coalfields Limited, National Thermal Power Corporation, Vedanta, and The West Bengal Power Development Corporation Limited (WBPDCL) (rated at ACUITE A-/Stable/A2+). The group is currently headed by founder directors Mr. B. Umapathy Reddy, Mr. I. Sudhakara Reddy, and the second-generation directors. Extensive experience of the promoters and an operating track record of more than three decades in the industry have helped the group in understanding the market dynamics & establishing strong relationships with suppliers and bagging large-size tenders. Acuité believes the vast experience of the management will support the business going forward.

Improved scale of operations along with robust order book position

BGR group significant growth with YOY growth of 25.10 percent in FY2025 as compared to FY2024. Revenues stood at Rs.4,229.44 Cr. in FY2025 as against Rs.3,380.85 Cr. in FY2024. The improvement in revenue is on account of execution of MDO projects in all the group companies and increased capacity in Manoharpur MDO project and Pachhwara north coal block project. The EBITDA margins of the company are range bound which stood at 35.67 percent in FY2025 as compared to 28.42 percent in FY2024 and 29.57 percent in FY2023. In the 9MFY 2026, the group has achieved a turnover of Rs.4,379.18 Cr. (Includes Intercompany transactions) with an EBITDA margin of 35.88 percent. Group had a robust order book position of Rs. 86,325.89 Cr. as on December 2025 to be executed over the next 25 years, which translates into revenue visibility of 20.04x of FY2025 group’s revenue. The group at present has 4 running MDO projects, 3 projects yet to start. The margins of the company will also be maintained due to the presence of a price variation clause that protects the group from any adverse movement in the prices of coal and other materials. All contracts have a built- in price escalation clause that protects the Group from any adverse fluctuations in the prices, which helps the group in maintaining healthy EBITDA margins. Acuite believes that the scale of operations will improve on account of execution of the orderbook over the near to long term.

Long-term Contract; Low Offtake Risk; Escalation clause in contracts

Group has entered into a long-term contract of 25 years as a mine developer-cum-operator (MDO) for the supply of coal to The West Bengal Power Development Corporation Limited (WBPDCL) (rated at ACUITE A- /Stable/A2+) through the Pachhwara open-cast project (PCMPL) in the Pachhwara North Coal Block in Jharkhand, Central Coalfields Limited, National Thermal Power Corporation, and Vedanta, leading to limited offtake risk for the BGR group. Acuité assesses the offtake risks associated with the MDO business to be low, given the group enters into firm agreements with annual target supply. The agreement also protects the group from price volatility, as the pricing formula to cover any cost escalation has been agreed upon. Additionally, coal demand is likely to continue to increase in the medium-to- long term. The major cost for the group for such services is the diesel cost for plying the equipment, thus exposing the group to volatility in diesel prices. While the diesel costs are pass-through in nature, there is generally a time lag before the same can be built into the billing cycle. Further, the cost of labour, which is another major cost, has an escalation clause.

Healthy financial risk profile metrics

The group’s financial risk profile is healthy, marked by strong net worth, low gearing and healthy debt protection metrics. The net worth of the company stood at Rs.2813.43 Cr. and Rs.2074.30 Cr. as on March 31, 2025, and 2024 respectively. The improvement in net worth is due to accretion of reserves. Gearing of the company stood at 0.19 times as on March 31, 2025, against 0.23 times as on March 31, 2024. Debt protection metrics – Interest coverage ratio and debt service coverage ratio stood at 17.94 times and 6.14 times as on March 31, 2025, respectively as against 11.25 times and 2.65 times as on March 31, 2024, respectively. Healthy debt protection metrics on account of strong cash accruals. TOL/TNW (Total outside liabilities/Total net worth) stood at 0.49 times and 0.46 times as on March 31, 2025, and 2024 respectively. The debt to EBITDA of the group stood at 0.32 times as on March 31, 2025, as against 0.46 times as on March 31, 2024. Acuité believes that the group’s financial profile is likely to improve going forward, supported by strong internal accrual generation and no major increase in the group's debt levels even though the operation of the group is capital intensive in nature with continuous capex incurred for procuring heavy earthmoving equipment (like dumpers, excavators, bulldozers, etc.) and other mining equipment (like compactor, drillers, cranes, etc.) for replacement purpose.

Weaknesses

Working capital intensive operations
The group’s working capital operations is intensive, with gross current assets (GCA) which stood at 203 days in FY2025 as against 199 days in FY2024. The GCA days are at higher side mainly on account of high cash & bank balances of Rs. 542.81 Cr. Inventory days stood at 5 days in FY2025 as against 8 days in FY2024. The inventory remains low since the company is a service provider. Debtor day’s improved and stood at 52 days in FY2025 as against 61 days in FY2024. The improvement in debtor days is due improved credit terms. The business model entails extraction and excavation of coal with longer execution periods. Billing is done on a milestone basis. Generally, debtor days period remains comfortable around 40-55 days and also, they receive their payment within 15-25 days from the date they raise the invoice. Acuité believes that the working capital operations of the company will remain in the similar range in near to medium term.

Susceptibility to risks related to heightened regulations in the mining industry
Operational and regulatory risks in the mining industry have increased significantly in recent years. Regulatory actions have largely been to clamp down on illegal mining and have included withholding of permits and a ban on export and mining. However, as BGR Group is majorly working for state and central government entities having long-term contracts, the risk is moderated to a large extent.

ESG Factors Relevant for Rating

Group integrates Environmental, Social, and Governance (ESG) principles into its core operations, striving to balance growth with responsibility. On the environmental front, the company emphasizes sustainable mining practices, efficient resource utilization, and progressive rehabilitation of mined areas to minimize ecological impact. Socially, BGR prioritizes community development by investing in local infrastructure, education, and healthcare initiatives, while ensuring the highest standards of employee safety and welfare. From a governance perspective, the company upholds transparency, ethical business conduct, and compliance with regulatory frameworks, reinforcing trust among stakeholders. By embedding ESG values into its strategy, BGR Mining & Infra positions itself as a responsible leader in the mining and infrastructure sector, committed to long-term value creation and sustainable progress.

Rating Sensitivities

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

Growth in revenues more than 25 percent, and sustainability in the profitability.
Sustenance of healthy operating margins resulting in net cash accruals of more than Rs. 1500 Cr

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

Any large debt funded capex, impacting the financial risk profile and liquidity
Revenue falling by 25-30 percent and steep decline in profitability

Liquidity position

Strong

Group’s liquidity remained strong marked by Strong net cash accruals to its maturing debt obligation. The group has generated cash accruals in the range of Rs.1177.49 Cr. in FY2025, while its maturing debt obligations were Rs. 114.94 Cr. during the same period. Going forward the company is expected to generate net cash accruals of Rs. 1099- 1293 Cr. in FY 2026-27 against Rs.124-178 Cr. debt obligations. The current ratio stood at 2.44 times as on March 31, 2025, and the limits remain utilized at 20 percent for fund based and 94 percent for non-fund based over the 6 months ended February 2026. The group maintains unencumbered cash and bank balances of Rs.542.81 Cr. as on March 31, 2025. Acuité believes that the liquidity of the group will remain strong over the medium term.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	4229.44	3380.85
PAT	Rs. Cr.	996.26	537.42
PAT Margin	(%)	23.56	15.90
Total Debt/Tangible Net Worth	Times	0.19	0.23
PBDIT/Interest	Times	17.94	11.25

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

Not applicable

Any Other Information

None

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
08 Jan 2025	Term Loan	Long Term	80.00	ACUITE A \| 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
H D F C Bank Limited	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	31 May 2029	80.00	Simple	ACUITE A+ \| Stable \| Upgraded ( from ACUITE A )

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

Sr.No	Name of the entities
1	BGR Mining and Infra Limited
2	BGR Deco Consortium Private Limited
3	BI Mining Private Limited
4	Skade Minerals LLP
5	Shar Projects Private Limited
6	Bain Global Resources Private Limited (Erstwhile Bain Global Resources LLP)

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Moparthi Anuradha Devi
Senior 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.

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