Press Release

Press Release

June 27, 2024

VFS CAPITAL LIMITED(ERSTWHILE VILLAGE FINANCIAL SERVICES LIMITED)
Rating Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	1100.00	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable	-
Total Outstanding	1100.00	-	-

Rating Rationale

Acuité has reaffirmed the long-term rating of 'ACUITE BBB+' (read as ACUITE triple B plus) on the Rs. 1100.00 Cr. bank facilities of VFS Capital Limited(Erstwhile Village Financial Services Limited) (VFSCL). The outlook has been revised from 'Negative' to 'Stable'.

Rationale for Rating:

The revision in outlook is on account of improvement in profitability metrics as reflected in Profit After Tax (PAT) of Rs 22.94 Cr. during FY24 as against Rs 14.01 Cr. in FY23 (Rs 1.13 Cr. in FY22).Further The rating continues to derive strength from VFSCL’s experienced management and operational track record of over two decades. The rating is further supported by adequate capitalization levels and resources raising ability. VFSCL has funding relationships with diverse Banks and Financial Institutions. The rating further takes into VFSCL’s established presence in its areas of operations and growth of its AUM which stood at Rs. 942.29 Cr. as on March 31,2024. The company’s capitalization levels are comfortable marked by Capital Adequacy Ratio (CAR) of 25.97 percent as on March 31,2024. While Acuite takes cognizance of rebound in disbursals and further improvement in asset quality. Going forward, the company’s ability to raise capital (both equity & debt), maintain capitalization & liquidity buffers, and contain delinquencies across different time buckets and its resultant impact on profitability metrics would remain key monitorables.

About the company

Incorporated in 1994, VFS Capital Limited(Erstwhile Village Financial Services Limited) (VFSCL) is a Kolkata based NBFC-MFI engaged in extending microfinance loans to woman borrowers organized in Joint Liability Groups. The company is promoted by Mr. Ajit Kumar Maity (Chairman) and Mr. Kuldip Maity (Managing Director and Chief Executive Officer) who have over two decades of experience in the microfinance segment. VFSCL commenced its lending operations in 2006 and operates through a branch network of 284 branches as on March 31,2024 across 15 states, namely, West Bengal, Bihar, Assam, Odisha, Tripura, Chhattisgarh, Madhya Pradesh and Uttarakhand among others. The promoters were earlier engaged in micro finance activities through Village Welfare Society (VWS) and Village Micro Credit Services (VMCS- Section 25 Company) since 1982 and 2004 respectively. VMCS was engaged in lending activities, however, it has been discontinued since 2017 and all fresh disbursements are carried only in VFSCL.

Unsupported Rating

Not Applicable

Analytical Approach

Acuité has considered standalone business and financial risk profile of VFSCL to arrive at the rating.

Key Rating Drivers

Strength

Experienced management and established track record in micro-finance lending.

VFSCL, a Kolkata based NBFC-MFI, commenced microfinance lending to woman borrowers organized in Joint Liability Groups since 2006. The company is also engaged in extending SME loans to entrepreneurs in rural and semi-urban areas for income-generating activities. VFSCL has its operations spread across 15 states, mainly West Bengal, Bihar, Tripura, Odisha and Jharkhand among others. The company operates through a network of 284 branches as on March 31,2024. VFSCL is promoted by Mr. Ajit Kumar Maity (Chairman) and Mr. Kuldip Maity (Managing Director and CEO). Mr. Ajit Kumar Maity has over three decades of experience in microfinance and social development. He has obtained training in Microfinance- Legal & Regulatory Frameworks in September, 2006 from International Development Law Organization which was held in Sydney. Mr. Kuldip Maity has experience of around two decades in microfinance space. VFSCL’s board comprises of 4 members led by Mr. Ajit Kumar Maity (Chairman). The board comprises Mr. Ajit Kumar Maity, Mr. Kuldip Maity and two independent directors. The day to day operations of VFSCL is managed by Mr. Kuldip Maity (MD & CEO) of VFSCL. The established track record of promoters in microfinance lending has supported VFSCL’s growth strategy. The company’s Asset under Management (AUM) stood at Rs 942.29 Cr. as on March 31,2024

Acuité believes that presence of the experienced promoters in the microfinance segment will be central to support the business risk profile of the company.

Adequate capitalization levels & resources raising ability

VFSCL has established relationship with diverse lenders, public and private sector bank and financial institutions. VSFCL has been able to raise funds of ~Rs 426 Cr. during FY2024. Additionally, the company maintains healthy liquidity in the form of sufficient cash and bank balance of Rs 40.27 Cr. as on March 31, 2024. The disbursal volumes have picked up during 9MFY23, with the overall disbursement at Rs. 505.46 Cr. during 9MFY23.The disbursements as on March 31,2024 stands at Rs 712.50 Cr. As a result, the company’s AUM grew to Rs 942.29 Cr. as on March 31,2024 from Rs 935.65 Cr. as on March 31, 2023.

Acuite takes cognizance of the company’s resources raising ability, however VFSCL needs to raise equity so as to bolster its capitalization levels in the near term.

Weakness

Geographically concentrated portfolio and risk inherent to microfinance segment

The activities of microfinance companies, like VFSCL are exposed to geographical concentration risks. VFSCL has presence in 15 states with concentration in West Bengal (71.23 percent of the overall portfolio) and balance in 14 states as on March 31,2024. It has 284 branches located over 103 districts as on March 31,2024. The company's performance is expected to remain exposed to competitive or political landscape in these regions and occurrence of events such as natural calamities, which may adversely impact the credit profile of the borrowers. Besides geography, the company will be exposed to competition and any changes in the regulatory framework thereby impacting credit profile of VFSCL.

Acuité believes that geographic concentration in its portfolio coupled with the inherent risk in microfinance segment will continue to weigh on the company’s credit profile over the near to medium term.

Moderate Asset Quality; albiet improving

The company is also engaged in extending SME loans to entrepreneurs in rural and semi-urban areas for income-generating activities. Given the credit profile of microfinance borrowers, any impact on the income flow of these households as a result of economic shocks could impair their repayment ability. Given the challenges, the delinquencies have remained on the higher side and the company reported a 90+DPD at 4.58 percent as on March 31, 2022 as against 5.31 percent as on March 31, 2021. Although the delinquencies have now improved as the company reported GNPA at 1.81 percent as on March 31,2024 as against GNPA of 2.59 percent.in March 31,2023. While the company’s current collection efficiency has been improving since FY2022, profitability is expected to improve in the near term subject to improvement in the eco-system of the micro finance sector.

Acuité believes, given the challenges, the company’s ability to manage the additional slippages while maintaining the portfolio collections will be crucial.

ESG Factors Relevant for Rating

VFS Capital Limited erstwhile Village Financial Services Ltd belongs to the NBFC-MFI sector which facilitates lending to the unbanked population. Some of the material governance issues for the financial services sector are policies and practices with regard to business ethics, board diversity and independence, compensation structure for board and KMPs, role of the audit committee and shareholders’ rights. On the social aspect, some of the critical issues for the sector are the contributions to financial inclusion and community development, responsible financing including environmentally friendly projects and policies around data privacy. The industry, by nature has a low exposure to environmental risks. The entity maintains adequate transparency in its business ethics practices as can be inferred from the entity’s disclosures regarding related party transactions, vigil mechanism and whistle blower policy. The board of directors of the company comprise of 6 directors out of which 3 are independent director. The audit committee is with the objective to monitor and provide an unbiased supervision of the management’s financial reporting process. VFSCL also maintains transparency in terms of disclosures pertaining to interest rate policy and its adherence to Fair Practice Code as disseminated by Reserve Bank of India's circular. VFSCL aims to empower women by providing micro loans to help them generate additional income opportunities, hence making an economic contribution by way of financial inclusion. It continues to work on several community development initiatives and has also developed a social performance management system to facilitate financial stability of its staff and clients. In digitalization, the Company promotes technology that encapsulates the entire MFI operations of the company on Application Service Provider model

Rating Sensitivity

Movement in Asset Quality and Collection efficiency.
Movement in Profitability Metrics.
Ability to raise capital, both equity and debt.
Diversification in geographical profile. Changes in regulatory environment.

Liquidity Position

Adequate

VFSCL’s overall liquidity profile remains adequate, given that its portfolio comprises of relatively shorter-tenure microfinance loans compared to the tenure of borrowed funds. The company’s near term liquidity position is well managed based on ALM Statement as on March 31, 2024, with positive mismatches in individual buckets. The company is in talks with various lenders to raise long term debt. The company’s liquidity position is supported by unencumbered Cash and Bank Balance of Rs 40.27 Cr. as on March 31, 2024. The future liquidity position will hinge upon the company’s ability to raise resources while continuing to achieve optimal portfolio collections.

Outlook:Stable

Acuité believes that VFSL will maintain a ‘Stable’ outlook over the near to medium owing to its established track record and resource raising ability of the promoters. The outlook may be revised to ‘Positive’ in case of significant and sustainable growth in its AUM while maintaining profitability, asset quality and leverage indicators. Conversely, the outlook may be revised to ‘Negative’ in case of any deterioration in asset quality, profitability, lower than expected growth in on book portfolio or in case of challenges faced in raising fresh capital.

Other Factors affecting Rating

None

Key Financials - Standalone / Originator

Particulars	Unit	FY24 (Actual)	FY23 (Actual)
Total Assets	Rs. Cr.	832.14	880.99
Total Income*	Rs. Cr.	98.93	94.38
PAT	Rs. Cr.	22.94	14.01
Net Worth	Rs. Cr.	205.01	182.07
Return on Average Assets (RoAA)	(%)	2.68	1.59
Return on Average Net Worth (RoNW)	(%)	11.85	8.01
Debt/Equity	Times	2.94	3.65
Gross NPA	(%)	1.81	2.59
Net NPA	(%)	0.08	0.81

*Total income equals to Net Interest Income plus other income.

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
• Banks And Financial Institutions: https://www.acuite.in/view-rating-criteria-45.htm
• Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm
• Non-Banking Financing Entities: https://www.acuite.in/view-rating-criteria-44.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
30 Mar 2023	Term Loan	Long Term	1.48	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	8.33	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	2.24	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	2.41	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	0.14	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	9.09	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	4.17	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	0.63	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	0.71	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	11.08	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	30.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	1.98	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	6.76	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	7.89	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	5.15	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	3.45	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	25.50	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	29.94	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	12.75	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	42.99	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	10.48	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	50.50	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	4.28	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	20.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	13.54	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	20.92	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	2.20	ACUITE BBB+ \| Negative (Reaffirmed)
	Proposed Term Loan	Long Term	248.96	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	38.37	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	6.19	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	8.89	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	23.75	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	17.82	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	10.08	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	10.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	27.25	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	11.14	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	24.99	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	25.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	8.75	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	18.18	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	4.24	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	8.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	20.98	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	13.80	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Reaffirmed)
	Proposed Term Loan	Long Term	200.00	ACUITE BBB+ \| Negative (Reaffirmed)
16 Sep 2022	Term Loan	Long Term	4.49	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	3.32	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	2.42	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	5.56	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.02	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.25	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.68	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	9.02	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	9.16	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	9.20	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.67	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.47	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	27.27	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.94	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.67	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.56	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	12.50	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	8.13	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	9.29	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.51	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	19.60	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	6.25	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	3.75	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	30.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	6.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	12.26	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.25	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	15.15	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	8.79	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.16	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.64	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.70	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	6.90	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	12.50	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	39.50	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.11	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	0.96	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.11	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	1.11	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	50.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	10.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	2.73	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	3.88	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Proposed Term Loan	Long Term	237.18	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	50.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	10.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Proposed Term Loan	Long Term	200.00	ACUITE BBB+ \| Negative (Assigned)
	Term Loan	Long Term	15.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	66.14	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	17.20	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	66.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	10.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	30.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
	Term Loan	Long Term	25.00	ACUITE BBB+ \| Negative (Downgraded from ACUITE A- \| Negative)
09 Mar 2022	Term Loan	Long Term	9.16	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	9.20	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.67	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.47	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	27.27	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.94	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.67	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	8.13	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	9.29	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.51	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	19.60	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	6.25	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.75	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	30.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	6.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.26	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.25	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	15.15	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	8.79	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.16	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.64	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.70	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	6.90	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	39.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.11	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.96	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.11	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.11	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	50.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	66.14	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	17.20	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	66.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	10.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	30.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	25.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	10.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.73	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.88	ACUITE A- \| Negative (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	247.18	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	50.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.49	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.32	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.42	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	5.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.02	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.25	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.68	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	9.02	ACUITE A- \| Negative (Reaffirmed)
06 Sep 2021	Term Loan	Long Term	12.21	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.29	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.73	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	18.78	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.85	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	25.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.18	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	8.89	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.77	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	46.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.67	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.85	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	30.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.22	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.81	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.85	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.25	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	10.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	13.88	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.55	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.98	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.75	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.85	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	13.57	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	5.74	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.32	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	25.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.90	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	23.80	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.65	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.55	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	36.36	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.15	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.42	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.38	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.77	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.94	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	7.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	15.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.98	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.43	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.72	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.56	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	11.88	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.69	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.28	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	17.25	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	0.20	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	12.54	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	8.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	4.09	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	30.00	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.87	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	391.03	ACUITE A- \| Negative (Assigned)
	Term Loan	Long Term	16.67	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	1.87	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	2.50	ACUITE A- \| Negative (Reaffirmed)
	Term Loan	Long Term	3.79	ACUITE A- \| Negative (Reaffirmed)
	Non-Covertible Debentures (NCD)	Short Term	50.00	ACUITE A2+ (Reaffirmed & Withdrawn)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
Not Applicable	Not avl. / Not appl.	Proposed Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	271.11	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Not Applicable	Not avl. / Not appl.	Proposed Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	200.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Bank of Baroda	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Apr 2027	48.60	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Hinduja Leyland Finance Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Sep 2025	13.48	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
IDBI Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Apr 2026	22.92	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Indian Overseas Bank	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Dec 2026	35.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jun 2025	7.44	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Dec 2025	19.79	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Apr 2026	11.50	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
MK Ventures Capital	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 May 2025	15.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
National Bank for Agriculture and Rural Development (NABARD)	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Dec 2025	19.20	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jun 2024	2.15	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jan 2025	16.92	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Apr 2025	34.78	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 May 2025	15.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Nov 2024	12.78	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Aug 2024	5.18	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Nov 2024	7.67	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Shine Star Build Cap Private Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Nov 2024	7.67	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Small Industries Development Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 May 2027	40.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
UCO Bank	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Feb 2026	22.21	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Union Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Aug 2026	20.45	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Union Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Feb 2027	18.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Micro Units Development and Refinance Agency bank (MUDRA)	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Feb 2025	14.39	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Bank of Maharashtra	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jun 2024	4.27	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
IDBI Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Sep 2024	3.75	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Sep 2024	4.01	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Dec 2024	3.21	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
NORTH EAST SMALL FINANCE BANK LIMITED	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Feb 2026	6.67	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
State Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jun 2026	10.47	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
State Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jul 2024	4.27	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
State Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jun 2026	63.11	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
SBM Bank (India) Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Nov 2024	2.50	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
UCO Bank	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Aug 2025	7.62	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Union Bank of India	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Feb 2025	6.82	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Cholamandalam Investment Finance Company Ltd.	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Nov 2024	2.68	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Maanaveeya Development & Finance Private Limited	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 May 2025	8.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Tata Capital Limited	Not avl. / Not appl.	Term Loan	29 Feb 2020	Not avl. / Not appl.	01 Oct 2024	2.08	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Bank of Maharashtra	Not avl. / Not appl.	Term Loan	31 Mar 2021	Not avl. / Not appl.	01 Jun 2024	0.40	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
IDFC First Bank Limited	Not avl. / Not appl.	Term Loan	30 Mar 2019	Not avl. / Not appl.	01 Aug 2025	30.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
State Bank of India	Not avl. / Not appl.	Term Loan	31 Jul 2021	Not avl. / Not appl.	08 Mar 2024	0.57	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
National Bank for Agriculture and Rural Development (NABARD)	Not avl. / Not appl.	Term Loan	31 Dec 2020	Not avl. / Not appl.	01 Mar 2026	8.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Canara Bank	Not avl. / Not appl.	Term Loan	24 Aug 2021	Not avl. / Not appl.	01 Aug 2024	4.89	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
National Bank for Agriculture and Rural Development (NABARD)	Not avl. / Not appl.	Term Loan	03 Sep 2021	Not avl. / Not appl.	03 Mar 2023	9.00	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Jana Small Finance Bank Ltd.	Not avl. / Not appl.	Term Loan	03 Sep 2021	Not avl. / Not appl.	01 Sep 2024	9.69	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Bank of Baroda	Not avl. / Not appl.	Term Loan	30 Sep 2021	Not avl. / Not appl.	30 Sep 2024	2.08	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Small Industries Development Bank of India	Not avl. / Not appl.	Term Loan	14 Oct 2021	Not avl. / Not appl.	01 Sep 2024	9.50	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Maanaveeya Development & Finance Private Limited	Not avl. / Not appl.	Term Loan	01 Dec 2021	Not avl. / Not appl.	01 Dec 2024	5.45	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Indian Overseas Bank	Not avl. / Not appl.	Term Loan	01 Mar 2022	Not avl. / Not appl.	01 Sep 2025	9.62	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable
Canara Bank	Not avl. / Not appl.	Term Loan	21 Dec 2020	Not avl. / Not appl.	01 Jun 2024	0.10	Simple	ACUITE BBB+ \| Stable \| Reaffirmed \| Negative to Stable

Contacts

Analytical Details	Contact Details
Mohit Jain Senior Vice President - Rating Operations Tel: 022–49294017 mohit.jain@acuite.in Ramesh Metri Associate Analyst - Rating Operations Tel: 022-49294065 ramesh.metri@acuite.in	Contact details exclusively for investors and lenders Mob: +91 8591310146 Email ID: analyticalsupport@acuite.in Tel: 022-49294011 rating.desk@acuite.in

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