11/1/24, 10:58 PM Rating Rationale

Rating Rationale
August 01, 2024 | Mumbai

Redington Limited
Ratings reaffirmed at 'CRISIL AA+/Stable/CRISIL A1+'

Rating Action
Total Bank Loan Facilities Rated Rs.3000 Crore
Long Term Rating CRISIL AA+/Stable (Reaffirmed)
Short Term Rating CRISIL A1+ (Reaffirmed)

Rs.1900 Crore Commercial Paper CRISIL A1+ (Reaffirmed)

Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any
ratings. The Board of Directors also does not discuss any ratings at its meetings.
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities

Detailed Rationale
CRISIL Ratings has reaffirmed its ‘CRISIL AA+/Stable/CRISIL A1+’ ratings on the bank facilities and commercial paper of
Redington Limited (REDIL; formerly Redington (India) Ltd).

The ratings continue to reflect the strong business risk profile of REDIL backed by its solid and established market position
in the information technology (IT) and mobility products distribution business, improving product and geographical
diversification in revenue from the domestic and international markets, and strong risk management practices. The ratings
also factor in the company's healthy financial risk profile and strong liquidity. These strengths are partially offset by modest
operating margin and large working capital requirement in the distribution business.

In fiscal 2024, REDIL registered healthy revenue growth of 13%, driven by healthy demand from Indian mobility solutions
group (MSG) and enterprise solutions group (ESG), which together contribute more than 50% to the company’s revenue.
While healthy demand for IT products from the enterprise segment with increased work from office benefitted the ESG
segment, addition of new vendors in the mobility segment along with the premiumization trend aided growth in the MSG
segment. REDIL is likely to register healthy revenue growth of 8-9% over the medium term, supported by healthy trends in
TSG (IT-Enterprise), driven by higher investments by corporates and the government in IT infrastructure, accelerated cloud
spending, cybersecurity, AI integration. High growth potential in the MSG segment due to shift towards 5G and
premiumization will also aid revenue growth. This will help REDIL solidify its established market position in these product
segments, where it is among the market leader.

The company’s operating margin declined to 2.6% in fiscal 2024 from 2.96% in fiscal 2023, majorly due to change in product
mix, increased investment to develop digital capabilities and other risk mitigation [Link], the operating
profitability was better than the pre-pandemic level, due to focus on operating efficiency with increased digital distribution,
leading to control over costs. The operating margin will likely sustain at 2.6-2.7% over the medium term due to increased
share of revenue from high-margin IT enterprise segments and cloud services, along with benefits of operating leverage and
cost efficiencies implemented over the past few years.

REDIL has a strong financial risk profile, as reflected in sizeable networth of Rs 7,453 crore as on March 31, 2024, and
marginal reduction in debt to Rs 2,820 crore (Rs 3,154 crore a year earlier). Gearing levels were comfortable at 0.38 times
at March 31, 2024. To meet its large working capital need, the company avails primarily working capital facilities from banks,
as well as commercial paper. Besides, REDIL also undertakes non-recourse factoring of receivables, especially in the
overseas markets viz. Turkey and Middle East. REDIL continues to focus on managing its working capital prudently, as
reflected in net working capital days improving to 34 days in fiscal 2024 from 36 days in fiscal 2023, despite overall increase
in scale of operations.

However, debt metrics such as interest coverage ratio declined to 3.1 times in fiscal 2024 from 4.96 times in fiscal 2023
primarily on lower operating profitability and an increase in interest costs on factoring of receivables due to steep rise in
interest rates in Turkey in fiscal 2024, as result of the hyperinflationary environment in that country. Moderate improvement
in interest cover is likely in the near to medium term, with initiatives to lower debt levels at operating entities in Turkey. Also,
despite the working capital-intensive operations, the ratio of total outside liabilities to tangible net worth (TOL/TNW)
improved to 2.22 times as on March 31, 2024, from 2.32 times a year earlier with steady improvement in net worth. The
TOL/TNW ratio is expected at 1.9-2.1 times over the medium term.

Return on capital employed (RoCE) remained healthy at 23.8% in fiscal 2024 because of efficient use of capital, and is
expected to stay over 20% over the medium term.

[Link] 01_ 2024_RR_349812.html 1/13

 Please refer Annexure - List of entities consolidated, which captures the list of entities considered and their analytical treatment of consolidation.

11/1/24, 10:58 PM Rating Rationale

[Link] 01_ 2024_RR_349812.html 2/13

11/1/24,REDIL is
10:58 PMalso the market leader in the Middle East and Africa (MEA) markets through its step-down subsidiary,
Rating Rationale
Redington Gulf FZE, while another step-down subsidiary, Arena, is one of the largest players in Turkey. REDIL is one of
the few supply chain solutions providers with presence in the major emerging markets around the world. It has strong
relationships with leading vendors such as HP, Dell, Samsung, Lenovo, Cisco, and Microsoft in the IT products business,
and has consolidated its position as a leading distributor for these vendors over time.

In the mobility business, too, REDIL remains a significant distributor for smartphones. It has tie-ups with leading brands.
The company’s market position in both its business segments is underpinned by its ability to rapidly grow its vendor list,
its diverse product profile, strong distribution infrastructure, and well-entrenched relationships with channel partners. This
has enabled it to grow revenue, supported by buoyant demand for IT products and services.

Diversified revenue mix with healthy geographical footprint: REDIL’s revenue stream is highly diversified in terms of
the IT, mobility and services business verticals, as well as geographically with presence in 40 markets. The IT consumer
segment handles the distribution of personal computers (PCs), laptops and other consumer lifestyle products, while the
IT enterprise segment offers networking, software, server storage and cloud services. In the mobility vertical, REDIL
focuses on smartphones. The company has gradually enhanced the proportion of mobility revenue in its overall revenue,
supported by addition of new brands of smartphones in the domestic as well as overseas markets. Hence, the share of
mobility revenue increased to 35% in fiscal 2024 from 27% in fiscal 2018. While material ramp up in mobility revenue has
been partly affected by change in the go to market (GTM) strategy of a major vendor, REDIL has added new vendors to
limit loss in revenues.

While the threat of direct to retail models remains, REDIL is better placed to mitigate the situation, due to its diverse
product portfolio and presence in diverse geographies. Besides, the direct to retail/ecommerce model is unlikely to
reduce offline market substantially, as seen in developing countries. REDIL ventured into the cloud business three years
ago and offtake has been healthy, with the business recording on-year growth of 37% in fiscal 2024. While the share of
the cloud business remains low, it is expected to grow at a faster rate than overall business leading to an increase in its
revenue share. The services business focusses on warehousing and logistics, support, warranty, infrastructure and AMC
services.

CRISIL Ratings has also notes that an agreement was signed on May 6, 2024, between Arena Bilgisayar Sanayi ve
Ticaret AS (Arena), a step-down subsidiary of REDIL listed in Istanbul, Turkey and lyzi Payment and Electronic Money
Services Inc, Turkey (lyzic) for the sale of 100% of the equity/ownership interest in the fintech payments business,
Paynet Odeme Hizmetler AS (Paynet), which is a wholly owned subsidiary of Arena. Overall consideration for the
transaction is $87 million plus adjusted net cash.

Strong risk management practices: Strong risk management practices have enabled REDIL to mitigate risks inherent
in the distribution business. These include risks arising from vendor concentration, product obsolescence, volatility in
exchange rates, and credit risks. The company has a diversified vendor base which reduces the revenue concentration
risk from a single vendor. REDIL follows healthy foreign exchange risk mitigation practices such as hedging on exchange
rates, which helps minimise foreign currency fluctuation risks. The quick conversion cycle and strong relationship with
vendors ensure limited risk arising from product obsolescence. Most of the receivables are credit insured to mitigate
default risk. The robust risk management practices have led to average receivables and inventory provision of less than
0.1% of revenue.

REDIL also has a robust management information system, which helps keep track of the credit history of its channel
partners. This will be enhanced with implementation of SAP across all its business locations. Furthermore, the company
maintains sizeable cash as a contingency measure to ensure continuation of operations in volatile international markets.

Healthy financial risk profile: REDIL’s financial risk profile remains healthy, backed by its strong cash generating ability
and prudent working capital management. Sizeable net worth of Rs 7,453 crore as on March 31, 2024, ensures healthy
capital structure despite working capital intensive nature of operations. Adjusted gearing improved to 0.38 time as on
March 31, 2024, from 0.46 time a year earlier due to slight reduction in working capital debt with marginal improvement
in the net working capital days. The gearing is expected to improve gradually with improvement in networth and absence
of significant capital spending.

Interest coverage ratio declined to 3.1 times in fiscal 2024 from 4.96 times in fiscal 2023, on account of slight dip in
operating profitability and increase in interest costs (including factoring costs) due to continuing moderately high interest
rates in India and steep rise in interest rates to over 50% in Turkey, where REDIL has subsidiaries in the IT distribution
space (companies contribute 10-12% of its revenues). Debt levels at its leading and 49% stake held subsidiary in Turkey,
Arena, had risen in 2022 to fund an acquisition.

Arena recently announced signing of a share purchased agreement (SPA) with Iyzico, for the divestment of its Paynet
business, for a consideration of USD 87 million plus adjusted net cash. Paynet is a fintech initiative specializing in
payment facilitating services focused on payment transactions in the B2B sector. It was developed internally by Arena to
work with their channel partners in Turkey. The deal is expected to be consummated post receipt of regulatory approvals,

[Link] 01_ 2024_RR_349812.html 3/13

 steady increase in networth. The TOLTNW ratio is expected at 1.9-2.1 times over the medium term.
11/1/24, 10:58 PM Rating Rationale
Weaknesses:
Modest, but stable, profitability: The distribution business is marked by low profitability, as reflected in operating
profitability of 1.9-2.2% during fiscals 2017-2020. Improvement in the profitability was limited by the increasing share of
business from mobility products, which had lower margins, compared with traditional IT products. The operating
profitability improved to 2.96% in fiscal 2023 driven by higher share of IT products in the revenue mix and better gross
margins, as well as savings in administrative and other costs, including travel. In fiscal 2024, the margin moderated and
normalized to 2.6% due to change in product mix and increase in investments to develop digital capabilities. The
operating profitability is expected to stabilize at 2.6-2.7% over the medium term due to initiatives to increase the share of
IT enterprise segment and other value-added services such as cloud, networking and logistics.

Working capital-intensive distribution business: The company’s enterprise and consumer division (including software
sales, storage, servers, networking) within the IT products segment, is working capital intensive. Given the limited
number of established competitors in the domestic IT business, REDIL, based on mutual understanding with its vendors,
agrees the credit period considering the high lead time involved in such enterprise transactions. This leads to higher
working capital requirement in line with ramp-up in operations. However, the impact is partially alleviated as its vendors
allow credit to the company on a case-to-case basis. Also, with the share of the low-margin and low working capital
intensive mobility business increasing over time, net working capital days have gradually lowered. Over fiscals 2021 and
2022, the net working capital remained at 14 days mainly due to demand chasing supply. The net working capital
increased to 36 days in fiscal 2023 with normalisation of working capital cycle, and improved marginally to 34 days in
fiscal 2024. This is better than net working capital of the more than 45 days in the past.
Liquidity: Strong
REDIL enjoys strong liquidity, with cash surplus of about Rs 1,621 crore as on March 31, 2024, However it may be noted
that, majority of cash is scattered across the subsidiaries with cash largely available at subsidiaries in Singapore, Middle
East, Africa and Arena (Turkey). This will be utilized for the subsidiaries’ own operations as there is no support between the
entities in form of ICDs/or any other support and the treasury operations are managed by respective overseas subsidiaries.
Hence the cash available in the subsidiaries is not normally utilised by Redington India.

REDIL has additional cushion in the form of Bank limits of ~Rs.3000 crores which has been utilised at 69% on an average
(including utilisation of commercial paper, which has been carved of its bank limits) over the past 12 months ended June
2024. Cash accrual is estimated over Rs.900 crore (post adjustments for dividend outflow) in fiscal 2025 and is expected to
remain healthy and sufficient to meet nominal term loan obligations, capex and incremental working capital requirement.

ESG Profile of Redington Limited

CRISIL Ratings believes the Environment, Social, and Governance (ESG) profile of REDIL supports its already strong credit
risk profile. The IT distribution sector has low impact on the environment owing to its low emission and comparatively low
waste generation due to the low energy intensive nature of operations. The sector also has a low social impact.

REDIL is developing a detailed ESG framework which will mitigate environmental and social risks.

Key ESG highlights:

The company has a continuous focus on conservation of energy and has taken adequate measures to optimise usage
of power and for virtualisation of data centre.
The company aims to achieve zero E-waste to landfill and become single-use-plastic-free across all facilities in future.
The share of female employees in its total workforce stood at 18% and attrition rate of permanent employees was 21%
in fiscal 2024.
The company’s governance structure is characterised by 43% of independent directors on its board, 29% women
directors, split in chairperson and chief executive officer positions, 100% investor complaints redressal rate.

There is growing importance of ESG among investors and lenders. The commitment of REDIL to ESG principles will play a
key role in enhancing stakeholder confidence, given the high share of market borrowing in its overall debt and access to
both domestic and foreign capital markets.
Outlook: Stable
CRISIL Ratings believes that REDIL’s business risk profile will continue to benefit over the medium term from the diversity in
its revenue, established relationship with global IT vendors, sustenance of improving operating margin, and high cash
generating ability. Further, the company is expected to sustain its healthy financial risk profile, supported by prudent working
capital management and minimal capital spending.

[Link] 01_ 2024_RR_349812.html 4/13

 Downward factors:
11/1/24,Weak business
10:58 PM performance impacting revenue growth, operating
Ratingprofitability
Rationale (below 2.25-2.5%) on a sustained basis,
and cash generation.
Stretch in working capital cycle, or significant debt-funded acquisitions or capex, leading to deterioration in key debt
metrics; for instance TOL/TNW exceeding 2.5-2.7 times
About the Company
Set up in 1993, REDIL is a leading distributor for IT hardware and mobility products. The company made its initial public
offering in early 2007. It has a diversified holding structure with the largest shareholder, Synnex Technology International
Corp, holding 24.1% through its investment arm Synnex Mauritius Ltd, Taiwan. During September 2019, REDIL was
classified as a listed entity with no promoters.

As of March 2024, REDIL operates in 40 markets across India and META region with an employee base of 5,000
employees. It distributes 400+ brands through a network of 50,000+ channel partners. While distribution of IT and mobility
products accounts for a bulk of its revenue, REDIL is enhancing its presence in the cloud solutions space and logistics
business in India and the Gulf region.
Key Financial Indicators
As on/for the period ended March 31 Unit 2024 2023
Revenue Rs crore 89346 79377
Profit After Tax (PAT Rs crore 1239 1439
PAT Margin % 1.4 1.8
Adjusted debt/adjusted networth Times 0.38 0.46
Interest coverage Times 3.1 4.96

Any other information: Not Applicable

Note on complexity levels of the rated instrument:

CRISIL Ratings` complexity levels are assigned to various types of financial instruments and are included (where
applicable) in the 'Annexure - Details of Instrument' in this Rating Rationale.

CRISIL Ratings will disclose complexity level for all securities - including those that are yet to be placed - based on
available information. The complexity level for instruments may be updated, where required, in the rating rationale
published subsequent to the issuance of the instrument when details on such features are available.

For more details on the CRISIL Ratings` complexity levels please visit [Link]. Users may also call the
Customer Service Helpdesk with queries on specific instruments.

Annexure - Details of Instrument(s)

Date of Coupon Maturity Issue size Complexity Rating assigned
ISIN Name of instrument
allotment rate (%) date ([Link]) level with outlook
NA Cash Credit* NA NA NA 541 NA CRISIL AA+/Stable
NA Short Term Loan* NA NA NA 2040.5 NA CRISIL A1+
NA Commercial Paper NA NA 7-365 days 1900.0 Simple CRISIL A1+
Proposed Long Term
NA NA NA NA 418.5 NA CRISIL AA+/Stable
Bank Loan Facility
*Facilities are interchangeable between fund and non fund based limits

[Link] 01_ 2024_RR_349812.html 5/13

 Redington Distribution Pte Ltd Full Operational similarities
Redserv Global Solutions Ltd (refer to note 50) Full Operational similarities
11/1/24, 10:58 PM Rating Rationale
Step-down subsidiaries
[Link]. Name of the company Extent of consolidation Rationale for consolidation
1 Redington Gulf FZE(refer note (vii) Full Operational similarities
2 Redington Egypt Ltd (limited liability company) Full Operational similarities
3 Redington Gulf & Co LLC Full Operational similarities
4 Redington Kenya Ltd Full Operational similarities
5 Cadensworth FZE Full Operational similarities
6 Redington Middle East LLC Full Operational similarities
7 Ensure Services Arabia LLC Full Operational similarities
Redington Qatar WLL (refer note (i) and (iii)
8 Full Operational similarities
below)
Redington Qatar Distribution WLL (refer note (i)
9 Full Operational similarities
below)
10 Redington Ltd Full Operational similarities
(Ghana)
11
Redington Kenya (EPZ) Ltd (refer note (iii) below) Full Operational similarities
12 Redington Uganda Ltd (Uganda) Full Operational similarities
13 Cadensworth United Arab Emirates LLC Full Operational similarities
14 Redington Tanzania Ltd Full Operational similarities
Redington South Africa (Pty) Ltd (formerly known
15 Full Operational similarities
as Ensure IT services (Pty) Ltd)
17 Redington Turkey Holdings S.A.R.L.(RTHS) Full Operational similarities
Arena Bilgisayar Sanayi Ve Ticaret A.S. (refer note
19 Full Operational similarities
(ii) below)
20 Arena International FZE (refer note (ii) below) Full Operational similarities
21 Redington Bangladesh Ltd Full Operational similarities
22 Redington SL Pvt Ltd Full Operational similarities
23 Redington Rwanda Ltd Full Operational similarities
24 Redington Kazakhstan LLP Full Operational similarities
25 Ensure Gulf FZE Full Operational similarities
Redington South Africa Distribution (PTY) Ltd
26 Full Operational similarities
(formerly Ensure Technical Services (PTY) Ltd)
Ensure Middle East Trading LLC (refer to note (i)
27 Full Operational similarities
and (iii) below)
Ensure Services Uganda Limited (refer to note (iv)
28 Full Operational similarities
below)
Ensure Technical Services Tanzania Ltd (refer to
29 Full Operational similarities
note (iv) below)
30 Ensure Ghana Limited (refer note (iv) below) Full Operational similarities
31 Proconnect Supply Chain Logistics LLC Full Operational similarities
Ensure Technical Services Morocco Ltd (Sarl)
32 Full Operational similarities
(refer to note (iv) below)
33 Redington Senegal Limited S.A.R.L. Full Operational similarities
34 Redington Saudi Arabia Distribution Company Full Operational similarities
Paynet Ödeme Hizmetleri A.S. (refer to note (ii)
35 Full Operational similarities
below)
36 CDW International Trading FZCO Full Operational similarities
37 RNDC Alliance West Africa Ltd Full Operational similarities
Redington Turkey Teknoloji A.Ş. (formerly known
38 as Linkplus Bilgisayar Sistemleri Sanayi ve Ticaret Full Operational similarities
A.S.)
Ensure Middle East Technology Solutions LLC
39 Full Operational similarities
(refer to note (i) & (iii) below)
40 Proconnect Saudi LLC Full Operational similarities
41 Redserv Business Solutions Pvt Ltd Full Operational similarities
42 Redington Distribution Company LLC Full Operational similarities
Arena Mobile Iletisim Hizmetteri ve Turketici
43 Elektronigi Sanayi ve Ticaret A.S. (refer to note Full Operational similarities
((ii) below)
Online Elektronik Ticaret Hizmetleri A.S. (refer to
45 Full Operational similarities
note (ii) below)

[Link] 01_ 2024_RR_349812.html 6/13

 Services
49
Redington Angola Ltd Full Operational similarities
5010:58 Redington
11/1/24, PM Saudi for Trading Co Full
Rating Rationale Operational similarities
51 Redington Bahrain W.L.L.(refer note (i) below) Full Operational similarities
52 Redington Gulf FZE Jordan Full Operational similarities
Arena Connect Teknoloji Sanayi ve Ticaret Anonim
53 Serketi (formerly Brightstar Telekomünikasyon Full Operational similarities
Dağıtım Ltd. Şti.) (refer to note (ii) below)
Arena Connect İletişim ve Servis Limited Şirketi
54 (formerly MPX İletişim ve Servis Limited Şirketi) Full Operational similarities
(refer to note (ii) below)
55 Proconnect Holding Limited ( refer to note (v &vi)) Full Operational similarities
Redington Gulf Arabia for Information Technology
56 Full Operational similarities
(refer to note v & vi)

Note
i. Although the holding is less than 50% of equity shares, the group has the power over these companies, is exposed to
or has rights to variable returns from its involvement in these companies and has the ability to exercise its power over
these companies to affect its returns and therefore exercises effective control. Consequently, these entities are
considered as step-down subsidiaries of REDIL and are consolidated.
ii. Redington Turkey Holdings S.A.R.L (RTHS), Luxembourg, has the power over these companies, is exposed to or has
rights to variable returns from its involvement with these companies and has the ability to exercise its power over
these companies to affect its returns (through control over the composition of the Board of Directors of Arena).
Consequently, Arena and its subsidiaries are included in the consolidated financial statements. A definitive agreement
has been executed on May 6, 2024, between a step-down subsidiary of Arena, which is listed in Istanbul, and lyzic for
the sale of 100% of the equity/ownership interest in its fintech payments business, Paynet Odeme Hizmetler A.S
(Paynet), which is a wholly owned subsidiary of Arena.
iii. Liquidation in process as at March 31, 2023.
iv. Liquidated during the year.
v. Incorporated during the year.
vi. Yet to commence operations.
vii. A sale and purchase agreement (SPA) was executed on February 29, 2024, between Redington Gulf FZE, a wholly
owned subsidiary of REDIL, (Seller), and Business Integrated Operating Systems FZ-LLC, Dubai, for the sale of
100% of the equity ownership of Citrus Consulting Services FZ-LLC UAE, (Target), a wholly owned subsidiary of the
Seller and step-down subsidiary of the Company. The transaction was completed on July 16, 2024.
Annexure - Rating History for last 3 Years
Start of
Current 2024 (History) 2023 2022 2021
2021
Outstanding
Instrument Type Rating Date Rating Date Rating Date Rating Date Rating Rating
Amount
CRISIL CRISIL CRISIL CRISIL CRISIL
Fund Based AA+/Stable AA+/Stable AA+/Stable AA/Positive A1+ /
LT/ST 3000.0 -- 07-08-23 14-06-22 25-06-21
Facilities / CRISIL / CRISIL / CRISIL / CRISIL CRISIL
A1+ A1+ A1+ A1+ AA/Stable
CRISIL
-- -- 14-06-23 AA+/Stable -- -- --
/ CRISIL
A1+
Non-Fund CRISIL CRISIL CRISIL CRISIL
Based ST -- -- 07-08-23 14-06-22 25-06-21
A1+ A1+ A1+ A1+
Facilities

-- -- 14-06-23 CRISIL -- -- --
A1+
Commercial ST 1900.0 CRISIL -- 07-08-23 CRISIL 14-06-22 CRISIL 25-06-21 CRISIL CRISIL
Paper A1+ A1+ A1+ A1+ A1+

-- -- 14-06-23 CRISIL -- -- --
A1+
All amounts are in [Link].

[Link] 01_ 2024_RR_349812.html 7/13

 Standard Chartered Bank
Cash Credit 10 CRISIL AA+/Stable
Limited
11/1/24, 10:58 PM Rating Rationale
Cash Credit* 300 Axis Bank Limited CRISIL AA+/Stable
The Hongkong and
Cash Credit* 35 Shanghai Banking CRISIL AA+/Stable
Corporation Limited
Cash Credit* 60 HDFC Bank Limited CRISIL AA+/Stable

Cash Credit* 20 BNP Paribas Bank CRISIL AA+/Stable

Cash Credit* 56 ICICI Bank Limited CRISIL AA+/Stable

Cash Credit* 25 DBS Bank Limited CRISIL AA+/Stable

Proposed Long Term Bank
418.5 Not Applicable CRISIL AA+/Stable
Loan Facility
Short Term Loan* 236 Citibank N. A. CRISIL A1+

Short Term Loan* 280 BNP Paribas Bank CRISIL A1+

Short Term Loan* 240 HDFC Bank Limited CRISIL A1+

Short Term Loan* 200 The Federal Bank Limited CRISIL A1+
Standard Chartered Bank
Short Term Loan* 180
Limited
CRISIL A1+

Kotak Mahindra Bank

Short Term Loan* 75
Limited
CRISIL A1+

The Hongkong and

Short Term Loan* 135 Shanghai Banking CRISIL A1+
Corporation Limited
Short Term Loan* 150 Mizuho Bank Limited CRISIL A1+
Sumitomo Mitsui Banking
Short Term Loan* 50
Corporation
CRISIL A1+

Short Term Loan* 200 RBL Bank Limited CRISIL A1+

Short Term Loan* 110.5 DBS Bank Limited CRISIL A1+

Short Term Loan* 184 ICICI Bank Limited CRISIL A1+

*Facilities are interchangeable between fund and non fund based limits

[Link] 01_ 2024_RR_349812.html 8/13

 Rating criteria for manufaturing and service sector companies
CRISILs Bank Loan Ratings - process, scale and default recognition
11/1/24, 10:58 PM Rating Rationale
CRISILs Criteria for rating short term debt
CRISILs Criteria for Consolidation

Media Relations Analytical Contacts Customer Service Helpdesk

Prakruti Jani Anuj Sethi Timings: 10.00 am to 7.00 pm
Media Relations Senior Director Toll free Number:1800 267 1301
CRISIL Limited CRISIL Ratings Limited
M: +91 98678 68976 B:+91 44 6656 3100 For a copy of Rationales / Rating Reports:
B: +91 22 3342 3000 [Link]@[Link] CRISILratingdesk@[Link]
[Link]@[Link]
Rutuja Gaikwad Poonam Upadhyay For Analytical queries:
Media Relations Director ratingsinvestordesk@[Link]
CRISIL Limited CRISIL Ratings Limited
B: +91 22 3342 3000 B:+91 22 3342 3000
[Link]@[Link] [Link]@[Link]

ARUN KUMAR
Manager
CRISIL Ratings Limited
B:+91 44 6656 3100
ARUN.KUMAR1@[Link]

[Link] 01_ 2024_RR_349812.html 9/13

11/1/24, 10:58 PM Rating Rationale

[Link] 01_ 2024_RR_349812.html 10/13

11/1/24, 10:58 PM Rating Rationale

[Link] 01_ 2024_RR_349812.html 11/13

 debt instruments. We have rated over 33,000 large and mid-scale corporates and financial institutions. We have also instituted
several innovations in India in the rating business, including ratings for municipal bonds, partially guaranteed instruments and
11/1/24, 10:58 PMinvestment trusts (InvITs).
infrastructure Rating Rationale

CRISIL Ratings Limited ('CRISIL Ratings') is a wholly-owned subsidiary of CRISIL Limited ('CRISIL'). CRISIL Ratings Limited is
registered in India as a credit rating agency with the Securities and Exchange Board of India ("SEBI").

For more information, visit [Link]

About CRISIL Limited

CRISIL is a leading, agile and innovative global analytics company driven by its mission of making markets function better.
It is India’s foremost provider of ratings, data, research, analytics and solutions with a strong track record of growth, culture of
innovation, and global footprint.
It has delivered independent opinions, actionable insights, and efficient solutions to over 100,000 customers through businesses
that operate from India, the US, the UK, Argentina, Poland, China, Hong Kong and Singapore.
It is majority owned by S&P Global Inc, a leading provider of transparent and independent ratings, benchmarks, analytics and
data to the capital and commodity markets worldwide.
For more information, visit [Link]

Connect with us: TWITTER | LINKEDIN | YOUTUBE | FACEBOOK

CRISIL PRIVACY NOTICE

CRISIL respects your privacy. We may use your contact information, such as your name, address and email id to fulfil your request and service your
account and to provide you with additional information from CRISIL. For further information on CRISIL's privacy policy please visit [Link].

DISCLAIMER
This disclaimer is part of and applies to each credit rating report and/or credit rating rationale ('report') provided by
CRISIL Ratings Limited ('CRISIL Ratings'). For the avoidance of doubt, the term 'report' includes the information,
ratings and other content forming part of the report. The report is intended for use only within the jurisdiction of
India. This report does not constitute an offer of services. Without limiting the generality of the foregoing, nothing in
the report is to be construed as CRISIL Ratings provision or intention to provide any services in jurisdictions where
CRISIL Ratings does not have the necessary licenses and/or registration to carry out its business activities. Access
or use of this report does not create a client relationship between CRISIL Ratings and the user.
The report is a statement of opinion as on the date it is expressed, and it is not intended to and does not constitute
investment advice within meaning of any laws or regulations (including US laws and regulations). The report is not
an offer to sell or an offer to purchase or subscribe to any investment in any securities, instruments, facilities or
solicitation of any kind to enter into any deal or transaction with the entity to which the report pertains. The recipients
of the report should rely on their own judgment and take their own professional advice before acting on the report in
any way.
CRISIL Ratings and its associates do not act as a fiduciary. The report is based on the information believed to be
reliable as of the date it is published, CRISIL Ratings does not perform an audit or undertake due diligence or
independent verification of any information it receives and/or relies on for preparation of the report. THE REPORT
IS PROVIDED ON “AS IS” BASIS. TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAWS, CRISIL
RATINGS DISCLAIMS WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR OTHER WARRANTIES OR
CONDITIONS, INCLUDING WARRANTIES OF MERCHANTABILITY, ACCURACY, COMPLETENESS, ERROR-
FREE, NON-INFRINGEMENT, NON-INTERRUPTION, SATISFACTORY QUALITY, FITNESS FOR A PARTICULAR
PURPOSE OR INTENDED USAGE. In no event shall CRISIL Ratings, its associates, third-party providers, as well
as their directors, officers, shareholders, employees or agents be liable to any party for any direct, indirect,
incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees or
losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of
any part of the report even if advised of the possibility of such damages.
The report is confidential information of CRISIL Ratings and CRISIL Ratings reserves all rights, titles and interest in
the rating report. The report shall not be altered, disseminated, distributed, redistributed, licensed, sub-licensed,
sold, assigned or published any content thereof or offer access to any third party without prior written consent of
CRISIL Ratings.
CRISIL Ratings or its associates may have other commercial transactions with the entity to which the report pertains
or its associates. Ratings are subject to revision or withdrawal at any time by CRISIL Ratings. CRISIL Ratings may
receive compensation for its ratings and certain credit-related analyses, normally from issuers or underwriters of the
instruments, facilities, securities or from obligors.
CRISIL Ratings has in place a ratings code of conduct and policies for managing conflict of interest. For more detail,
please refer to: [Link]
[Link]. Public ratings and analysis by CRISIL Ratings, as are required to be disclosed under the Securities
and Exchange Board of India regulations (and other applicable regulations, if any), are made available on its

[Link] 01_ 2024_RR_349812.html 12/13

11/1/24, 10:58 PM Rating Rationale
CRISIL Ratings uses the prefix 'PP-MLD' for the ratings of principal-protected market-linked debentures (PPMLD) with effect
from November 1, 2011, to comply with the SEBI circular, "Guidelines for Issue and Listing of Structured Products/Market Linked
Debentures". The revision in rating symbols for PPMLDs should not be construed as a change in the rating of the subject
instrument. For details on CRISIL Ratings' use of 'PP-MLD' please refer to the notes to Rating scale for Debt Instruments and
Structured Finance Instruments at the following link: [Link]
[Link]

[Link] 01_ 2024_RR_349812.html 13/13