FINANCIAL INDEBTEDNESS

Our Company avails credit facilities in the ordinary course of our business for the purpose of meeting working
capital requirements.

Pursuant to the provisions of the Companies Act, 2013 and the rules framed thereunder, our Board is authorised
to borrow such monies which together with the money already borrowed does not exceed the paid-up share capital
and free reserves of our Company. Pursuant to our Articles of Association and pursuant to the Board resolution
dated August 9, 2021 and the special resolution passed by our Shareholders on August 9, 2021, our Board has
been authorised to borrow sums of money not exceed the amount of % 3,000 million over and above the aggregate
of the paid-up share capital, free reserves and securities premium of our Company.

Set forth below is a brief summary of our aggregate outstanding borrowings, as on September 30, 2021.

(in million)

 

Sanctioned Amount Amount outstanding as on

Category at Bereawing (to the extent applicable) September 30, 2021
Working Capital facilities

Secured

Fund based 700 Nil
Non-fund based (Sub Limit) 450 301
Total borrowings 700 301

 

*As certified by G. Natesan & Co, Chartered Accountants, by way of their certificate dated October 30, 2021.
Key terms of our secured borrowings are disclosed below:
. Tenor: The tenor of the working capital facilities availed by us is maximum up to 12 months.

. Interest rate: The working capital facility availed by our Company from RBL Bank has a variable interest
rate which is mutually decided by the parties from time to time and the working capital facility with
ICICI Bank is tied to a base rate/ MCLR as specified by the lender with a reset option and subject to
prevailing money market condition.

. Security: In terms of our borrowings where security needs to be created, we are typically required to
create security by way of first charge on our current assets (both present and future) and on our entire
movable and immovable fixed assets (both present and future). Further, our borrowings are also
guaranteed by our Promoter Directors.

. Repayment: Our working capital facilities are repayable on demand.

. Restrictive Covenants: As per the terms of our loan agreements, certain corporate actions for which our
Company requires prior written consent of the lenders include:

a) Change in ownership or control of our Company;
b) Amending the Constitutional Documents of the Company;
c) Formulating any scheme of amalgamation, compromise, reconstruction, consolidation,

demerger or merger;

d) Declaration of dividends or distribution of profits except where the instalments of principal and
interest payable to a particular lender is being paid regularly and there are no irregularities in
relation thereto;

e) Raising further debt (other than as unsecured loans from shareholders), or availing any credit
facilities or accommodation from any banks or financial institutions, or any person, firm, or
company;

f) Effecting any changes to the capital structure or the company; and

g) Undertaking any new business, or operations, or project, or diversification, modernisation, or

substantial expansion of existing business or of any project.

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