ORIENT CEMENT LIMITED — Capital/Financing Update 2019

Oct 3, 2019

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October 3, 2019

Street, Fort Mumbai - 400 051 Mumbai-400001 Security Code: 535754 Symbol: ORIENTCEM

Bombay Stock Exchange Limited National Stock Exchange of India Limited New Trading Ring, "Exchange Plaza", Plot No. C-1, Block G Rotunda Building, P J Towers, Dalal Sandra - Kurla Complex, Sandra (East),

Sub: Disclosure under Regulation 30 of SEBI (Listing Obligations and Disclosure Reguirement} Regulations, 2015

Dear Sir, ... \

This is to inform you that CARE Ratings Limited (formerly Credit Analysis & Research Limited) has reviewed the below mentioned ratings of the Company:

Failitiecs	A)t{Rmouns.crore	Rinatg
faLoBkilititngermances	1,237.40	CAREAA-(DbleAins)oumu
CCialPa(P)ommercper	150	CAOREAl+(APlus)ne
issue
C(C)ialPaPommercper	100	CA(Os)REAl+APlune
issue

In this regard, the communication dated October 01, 2019, received on October 03, 2019, from Care Ratings Limited is attached herewith.

This is for your information and records.

Thanking you,

Ends: as stated

Orient Cement Limited

Corporate Office: Birla Tower, 3rd fl, 25 Barakhamba Road, New Delhi 110001, India. 01142092100 Registered Office: Unit VIII, Plot No.7, Bhoinagar, Bhubaneshwar, Odisha 751012, India. www.orientcement.com (IN No: L269400R2011PLC013933

No. CARE/DRO/RL/2019-20/2412

Mr. Deepak Khetrapal Managing Director & CEO Orient Cement Limited Birla Tower, 3rd Floor, 25. Barakhamba Road, New Delhi-110001

October 1, 2019

Confidential

Dear Sir,

Credit rating for bank facilities

On the basis of recent developments including operational and financial performance of your company for FY19 (audited) and Q1FY20 (unaudited), our Rating Committee has reviewed the following ratings:

Facilities	Amount(Rs. crore)	Rating 1	Rating Action
Long term BankFacilities	1,237.40(reduced from 1,278.19)	CARE AA-; Stable(Double A Minus;Outlook: Stable)	Reaffirmed;Outlook revised from'Negative' to 'Stable'
Total	1,237.40(Rs. One Thousand TwoHundred Thirty Seven croreand Forty lakh only)

Refer Annexure 1 for details of rated facilities. $\overline{2}$ .

The rationale for the rating will be communicated to you separately. A write-up (press $3.$ release) on the above rating is proposed to be issued to the press shortly, a draft of which is enclosed for your perusal as Annexure-2. We request you to peruse the annexed document and offer your comments if any. We are doing this as a matter of courtesy to our clients and with a view to ensure that no factual inaccuracies have inadvertently crept in. Kindly revert as early as possible. In any case, if we do not hear from you by October 3, 2019, we will proceed on the basis that you have no any comments to offer.

1Complete definitions of the ratings assigned are available at www.careratings.com and in other CARE publications.

13th Floor, E-1 Block, Videocon Tower Jhandewalan Extension, New Delhi - 110 055. Tel: +91-11-4533 3200 . Fax: +91-11-4533 3238

CIN-L67190MH1993PLC071691

• 1. CARE reserves the right to undertake a surveillance/review of the rating from time to time, based on circumstances warranting such review, subject to at least one such review/surveillance every year.
• S. CARE reserves the right to revise/reaffirm/withdraw the rating assigned as also revise the outlook, as a result of periodic review/surveillance, based on any event or lnformailon which in the opinion of CARE warrants such an actlon. In the event of falh.1re on the part of the entity 10 furnish such information, material or danflcatlons as may be required by CARE so as to enable it to carry out continuous monitormg of the rating of the bank facilities, CARE shalt carry out the review on the basis of best available information throughout the life time of such bank facilltles. In such cases the credrt rating symbol shall be accompanied by •1ssuER NOT COOPERATING•. CARE shall also be entitled to publicize/disseminate all the afore-mentioned rating actions In any manner considered appropriate by It, without reference to you.
• 1. CARE ratings do nol take Into account the sovereign risk, If any, attached to the foreign currency loans, and the ratings are applicable only to the rupee equivalent of these loans.
• 1. Our ratings do not factor In any rating related trigger clauses as per the terms of the facility/Instrument, whlch may involve acceleration of payments In case of ratlng downgrades. However, If any such clauses are Introduced and If triggered, the ratings may see volatility and sharp downgrades.
• 1. users of this rating may kindly refer our website www.careratinas com for latest update on the outstanding rating.
• 1. CARE ratings are not recommendations to sanction, renew, disburse or recall the concerned bank latilities.

If you need any clarification, you are welcome to approach us in this regard.

Thanking ycu,

Yours faOThfully,

CARE Rating, limited tf--'I' -- .. �.......,..." -"' llml-')

Swate Jamett

Swati Jairath Senior Manager swati.jairath@careratings.com

Jasmeen Kaur

Deputy General Manager jasmeen.kaur@careratings.com

Encl.: As above

Disclaimer

CARE's ratings are opinions on the likelihood of timely payment of the obligations under the rated instrument and are not recommendations to sanction, renew, disburse or recall the concerned bank facilities or to buy, sell or hold any security. CARE's ratings do not convey suitability or price for the investor. CARE's ratings do not constitute an audit on the rated entity. CARE has based its ratings/outlooks on information obtained from sources believed by it to be accurate and reliable. CARE does not, however, guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. Most entities whose bank facilities/instruments are rated by CARE have paid a credit rating fee, based on the amount and type of bank facilities/instruments. CARE or its subsidiaries/associates may also have other commercial transactions with the entity. In case of partnership/proprietary concerns, the rating /outlook assigned by CARE is, inter-alia, based on the capital deployed by the partners/proprietor and the financial strength of the firm at present. The rating/outlook may undergo change in case of withdrawal of capital or the unsecured loans brought in by the partners/proprietor in addition to the financial performance and other relevant factors. CARE is not responsible for any errors and states that it has no financial liability whatsoever to the users of CARE's rating.

Our ratings do not factor in any rating related trigger clauses as per the terms of the facility/instrument, which may involve acceleration of payments in case of rating downgrades. However, if any such clauses are introduced and if triggered, the ratings may see volatility and sharp downgrades.

Page 3 of 9

Annexure 1 Details of Rated Facilities

Long-term facilities 1.

1.A. Facility 1 (Secured rupee term loans)

Sr.No.	Lender	Rated Amount(Rs. Crore)	Remarks(Outstanding)	Debt Repayment Terms
	State Bank of India	557.56	Outstanding	quarterlyun-equal56
2.	Punjab National Bank	91.00		repayments from June 30,
3.	Indian Bank	153.00		2017 till March 31, 2031
4.	Export Import Bank of India	91.00
5.	HDFC Bank	217.44
6.	ICICI Bank	127.40
	Total	1,237.40

Rs.1,237.40 crore Total long-term facilities as at .... (1.A)

Page 4 of 9

CARE Ratings Limited(Formerly known as Credit Analysis & Research Limited)

13th Floor, E-1 Block, Videocon Tower, Jhandewalan Extension, New Delhi - 110 055.Tel: +91-11-4533 3200 • Fax: +91-11-4533 3238 • www.careratings.com • CIN-167190MH1993PLC071691

No. CARE/DRO/RL/2019-20/2413

Mr. Deepak Khetrapal Managing Director & CEO Orient Cement Limited Birla Tower, 3rd Floor. 25, Barakhamba Road, New Delhi-110001

October 1, 2019

Confidential

Dear Sir,

Credit rating for Commercial Paper (CP) issue aggregating Rs. 250 crore1

On the basis of recent developments including operational and financial performance of your company for FY19 (audited) and Q1FY20 (unaudited), our Rating Committee has reviewed the following rating(s):

Instrument	Amount(Rs. crore)	Rating 2	Rating Action
Commercial Paper (CP)issue*	150(Rs. One hundred and fiftycrore only)	CARE A1+(A One Plus)	Reaffirmed
Commercial Paper (CP)issue	100(Rs. One hundred crore only)	CARE A1+(A One Plus)	Reaffirmed
Total	250(Rs. Two hundred and fiftycrore only)

*carved out of the sanctioned working capital limits of the company.

• 1. The CP issue would be for a maturity not exceeding one year.
• 1. Please arrange to get the rating revalidated in case the issue is not made within two months from the date of this letter i.e. by November 30, 2019. Once the CP is placed, the rating is valid for the tenure of such instrument till redemption.
• 1. Please inform us the below-mentioned details of issue immediately, but not later than 7 days from the date of placing the instrument:

Instrumenttype	ISIN	IssueSize(Rscr.)	CouponRate	CouponPaymentDates	Terms ofRedemption	Redemptiondate	Name andcontactdetails ofTrustee/IPA	Details oftop 10investors
--------------------	-------------	------------------------------	----------------	----------------------------	------------------------	--------------------	--------------------------------------------------	-----------------------------------

CORPORATE OFFICE: 4* Floor, Godrej Collseum, Somalya Hospital Road, Off Eastern Express Highway, Sion (E), Mumbai - 400 022. Tel.: +91-22-6754 3436 . Fax: +91-22-6754 3457 Email: care@careratings.com . www.careratings.com

<sup>1 This represents the aggregate of all CP issuda AREf Ration published and ing at any point in time. 2Complete definitions of the rathas best where the findle brains of Bestiman is research in other CARE publications.

• 1. The rationale for the rating will be communicated to 'OU scpara:ely. A write-up (press release) on the above rating Is proposed to be Issued to the pren shortly, a draft of which Is enclosed for your perusal as Annuure. We request you to peruse the anneKed document and offer your commenu if any. We are doing this ;is a matter of courtesy to our clients ;ind wlth a view to ensure that no factual Inaccuracies have Inadvertently crept In. Klndly revert as early as possible. In any case, if we do not hear from you by October 3, 2019, we will proceed on the basis thit you have no any comments to offer.
• 1. CARE reserves the right to undertake ;i surveillance/review of the rating from time to time, based on circumstances wurinting such review, subject to at least one such rt1view/n1rvPHlance every year.
• 1. CARE reserves the right to revise/reaffirm/withdraw the rating assigned as a result of periodic review/surveillance, based on 1ny event or lnfomiitloll wh!ch In the opinion of CARE warrants such an action. In the event of failure on the part of the entity to furnbh such Information, materiil or clarificatlons as may be required by CARE so as to enable It to urry out continuous monitoring of the rating of the debt Instruments, CARE shall carry out the review on the basis of best available information throughout the life time of such instruments. In such cases the credit rating symbol shall be accompanied by "ISSUER NOT COOPERATING". CARE shall also be entltled to publlclte/dissemlnate all the afore-mentioned rating aCIIMs in any manner considered appropriate by It, without reference to you.
• 1. Our ratings do not factor In any rating related trigger clauses as per the terms of the facility/instrument, whlch may involve accelerat,on of payments In case of rating downgrades. However, If any such dausu are Introduced and 1f triggered, the ratings may see volatility and sharp downe,rades.
• 1. Users of this rating may klndly refer our weusne www.care,,;ings com for l lest update on the outst;mdlng rating.
• 10 CARE ratings are not -eccmmcndatlcns 10 buy, sell, er hold any securities.

If you need any clarification, you are welcome to approach us In this regard. Thanking you,

Yours faithfully,

•»-.l., ..... ._v-..,-.- .... i....---·, •OOH. •••t1.n-osnuoo · ,.., • .,.,,-on1»M. -�•• 1 - . ON-u11_,"ll'lco11t,,

Imatitaisatt

Swati Jairath Senior Manager swati.jairath@careratings.com

Jasmeen Kaur Deputy General Manager jasmeen.kaur@careratings.com

Encl.: As above

Disclaimer

CARE's ratings are opinions on the likelihood of timely payment of the obligations under the rated instrument and are not recommendations to sanction, renew, disburse or recall the concerned bank facilities or to buy, sell or hold any security. CARE's ratings do not convey suitability or price for the investor. CAPE's ratings do net constitute an audit on the rated entity. CARE has based its ratings/outlooks on information obtained from sources believed by it to be accurate and reliable. CARE does not, however, guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. Most entities whose bank facilities/instruments are rated by CARE have paid a credit rating fee, based on the amount and type of bank facilities/instruments. CARE or its subsidiaries/associates may also have other commercial transactions with the entity. In case of partnership/proprietary concerns, the rating /outlook assigned by CARE is, inter-alia, based on the capital deployed by the partners/proprietor and the financial strength of the firm at present. The rating/outlook may undergo change in case of withdrawal of capital or the unsecured loans brought in by the partners/proprietor in addition to the financial performance and other relevant factors. CARE is not responsible for any errors and states that it has no financial liability whatsoever to the users of CARE's rating.

Our ratings do not factor in any rating related trigger clauses as per the terms of the facility/instrument, which may involve acceleration of payments in case of rating downgrades. However, if any such clauses are introduced and if triggered, the ratings may see volatility and sharp downgrades.