Regd. Office: #8-2-293/82/A/1107. Road Number 55, Jubilee Hills, Hyderabad, Telangana 500033. Tel: +91-40-2354 7447 E-mail: [email protected] www.terasoftware.com

BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza, C-1, Block G, Dalal Street, Fort Banda Kurla Complex, Bandra (F) Mumbai-400001 Mumbai-400051 Scrip Code: 533982 Symbol: TERASOFT

Respected Sir/Madam,

Sub: Intimation of revision / upgrade in Credit Rating under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

Pursuant to Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find below the details of the revision / upgrade in credit rating issued by Infomerics Valuation and Rating Pvt. Ltd. (Credit Rating Agency) vide its Letter dated January 8, 2025. You are requested to take the same on your records.

Facilities	Amount	Existing	Revision/Upgrade
	(Rs. Crores)
Long Term Fund Based Bank	24.00	IVR BB+/ Stable	IVR BBB-/ Stable
Facilities - Cash Credit		(IVR Double B Plus	(IVR Triple B Minus
		with Stable Outlook)	with Stable Outlook)
Long Term Non-Fund Based	41.00	IVR BB+/Stable	IVR BBB-/ Stable
Bank Facilities - Bank		(IVR Double B Plus)	(IVR Triple B Minus
Guarantee		with Stable Outlook)	with Stable Outlook)
Proposed Long Term Non-	385.00	IVR BB+/Stable	IVR BBB-/ Stable
Fund Based Bank Facilities -	(enhanced	(IVR Double B Plus)	(IVR Triple B Minus
Bank Guarantee	from $33.30$ )	with Stable Outlook)	with Stable Outlook)
Proposed Long Term Fund	50.00		IVR BBB-/ Stable
Based Bank Facilities - Cash			(IVR Triple B Minus
Credit			with Stable Outlook)
Total	500.00 (Rupees Five hundred Crores Only)

The report from the credit rating agency is enclosed.

Thanking You.

Yours truly, For TERA SOFTWARE LIMITED $\sqrt{M}$ CH. MALLIKARJUNA

Company Secretary & Compliance Officer M.No. A47545

INFOMERICS VALUATION AND RATING PVT. LTD. Integrated Financial Omnibus Metrics Research of International Corporate Systems

Mr. Gopichand Tummala
Managing Director
Tera Software Limited
MCH NO-8-2-293/82/A/1107,
Road no. 55 Plot no. 1107,
Jubilee Hills, Hyderabad-500033

January 8, 2025

Dear Sir

Credit rating for bank facilities

After taking into account all the relevant recent developments including operational and financial performance of your company for FY24 (Audited),

Facilities	Amount (Rs. crore)	Example 10 For Care we determined the relations: Current Ratings	Previous Ratings	Rating
Long Term Fund Based Bank Facilities Cash $\frac{1}{2}$ Credit	24.00	IVR BBB-/ Stable (IVR Triple B Minus with Stable Outlook)	IVR BB+/Stable (IVR Double B Plus with Stable Outlook)	Action Rating Upgraded
Long Term Non- Fund Based Bank Facilities $\sim$ Bank Guarantee	41.00	IVR BBB-/ Stable (IVR Triple B Minus with Stable Outlook)	IVR BB+/ Stable (IVR Double B Plus with Stable Outlook)	Rating Upgraded
Proposed Long Term Non-Fund Based Bank Facilities $\overline{\phantom{a}}$ Bank Guarantee	385.00 (Enhanced from 33.30	IVR BBB-/ Stable (IVR Triple B Minus with Stable Outlook)	IVR BB+/ Stable (IVR Double B Plus with Stable Outlook)	Rating Upgraded
Proposed Long Term Fund Based Bank Facilities Cash Credit	50.00	IVR BBB-/ Stable (IVR Triple B Minus with Stable Outlook)		Assigned
Total	500.00 (Rupees Five Hundred crore only)

$1.$ Our Rating Committee has reviewed the following ratin

Page 1 of 6

Head Office: Flat No. 104/108, First Floor Golf Apartments, Sujan Singh Park, Maharishi Ramanna Marg, New Delhi - 110003, (INDIA) Phone: 011 - 41410244, 40154576, 24611910, 24654796 Fax: 011 - 24627549

Corporate Office: Office No. 1102,1103,1104, B-Wing, Kanakia Wall Street, Off. Andheri Kurla Road,Andheri East, Mumbai-400093, (INDIA) Phone No.: 022 - 62396023, 62396053 E-mail: [email protected], Website: www.infomerics.com

CIN: U32202DL1986PTC024575

$2.$ Details of the credit facilities are attached in Annexure I. Our rating symbols for long-term and short-term ratings and explanatory notes thereon are attached in Annexure II.

$\overline{3}$ The press release for the rating(s) will be communicated to you shortly.

The above rating is normally valid for a period of one year from the date of the $\overline{4}$ . rating committee (that is. January 8, 2025).

If the proposed long term / short term facility (if any) is not availed within a period 5. of six months / three months respectively from the date of this letter, then the rating may please be revalidated from us before availing the facility.

INFOMERICS reserves the right to undertake a surveillance/review of the rating(s) 6. from time to time, based on circumstances warranting such review, subject to at least one such review/surveillance every year.
A formal surveillance/review of the rating is normally conducted within 12 months $\overline{7}$ from the date of initial rating/last review of the rating. However, INFOMERICS reserves the right to undertake a surveillance/review of the rating more than once a year if in the opinion of INFOMERICS, circumstances warrant such surveillance/review.
You shall provide us with a No Default Statement as at the last date of the 8. month on the first date of succeeding month without fail. The NDS shall be mailed every month to [email protected] and to the mail id of the undersigned.
You shall provide the quarterly performance results/quarterly operational data 9. (being submitted to Banks) to us within 6 weeks from the close of each calendar quarter for our review/monitoring.
You shall furnish all material information and any other information called for by $10.$ INFOMERICS in a timely manner, for monitoring the rating assigned by INFOMERICS. In the event of failure on your part in furnishing such information, to carry out continuous monitoring of the rating of the bank facilities, INFOMERICS shall carry out the review/annual surveillance based on best available information throughout the lifetime of such bank facilities as per the policy of INFOMERICS.

Page 2 of 6

Please note that INFOMERICS ratings are not recommendations to buy, sell or 11. hold any security or to sanction, renew, disburse or recall the bank facilities. INFOMERICS do not 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.

Users of this rating may kindly refer our website www.infomerics.com for latest $12.$ update on the outstanding rating.
1. Further, this is to mention that all the clauses mention in the initial rating letter dated August 22, 2019 are also applicable. If you need any clarification, you are welcome to approach us in this regard.

Thanking you,

Yours faithfully,

Bharti Choudhary Rating Analyst [email protected]

Amey Joshi Director - Ratings [email protected]

Encl.: As above

Disclaimer: Infomerics ratings are based on information provided by the issuer on an 'as is where is' basis. Infomerics credit ratings are an opinion on the credit risk of the issue / issuer and not a recommendation to buy, hold or sell securities. Infomerics reserves the right to change or withdraw the credit ratings at any point in time. Infomerics ratings are opinions on financial statements based on information provided by the management and information obtained from sources believed by it to be accurate and reliable. The credit quality ratings are not recommendations to sanction, renew, disburse or recall the concerned bank facilities or to buy, sell or hold any security. We, however, do not guarantee the accuracy, adequacy or completeness of any information, which we accepted and presumed to be free from misstatement, whether due to error or fraud. We are 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 us have paid a credit rating fee, based on the amount and type of bank facilities/instruments. In case of partnership/proprietary concerns/Association of Persons (AOPs), the rating assigned by Infomerics is based on the capital deployed by the partners/proprietor/ AOPs and the financial strength of the firm at present. The rating may undergo change in case of withdrawal of capital or the unsecured loans brought in by the partners/proprietor/ AOPs in addition to the financial performance and other relevant factors.

Page 3 of 6

Annexure I

1. Long Term Bank Facilities

1.1. Long term Rupee Term Loan: Not Applicable

Name of	Facility				(Rs. Crore)
Lender		Sanctioned Amount	Amount Outstanding as on 30/09/2024	Rated Amount Repayment	Terms
Total

1.2. Fund based working capital Limits:

$(Re Crone)$

Name of Bank	(10.5) Fund/ Non Fund Based Limits
	Cash Credit	Bank Guarantee	Other Non-Fund Based Limits please specify
Canara Bank	14.00	26.00*
Bank of Maharashtra	10.00	15.00^
Proposed	50.00	385.00
Total $\mathbf{r}$ , $\mathbf{r}$ , $\mathbf{r}$ , $\mathbf{r}$ , $\mathbf{r}$ , $\mathbf{r}$	74.00	426.00

*Sub-limit of Bank Guarantee - Procurement of material/ equipment: Rs. 10.00 crore and Sub-limit of Letter of Credit: Rs. 10.00 crore ^ Sub-limit of Letter of Credit: Rs. 8.00 crore

2. Short Term Bank Facilities: Not Applicable

2.1. Non-Fund based working capital Limits : Not Applicable

$(Rs, CnnP)$

	Non-Fund Based Limits	$110.$ OIUIC.
BG	Others (please specify)	Other Non-Fund Based Limits please specify

Bharit

Annexure II Credit Rating - Long Term Rating Scale

Long term: Original maturity exceeding one year

Raung Symbol	Rating Definition
IVR AAA	Securities with this rating are considered to have the highest degree of safety regarding
IVR AA	timely servicing of financial obligations. Such securitiescarry lowest credit risk. Securities with this rating are considered to have high degree of safety regarding timely
IVR A	servicing of financial obligations. Such securities carryvery low credit risk. Securities with this rating are considered to have adequate degree of safetyregarding
IVR BBB	timely servicing of financial obligations. Such securities carry low credit risk Securities with this rating are considered to have moderate degree of safetyregarding
IVR BB	timely servicing of financial obligations. Such securities carry moderate credit risk. Securities with this rating are considered to have moderate risk of defaultregarding timely servicing of financial obligations.
IVR B	Securities with this rating are considered to have high risk of defaultregarding timely servicing of financial obligations.
IVR C	Securities with this rating are considered to have very high risk of defaultregarding timely servicing of financial obligations.
IVRD	Securities with this rating are in default or are overally district to

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories ng are in default or are expected to be in default soon. AA to C. The modifiers reflect the comparative standing within the category.

The above rating scale also applies to rating of bank loans, fixed deposits and other instruments.

Bhart

Credit Rating - Short Term Rating Scale
Short term: Original maturity of up to one year

Rating Symbol	Rating Definition
IVR A1	Securities with this rating are considered to have very strong degree of safety regarding timely payment of financial obligations. Such securities carry lowest credit risk
IVR A2	Securities with this rating are considered to have strong degree of safety regarding timely payment of financial obligations. Such securities carry low credit risk.
IVR A3	Securities with this rating are considered to have moderate degree of safety regarding timely payment of financial obligations. Such securities carry higher credit risk as compared to instruments rated in the two higher categories.
IVR A4	Securities with this rating are considered to have minimal degree of safety regarding timely payment of financial obligations. Such securities carry very high credit risk and are susceptible to
IVRD	Securities with this rating are in default or expected to be in default on maturity.
instruments.	Modifier {"+" (plus)} can be used with the rating symbols for the categories A1 to A4. The modifier reflects the comparative standing within the category. The above rating scale also applies to rating of bank loans, fixed deposits and other

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Tera Software Ltd. Capital/Financing Update 2025