General Updates

PROUD TO BE INDIAN PRIVILEGED TO BE GLOBAL HEG/SECTT /2026 July 14,2026 1. BSE Limited 2 National Stock Exchange of India Limited P J Towers Exchange Plaza, 5th Floor Dalal Street Plot No.C/1, G Block, Bandra - Kurla Complex MUMBAI - 4OO OO1. Bandra (E), MUMBAI - 400 051. Scrip Code:509631 Scrip Code: HEG Subjech Intimation under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 20L5 - Credit Rating Assigned to Wholly Owned Subsidiary for its Bank Loan Facilities Dear Sir/Madam, Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that India Ratings and Research (Ind-Ra) has assigned a credit rating to the bank loan facilities of our wholly owned subsidiary, TACC Limited. The assigned rating is 'IND A-'with Outlook Stable, as detailed in the attached rating rationale. This is for your information and record. Thanking you, Yours faithfully, For HEG Limited Secretary A-13263 heg.investor@lnj bhilwara.com EncL as above HEG LIMITED Gorporate Offlce : CERTIFIED (6)H CERTIFIED (@ lc Regd. Off,ce: Bhilwara Towers, A-12, Sector-1 tso 9001 # luxAsl tso 14001 r:# l-!kasl Mandideep (Near Bhopal) Noida-201 301 (NCR-Delhi), lndia Dlsft. Raisen - 462046, Tel. : +91-1204390300 (EPABX) CERTIFIED (@ t t- o'! tI (Madhya Pradesh), lndia Fax: +91-1204277841 tso 45001 I't Tel.: +91-7480-405500, 233524 to 233527 GSTIN No.' 09AAACH 618/:J<2Zi GSTIN No.: 23AMCH6184K1ZH Website : www.lnjbhilwara.com Corporate ldentification No.: U3109MP1972P1C008290 Website : www.hegltd.com India Ratings Assigns TACC’s Bank Loan Facilities ‘IND A-’; Outlook Stable Jul 14, 2026 | TACC Limited | Other Industrial Products India Ratings and Research (Ind-Ra) has rated TACC Limited’s bank loan facilities as follows: Details of Instruments Instrument Regulator of Date of Coupon Maturity Size of Issue Rating Assigned with Rating Type Instrument Issuance Rate Date (INR million) Outlook/Watch Action Bank loan RBI - - - 12,300 IND A-/Stable/IND A1 Assigned facilities Analytical Approach Ind-Ra has assessed the standalone profile of TACC while factoring in support from its 100% parent company - HEG Ltd (‘IND AA-’/Rating Watch with Developing Implications, post amalgamation and implementation of the scheme of arrangement - HEG Greentech), while assigning the ratings, given the strong legal, operational, and strategic linkages between TACC and HEG (post demerger, HEG Greentech). Detailed Rationale of the Rating Action The ratings reflect TACC’s strong parentage, with HEG/HEG Greentech demonstrating significant strategic intent and financial commitment through equity infusion, quasi-equity support, and guarantees for the project debt. Ind-Ra believes TACC will be integral to the LNJ Bhilwara group’s long-term strategy of building an integrated energy transition platform, HEG Greentech. HEG’s established track record in high-temperature graphitisation, backed by decades of experience in graphite electrode manufacturing, provides comfort with respect to process understanding, raw material sourcing, and operational execution, partially mitigating technology risks. Ind-Ra expects the parent and the group to continue extending need-based financial and operational backing to TACC’s project. The demand outlook for synthetic graphite anode material remains favourable, driven by policy-led domestic capacity expansion, import substitution opportunities due to limited local manufacturing, and export potential under the China Plus One strategy. This is expected to support revenue visibility and healthy EBITDA margins for the project. The project further benefits from comfortable funding visibility, a structured debt profile with a moratorium period, and adequate debt protection mechanisms. However, the ratings are constrained by project execution, technology, and stabilisation risks, given the greenfield nature of the project and the complexity of the graphitisation process, which requires consistent quality and precision. The EBITDA profile would remain sensitive to synthetic anode product realisations, raw material price volatility, and the ramp up of capacity utilisation. Additionally, Ind-Ra expects the operations to remain working capital-intensive due to import dependency, graphitisation processing cycles, and an extended inventory holding period. Timely project execution, successful stabilisation, customer qualification, and efficient working capital management will remain key rating monitorables. List of Key Rating Drivers Strengths - Strong parental support - Favourable demand outlook supported by policy push and import substitution opportunities - Comfortable funding visibility for project with strong financial flexibility - Revenue and EBITDA profile supported by export-led demand; although realisation and capacity utilisation risks persist Weaknesses - Exposure to raw material price fluctuations and import dependency - Project execution, technology and stabilisation risks - Operations likely to be working capital-intensive Detailed Description of Key Rating Drivers Strong Parental Support: The rating factors in the strong parental support from HEG (post amalgamation and implementation of the scheme of arrangement - HEG Greentech), given TACC’s strategic importance for the LNJ Bhilwara group’s energy transition platform strategy. TACC has been incorporated for setting up the manufacturing facility for lithium-ion battery-grade synthetic graphite anode material with a capacity of 20,000 tonnes per annum (TPA) at Sirsoda Industrial Area in Dewas, Madhya Pradesh. The estimated project cost of INR18,927 million is proposed to be funded at a debt-to-equity ratio of 65:35. The present parent, HEG, has fully guaranteed TACC’s sanctioned term loan of INR12,030 million, extended INR4,000 million of optionally convertible debentures (OCDs) at a nominal 0.01% coupon rate for 10 years and infused equity amounting INR1,600 million as of end-March 2026. The total project funding required from the sponsor is estimated at around INR6,620 million, of which 88% has been infused till end-March 2026. Furthermore, the presence of HEG’s managing director and chief executive officer on TACC’s board reflects strong managerial oversight and strategic alignment. The primary business of HEG is manufacturing graphite electrodes and has a 100,000-tonnes-per-annum graphite electrode manufacturing capacity in Madhya Pradesh. Pursuant to the board approval on 10 March 2025 of the modified scheme of arrangement among HEG, Bhilwara Energy Ltd (‘IND A+’/Rating Watch with Developing Implications) and HEG Graphite Limited, Bhilwara Energy (held 42.06% by promoters and promoter entities, and 40.43% by HEG at end- March 2026) will be merged into HEG to form HEG Greentech. The promoters are likely to hold around 60% of HEG Greentech, with the remaining shares held by public shareholders and investors. Ind-Ra believes that TACC’s operations will be integral for HEG and post the amalgamation exercise, the ultimate entity, HEG Greentech to create an integrated energy transition platform. By leveraging HEG’s decades of experience in graphite technology, the LNJ Bhilwara group is now setting up this venture for the manufacturing of synthetic graphite for anode material used in lithium-ion batteries to address the growing demand for batteries for electric vehicles (EVs) and battery energy storage systems amid the government’s emphasis on promoting local battery manufacturing. The proposed amalgamation aims to develop an integrated energy transition platform with a strong focus on scaling its advanced battery materials segment. Ind-Ra, therefore, views TACC as strategically important in furthering the group’s plans to expand in the EV and energy storage value chains, and establish itself as an integrated energy transition platform. Ind-Ra expects the parent and the group to continue extending need-based financial and operational suppor [Showing first 8,000 characters — download PDF for full document]