Apollo Micro Systems Limited entered into a Term Loan Agreement with State Bank of India. Purpose of entering into the Agreement: to avail Term Loan (TL) of INR 1,100 million for implementation of the upcoming project, Integrated Plant for Ingenious Defence Systems (IPiDS) at Hardware Park, Hyderabad and renewal cum enhancement of the following Working Capital (WC) credit facilities from State Bank of India: The Cash Credit (CC) limit has been renewed and enhanced from an existing limit of INR 525 million to INR 575 million. The Inland Bank Guarantee (IBG) limit has been renewed and enhanced from an existing limit of INR 400 million to INR 500 million.

The Inland Letter of Credit (ILC) limit has been renewed for INR 350 million. Size of agreement: INR 2,525 million. in case of loan agreements, details of lender, nature of the loan, total amount of loan granted, total amount outstanding, date of execution of the loan agreement/sanction letter, details of the security provided to the lenders for such loan: - Lender: State Bank of India.

Nature of the Loan: Term Loan (TL) and renewal cum enhancement of the Working Capital (WC) credit facilities. Total Loan Amount: Term Loan of INR 1,100 million & Renewal and Enhancement of Credit Facilities of INR 1,425 million. Total Amount Outstanding: INR 1,222.1 million.

Date of execution of the loan agreement/sanction letter: March 23, 2024. Security: First paripassu charge by way of hypothecation of entire current assets of the company present and future along with other MBA banks. First charge by way of hypothecation on fixed assets of the company present and future, excluding first charge on movable fixed assets for R&D activities funded by Bajaj Finserv Ltd. towards their term loan of INR 150 million.

Extension of hypothecation of charge created for Cash Credit. First exclusive charge by way of EM & hypothecation on properties mentioned in the sanction letter dated February 17, 2024 along with entire charge on super structures present and future. Land of 2.50 acre & Building, plant & machinery existing and proposed for setting up of manufacturing facility at Hardware Park 2 from TSIIC Plot No.

9. Personal Guarantee of Mr. Baddam Karunakar Reddy, Mr. Chandrapati Venkata Siva Prasad, Mr. Addepalli Krishna Sai Kumar and Mr. Chandra Prakash Reddy. Interest: Renewal of Working Capital limits - 2% above 6 month MCLR present effective rate 10.55% p.a. with monthly rests. (Current 6 month MCLR being 8.55).

Term Loan ­ 1.40 % p.a. above 6 month MCLR, present effective being 9.95% p.a. to be reset every 6 months and reviewed annually. 8. Tenure: Renewal of Working Capital limits will be due after 12 months i.e., on February 8, 2025. Term Loan - Last installment will due on December 31, 2031.

Repayment: Renewal of Working Capital limits will be repayable on Demand. Term Loan ­ The principal will be repaid in 27 Quarterly Installments commencing from March 31, 2025 to September 30, 2031, INR 39.3 million each and last 28th installment will be repaid on December 31, 2031 at INR 38 .9 million Interest will be paid as and when applied.