Note 1: Corporate information

The Company is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on two stock exchanges in India. The registered office of the Company is located at Thergaon Pune 411033, Maharashtra, India. The Company is primarily engaged in the business of real estate leasing.

The standalone financial statements were authorised for issue in accordance with resolution passed by the Board of Directors of the Company on May 23, 2019.

2.1 Terms/Rights attached to Equity Shares

The Company has only one class of equity shares having a par value of Rs. 2 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees.

In the event of liquidation of the Company, the holder of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

3.1 To the best of knowledge of the company, none of the creditors are ‘Small enterprise’ within its meaning under clause (m) of section 2 of the Micro, Small and Medium Enterprises Development Act, 2006 & therefore principal amount,interest paid/payable or accrued is NIL.

3.2 Land admeasuring about 1,400 Sq.Meters has been acquired by Municipal Corporation for road widening purpose in the earlier years.The Company is entitled to TDR with an out side chance of cash compensation, which is yet to be determined and as such this will be included when finally decided since the relevant documentation is yet to be finalised and executed.

3.3 The Company has no reportable segments.

3.4 Operating lease as Leaser

The Company leases various offices under non cancellable operating lease expiring within two to five years. The leases have varying terms, escalation clauses and renewal rights. On renewal, the terms of the leases are renegotiated.

3.5 The Company does not have any defined benefit obligation hence the related disclosure, as per AS 15 is not applicable.

3.6 Note on Scheme of Amalgamation:

a) During the year, the Company completed amalgamation of it’s wholly owned subsidiaries Pudumjee Hygiene Products Limited (PHPL) and Pudumjee Holdings Limited (PHL) with itself, under the ‘Scheme of Amalgamation’ (the “Scheme”) approved by NCLT vide its order dated December 14, 2018. PHPL is a public company engaged in the business of providing machinery on lease and PHL is a public company carrying investment and financing activity. The Scheme is approved with appointed date as April 1, 2017 i.e. effective date of amalgamation. The necessary filing with the Registrar of Companies was done on January 14, 2019 and accordingly, the Scheme of Amalgamation has been given effect to in accounts for current year. Consequently-

- In terms of the Scheme, the entire business and the whole of the undertakings of PHL and PHPL, as a going concern stands transferred to and vested in the Company with effect from April 01, 2017, being the appointed date.

- As PHL and PHPL were wholly owned subsidiaries of the Company, the investment held by the company in PHL and PHPL stands cancelled and no further consideration is payable in that behalf.

- The amalgamation of PHL and PHPL with the Company is accounted for on the basis of Purchase method as envisaged in the Accounting Standard (AS) - 14 on Accounting for Amalgamations specified in the Companies (Accounting Standard) Rules 2006 and in terms of the Scheme, as below-

All asset and liabilities of the PHL and PHPL were recorded at their respective fair values.

Goodwill of Rs. 222.27 lakhs, recognized on April 1, 2017 being the difference between the value of net assets of the PHL and PHPL transferred to the Company and the carrying value of the Company’s investment in these amalgamating subsidiary companies. The Company has amortised entire Goodwill of Rs. 222.27 lakhs in F.Y. 2017-2018.

b) The net profit/(loss) after tax of the amalgamating companies PHPL and PHL, for the period from appointed date i.e. April 1, 2017 to March 31, 2018 (i.e. last financial year) of Rs.(3.62) lakhs and

full amortisation of Goodwill of ‘222.27 lakhs, resulting out of the Scheme, have been adjusted in opening Surplus in profit and loss account of the Company as on April 1, 2018.

c) Comparative accounting period presented in these financial statements have not been restated for accounting the impact of amalgamation. Hence, the same is not comparable with current accounting period.

d) All cost, charges and expenses including stamp duties arising out of or incurred so far in carrying out and implementing the Scheme and matters incidental thereto, have been debited to Profit and loss account as per the Scheme.

3.7 The items and figures for the previous year have been recast and regrouped wherever necessary to conform to this year’s presentation.