(a) Terms/rights attached to Equity Shareholders

The Company has only one class of Equity shares having a par value of H 10 per share .Each holder of Equity share is entitled to one vote per share.

In the event of liquidation of the Company, the holders of Equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amount.

Note 27: Notes To The Accounts

27.01. Balances of Sundry Creditors, Sundry Debtors & Loans and Advances are subject to confirmations and reconciliation, if any.

(b) Disclosure for ESOP as per Guidance note issued by ICAI on Share Based Paymentsi-

Under Employee Stock Option Scheme (ESOP) of the Company, share options of the company are granted to employees subject to achievement of targets as defined in ongoing vision of the company.

Vesting period range from 1 to 4 years.

Each option carries the right to the holder to apply for share of the company granted at par.

The share options are valued at the fair value of the options as on the date of grant using Black Scholes pricing model. There is no cash settlement alternative.

The Board of the company has granted 1,14,000 options on 15th September, 2022 under ESOP to the eligible employees under the existing scheme.

Note 27: Notes To The Accounts (Oontd..}

The company has also modified its fair value of H 335.83/- as on 15th September, 2022 to H 76.83/-.

The new value has been arrived at by adjusting the old value with the increased paid up share capital due to the IPO. Accordingly, ESOP expenses for old and new options granted have been recognised in the Financial Statements.

27.06. Based on information available with the Company regarding the status of suppliers as defined under the Micro, Small and Medium Enterprises , the amount aemaining unpaid to Micro Small and Medium Enterprises as at the close of the year is disclosed separately.

27.07. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification/disclosure.

27.08. No Loans and Advances in that nature of loan granted to Promoters, directors, KMPs, and Related Parties (as defined in companies Act 2013), either jointly or severally with any other person, that are

(a) repayable on demand or

(b) without specifying any terms or period of repayment

27.09. No borrowings have been made from banks or financial institution against current assets.

27.10. Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with companies (Restriction on number of layers) rules, 2017.

27.11. Specified Ratio has been Calculated as per ‘Annexure-4” Attached.

27.12. No scheme of arrangement have been approved by competent authority in terms of section 230 to 237 of companies Act 2013.

27.13. No Advance or loan or invested funds have been given by company to any person(s) or entity(ies),including foreign entities (intermediaries) with the understanding that the intermediary shall

(i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company(ultimate Beneficiaries.) or

(ii) provide any guarantee, security or the like to or on behalf of the ultimate Beneficiaries.

27.14. No fund received by company from any person(s) or entity(ies), including foreign entities(funding party) with the understanding (whether recorded in writing or otherwise) that the company shall

(i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the funding party (ultimate Beneficiaries.) or

(ii) provide any guarantee, security or the like to or on behalf of the ultimate Beneficiaries.

iii) The Company doesn't carry any provisions for Corporate Social Responsibility expenses for the current year and previous year.”

iv) The Company does not wish to carry forward any excess amount spent during the year.

v) The Company doesn't have any ongoing projects as at 31st March, 2023.

27.16. Contingent Liabilities:-

During the year, one of our customer's cloud space got hacked by cybercriminals. Hackers misused many servers which were used by them for mining of money. This consumption of infrastructure on the cloud led to generation of a humongous bill. which the customer declined to acknowledge.

The Vendor of this service raised the invoice for such unauthorized use by cybercriminals amounting to H1,48,26,027.20 (Including GST). The company has raised objections (ticket) against such usage with the vendor and the discussions are still underway. The company has Correspondingly filed the insurance claim under its Cyber Insurance policy vide claim no:-LIA051465033. The outcome is still pending, hence it is classified as contingent liability.”

27.17. Company operates in a single reportable operating segment. Hence segment reporting is not applicable.

27.18. The above consolidated financial statements have been reviewed and recommended for adoption by the audit committee to the Board of Directors and have been approved by the board at its meeting held on 20th May 2023.”

27.19. There are no investor complaints received/pending as on 31st March, 2023.

27.20. Details of IPO and Net IPO proceeds utilization :-

1. During the year ended 31st March, 2023, the company has completed its initial public offer (IPO) of 53,55,200 equity shares of face value of 10/- each at an issue price of H 90 per share aggregating to H 48,19,68,000 comprising fresh issue of 48,64,000 shares aggregating to H 43,77,60,000 and offer for sale of 4,91,200 shares by selling shareholders aggregating to H 4,42,08,000. The equity shares of the company were listed on National Stock Exchange of India Limited Small and Medium Exchange (NSE SME) on 21st December, 2022.

The Company has incurred H 4,64,14,710 as IPO related expenses and allocated such expenses between the Company and selling shareholder to the extent of H 4,21,78,975 and H 42,35,735 respectively. Such amounts were allocated based on agreement between the company and the selling shareholder (ESOP Trust) and in proportion to the total proceeds of the IPO. The Company's share of expenses of H 4,21,78,975 includes payment to Auditors for Audit of Restated Financial Statements and Certification charges, which have been collectively shown in Non- Current Assets schedule as Deferred IPO Expenses to be written off over a period of 5 Years in equal installments.

2. The Company has received an amount of H 43,77,60,000 from proceeds out of fresh issue of equity shares.