Nature and purpose of other equity

(i) Reserve fund in terms of Section 45-IC(1) of the Reserve Bank of India Act, 1934

Reserve fund is created as per the terms of section 45-IC(1) of the Reserve Bank of India Act, 1934 as a statutory reserve .

(ii) Capital Redemption Reserve

Capital Redemption Reserve is created when a company buys its own shares which reduces its share capital.The capital redemption reserve fund is transferred from undistributed profits i.e general reserves, profit or loss account.This fund can be utilized only for issuing fully paid bonus shares. No dividend can be distributed out of this fund.

(iii) Securities Premium

Securities Premium is used to record the premium on issue of shares. It can be utilised only for limited purposes in accordance with the provisions of the Companies Act, 2013.

(iv) Other Comprehensive Income

The Company has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated in the FVOCI equity investments reserve. The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.

Retained earnings represents the surplus in profit and loss account and appropriations. The Company recognises change on account of remeasurement of the net defined benefit liability/(asset) as part of retained earnings with separate disclosure, which comprises of:

A) actuarial gains and losses;

B) return on plan assets, excluding amounts included in net interest on the net defined benefit liability/(asset); and

C) any change in the effect of the asset ceiling, excluding amounts included in net interest on the net defined benefit liability/(asset).

Basic EPS is calculated by dividing the profit for the year attributable to equity holders of the Company by the weighted average number of equity shares outstanding during the year. Diluted EPS is calculated by dividing the profit attributable to equity holders of the Company by the weighted average number of equity shares outstanding during the year plus the weighted average number of equity shares that would be issued on conversion of all the dilutive potential equity shares into equity shares of the Company.

Summary of significant accounting policies and the accompanying notes are an integral part of the financial statements.

1 As defined in point xxv of paragraph 3 of Chapter -2 of the NBFC Master Directions.

2 Provisioning norms shall be applicable as prescribed in the NBFC Master Directions.

3 All Accounting Standards and Guidance Notes issued by ICAI are applicable including for valuation of investments and other assets as also assets acquired in satisfaction of debt. However, market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investments shall be disclosed irrespective of whether they are classified as long term or current in (5) above.

3. Sectoral exposure

The Company has not given loans in the nature of Unsecured Business Loans, therefore, guidelines as to Sectoral Exposure is not applicable to the Company.

4. Intra-group exposures:

There is no intra group exposure during the financial years ended March 31, 2025 and March 31, 2024

5. Unhedged foreign currency:

There is no unhedged foreign currency transaction during the financial year ended March 31, 2025 and March 31, 2024.

6. Related Party Disclosure

Related party disclosures are shown in Point no. 3.23 of this report.

7. Disclosure of complaints

The Company is involved in the business of investing Shares, Securities, Futures and Options for its own account and as such has no customer base/interface at all. Therefore, it is not applicable.

3.26) The Reserve Bank of India has issued Scale Based Regulations (SBR): A Revised Regulatory Framework for NBFCs ("the framework") vide circular No. RBI/2021-22/112DOR.CRE.REC. No.60/03.10.001/2021-22 on October 22, 2021. The Framework categories NBFCs in Base Layer (NBFC- BL), Middle Layer (NBFC- ML),

Upper Layer (NBFC- UL) and Top Layer (NBFC- TL). The company is classified under "Base Layer" pursuant to the framework.

3.27) The Company does not fall under the ambit of Large Corporate (LC) category as per the criteria given under SEBI circular SEBI/HO/DDHS/CIR/P/2018/144 dated November 26, 2018.

3.28) DISCLOSURE REGARDING NON-COMPLIANCE WITH SECURITIES AND EXCHANGE BOARD OF INDIA (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015

1. Disclosure made with respect to the penalty levied by Adjudicating Officer, SEBI (AO, SEBI) under Securities And Exchange Board Of India (Prohibition of Fraudulent and Unfair Trade Practices Regulations") read with Companies Act, 2013, Securities And Exchange Board Of India (Issue of Capital and Disclosure Requirements) Regulations, 2018 and Securities And Exchange Board Of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Securities Contracts (Regulation) Act, 1956.

Compliance requirements:

a. Regulations 3(a), (b), (c), (d) and Regulations 4(1) and 4(2)(f) of Securities And Exchange Board Of India (Prohibition of Fraudulent and Unfair Trade Practices) Regulations, 2003 read with section 12A(a), (b), (c) of SEBI Act, 1992 read with section 67(2) read with section 24(1) of chapter III of Companies Act, 2013.

b. Regulations 73(1) (e) of ICDR Regulations.

c. Regulation 31 (1), 31A (3) (a) and 31A (8) of LODR Regulations read with section 21 of SCRA