(n) Provisions and contingent liabilities

A provision is recognized when the Company has a present obligation (legal or constructive) as a result of past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. If
the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific
to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost.

A contingent liability is a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-
occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that is not recognized because
it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where
there is a liability that cannot be recognized because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses
it in the standalone financial statements, unless the possibility of an outflow of resources embodying economic benefits is remote.

(o) Government grants

Government grants are recognised where there is reasonable assurance that the grant will be received, and all attached conditions will be complied
with. When the grant relates to an expense item, it is recognised as income on a systematic basis over the periods that the related costs, for which it is
intended to compensate, are expensed. When the grant relates to an asset, it is recognised as income in equal amounts over the expected useful life of
the related asset.

(p) Financial Instruments

A. Financial assets

Initial recognition and measurement

Financial assets are recognized when the Company becomes a party to the contractual provisions of the instrument. Financial assets are initially
measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets (other than financial assets at fair
value through profit or loss) arc added to or deducted from the fair value measured on initial recognition of financial asset.

Subscouent measurement

For puiposes of subsequent measurement, financial assets are classified in four categories:

> Financial assets at amortised cost (debt instruments)

> Financial assets at fair value through other comprehensive income (FVTOCI) with recycling of cumulative gains and losses (debt instruments)

> Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments)

> Financial assets at fair value through profit or loss

i. Financial assets at fair value through other comprehensive income (FVTOCI) (debt instruments)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business whose objective
is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on
specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Debt instruments included within the FVTOCI category are measured initially as well as at each reporting date at fair value. For debt instruments,
at fair value through OCI, interest income, foreign exchange revaluation and impairment losses or reversals are recognised in the profit or loss
and computed in the same manner as for financial assets measured at amortised cost. The remaining fair value changes are recognised in OCI.
Upon derecognition, the cumulative fair value changes recognised in OCI is reclassified from the equity to profit or loss.

ii. Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss are carried in the balance sheet'at fair value with net changes in fair value recognised in the
statement of profit and loss. This category includes derivative instruments and listed equity investments which the Company had not irrevocably
elected to classify at fair value through OCI. Dividends on listed equity investments are recognised in the statement of profit and loss when the
right of payment has been established.

^^

iii. Financial assets designated at fair value through OCJ (equity instruments)

Upon initial recognition, the Company can elect to classify irrevocably its equity investments as equity instruments designated at fair value through
OCI when they meet the definition of equity under Ind AS 32 Financial Instruments: Presentation and are not held for trading. The classification
is determined on an instrument-by-instrument basis. Equity instruments which are held for trading and contingent consideration recognised by an
acquirer in a business combination to which Ind AS103 applies are classified as at FVTPL.

Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognised as other income in the statement of profit
and loss when the right of payment has been established, except when the Company benefits from such proceeds as a recovery of part of the cost
of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI arc not subject to
impairment assessment.

iv. Financial assets at amortised cost (debt instruments)

A ‘financial asset’ is measured at the amortized cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

b) Contractual terms of the asset give rise on specified dates to cash flow's that are solely payments of principal and interest (SPPI) on the
principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate (El R) method.
Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the E1R.
The EIR amortization is included in finance income in the profit or loss. The losses arising from impairment are recognized in the profit or loss.
This category generally applies to trade and other receivables.

Investment in subsidiary

Investment in subsidiary is carried at cost. Impairment recognized-, if any, is reduced from the cany ing value.

De-recognition of financial asset

A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial assets) is primarily derecognised (i.e. removed
from the Group’s consolidated balance sheet) when:

a) The rights to receive cash flows from the asset have expired, or

b) The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flow's in full
without material delay to a third party under a ‘pass-through’ arrangement; and either (a) the Company has transferred substantially all the risks
and rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has
transferred control of the asset.

B. Financial liabilities

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, or as payables,
as appropriate. The Company’s financial liabilities include trade and other payables, loans and borrowings including bank overdrafts.

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:

> Financial liabilities at fair value through profit or loss

> Financial liabilities at amortised cost (loans and borrow'ings)

i. Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial
recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of
repurchasing in the near term. Gains or losses on liabilities held for trading are recognised in the profit or loss.

ii. Financial liabilities at amortized cost

Financial liabilities are subsequently carried at amortized cost using the effective interest (‘EIR’) method. Gains and losses are recognized in profit
or loss when the liabilities are derecognized as well as through the EIR amortization process. Amortized cost is calculated by taking into account
any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is included as finance costs in
the statement of profit and loss.

Interest-bearing loans and borrowings are subsequently measured at amortized cost using EIR method. For trade and other payables maturing
within one year from the balance sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments.

De-recognition of financial liability

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is
replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an
exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective
carrying amounts is recognised in the statement of profit and loss. -

C. Reclassification of financial assets and liabilities

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The Company determines classification of financial assets and liabilities on initial recognition. After initial recognition, no reclassification is made for
financial assets which are equity instruments and financial liabilities. For financial assets which are debt instruments, a reclassification is made only if
there is a change in the business model for managing those assets.

D. Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to
offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

E. Fair value of financial instruments

The Company measures its financial instruments such as derivative instruments, etc at fair value at each balance sheet date. Fair value is the price that
would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair
value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

> In the principal market for the asset or liability, or

> In the absence of a principal market, in the most advantageous market for the asset or liability

The fair value of an asset ora liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming
that market participants act in their economic best interest. A fair value measurement of a non-financial asset takes into account a market participant’s
ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset
in its highest and best use.

All assets and liabilities for which fair value is measured or disclosed in the standalone financial statements are categorized within the fair value
• hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

> Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

> Level 2- Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly
observable.

> Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.

For assets and liabilities that are recognised in the standalone financial statements on a recurring basis, the Company determines whether transfers have
occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is significant to the fair value measurement
as a whole) at the end of each reporting period.

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For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and
risks of the asset or liability and the level of the fair value hierarchy as explained above.

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(q) Earnings Per Share

Basic eamings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average
number of equity shares outstanding during the period. Partly paid equity shares are treated as a fraction of an equity share to the extent that they are
entitled to participate in dividends relative to a fully paid equity share during the reporting period. The weighted average number of equity shares
outstanding during the period is adjusted for events such as bonus issue that have changed the number of equity shares outstanding, without a
corresponding change in resources.

For the purpose of calculating diluted eamings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average
number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

(r) Cash and cash equivalents

The Company considers all highly liquid financial instruments, which are readily convertible into known amounts of cash that are subject to an
insignificant risk of change in value and having original maturities of three months or less from the date of purchase, to be cash equivalents.

For the purpose of the standalone statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above, net of
outstanding bank overdrafts as they are considered an integral part of the Company’s cash management.

(s) Cash dividend to equity holders of the Company

The Company recognizes a liability to make cash distributions to equity holders of the Company when the distribution is authorized and the distribution
is no longer at the discretion of the Company. Final dividends on shares are recorded as a liability on the date of approval by the shareholders and
interim dividends are recorded as a liability on the date of declaration by the Company’s Board of Directors.

2.2 Significant accounting judgments, estimates and assumptions

The preparation of the Company’s standalone financial statements requires management to make judgments, estimates and assumptions that affect the
reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty
about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected
in future periods.

In the process of applying the Company’s accounting policies, management makes judgment, estimates and assumptions which have the most
significant effect on the amounts recognized in the standalone financial statements. The key judgment, estimates and assumptions concerning the future
.xjfla-othefckey sources of estimation uncertainty at the reporting date, which have a significant risk of causing a matepaF’adtetment to the carrying

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amounts of assets and liabilities within the next financial year, are described below. The Company based its judgments and assumptions and estimates
on parameters available when the standalone financial statements were prepared. Existing circumstances and assumptions about future developments,
however, may change due to market changes or circumstances arising that are beyond the control of the Company. Such changes are reflected in the
assumptions when they occur.

Significant accounting judgements, estimates and assumptions used by management arc as below:

Defined benefit plans - Gratuity

The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial valuations. An actuarial
valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount
rate, future salary' increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation
is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date.

The parameter most subject to change is the discount rate, in determining the appropriate discount rate for plans operated in India, the management
considers the interest rates of government bonds. The mortality rate is based on publicly available mortality tables. Those mortality tables tend to
change only at interval in response to demographic changes. Future salary increases are based on expected future inflation rates and expected salary
increase thereon.

Useful life and residual value of property, plant and equipment and intangible assets

The useful life and residual value of property, plant and equipment and intangible assets are determined based on evaluation made by the management
of the expected usage of the asset, the physical wear and tear and technical or commercial obsolescence of the asset. Due to the judgments involved in
such estimates the useful life and residual value are sensitive to the actual usage in future period.

Evaluation ofcontrol, joint control or significant influence by the Company over its investee entity for disclosure

Judgment is involved in determining whether the Company has control over an investee entity by assessing the Company’s exposure/rights to variable
returns from its involvement with the investee and its ability' to affect those returns through its power over the investee entity. The Company considers
all facts and circumstances when assessing whether it controls an investee entity and reassess whether it controls an investee entity if facts and
circumstances indicate that there are changes to one or more elements of control. In assessing whether the Company has joint control over an investee
the Company assesses whether decisions about the relevant activities require the unanimous consent of the parties sharing control. Further, in assessing
whether Company has significant influence over an investee, the Company assesses whether it has the power to participate in the financial and operating
policy decisions of the investee, but is not in control or joint control of those policies.

Measurement of financial instruments at amortized cost

Financial instrument are subsequently measured at amortized cost using the effective interest (‘EIR’fmethod. The computation of amortized cost is
sensitive to the inputs to EIR including effective rate of interest, contractual cash flows and the expected life of the financial instrument. Changes in
assumptions about these inputs could affect the reported value of financial instruments.

2.3 Changes in accounting policies and disclosures

The Ministry' of Corporate Affairs has notified Companies (Indian Accounting Standards) Amendment Rules, 2023 dated March 31,2023 to amend
the following Ind AS which arc effective for annual periods beginning on or after April 01, 2023. The Company applied for the first-time these
amendments.

(i) Definition of Accounting Estimates - Amendments to Ind AS 8

The amendments clarify the distinction between changes in accounting estimates, changes in accounting policies and the correction of errors. It has
also been clarified how entities use measurement techniques and inputs to develop accounting estimates.

The amendments had no impact on the Company’s standalone financial statements.

(ii) Disclosure of Accounting Policies - Amendments to Ind AS 1

The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose
their ‘significant’ accounting policies with a requirement to disclose their ‘material’ accounting policies and adding guidance on how entities apply the
concept of materiality in making decisions about accounting policy disclosures.

The amendments had an impact on the Company’s disclosures of accounting policies, but not on the measurement, recognition or presentation of any
items in the Company’s standalone financial statements.

(iii) Deferred Tax related to Assets and Liabilities arising from a Single Transaction - Amendments to Ind AS 12

The amendments narrow the scope of the initial recognition exception under Ind AS 12, so that it no longer applies to transactions that give rise to
equal taxable and deductible temporary differences such as leases.

The Company previously recognised for deferred tax on leases on a net basis. As a result of these amendments, the Company has recognised a separate
deferred tax asset in relation to its lease liabilities and a deferred tax liability' in relation to its right-of-use assets. Since, these balances qualify for offset
as per the requirements of Jnd AS 12, there is no impact in the balance sheet. There was also no impact on the opening retained earnings.

Apart from these, consequential amendments and editorials have been made to other Ind AS to the extent possible like Ind AS 101, Ind AS 102, Ind
^^cSSSSjOnd AS 107, Ind AS 109, Ind AS 115 and Ind AS 34. _____

Reversal oflmnairment Loss

As at April 01,2022 the impairment loss amounted to Rs. 1,100 lakhs, which represented the write-down value of certain property, plant and equipment to
its recoverable amount as a result of the impact of Covid-19 pandemic. The recoverable amount of such property, plant and equipment was based on value
in use and was determined at the level of the cash generating unit ('CGU') being individual hotel property.

Considering the weakening of the impact of Covid-19 pandemic and the recovery in the Company’s business operations, the Company has updated its
business projections taking into account the current conditions and the amended forecasts for the future periods for the purpose of determining the revised
recoverable amount of the aforesaid property, plant and equipment as at March 31, 2023. Since the revised recoverable amount exceeds the write-down
value of such property, plant and equipment as at March 31,2023, the Company has reversed the impairment loss of Rs. 1,100 lakhs and recognised in the
statement of profit and loss as exceptional item during the year ended March 31,2023.

The recoverable amount of the CGU comprising of two hotel properties as at March 31,2023 was Rs. 30,932 lakhs, which was based on value in use and
was determined at the level of the CGU. In determining value in use for the CGU, the cash flows were discounted at a rate of 10% on a pre-tax basis.

Capitalised borrowing costs

Refer note 4 for details of capitalised borrowing costs.

Assets under construction

Refer note 4 for details of capital work in progress.

Assets pledged

Refer note 14 for details of assets pledged as security for borrowings.

Assets leased

* Leasehold land represents Right-of-use assets. Also refer note 28 for details.

Title deeds of immovable properties „

The title deeds of immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the *

lessee) included in property, plant and equipment are held in the name of the Company.

The property, plant and equipment of the Company include land, buildings and other assets with a gross carrying value of Rs. 35,168 lakhs, which were
acquired by the Company from its Holding Company - Brigade Enterprises Limited pursuant to the Scheme of Arrangement between the Company and its
Holding Company and their respective shareholders and creditors in terms of the provisions of Sections 230 to 233 of the Companies Act, 2013 to transfer
the hotel business undertakings, including the aforesaid land, buildings and other assets, to the Company (hereinafter referredJo^s‘‘the Scheme”). The
Sch0m?^prafSj>coved by National Company Law' Tribunal (‘NCLT’) on March 13, 2018 with an appointed date of October^)!'/ 20]^Tand was filed with
Cobipanies, Karnataka on April 01,2018. /O/'''

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(ii) Claims against the Company not acknowledged as debts, in the nature of Income Tax demands and Goods and Services Tax demands are Rs. 235
lakhs and Rs. 700 lakhs respectively.

(iii) Property tax demand under litigation

The Company has been discharging property tax in respect of its hotel properties. In this regard, the Company has received a demand notice from the
municipal authority assessing the property tax for certain hotel property for the period from financial year 2011-12 to financial year 2021-22 resulting
in demand of Rs.9,222 lakhs including interest and penalty thereon and the Company has subsequently paid Rs.4,093 lakhs under protest and an
additional amount of Rs.510 lakhs to be paid under protest, which are provided for. The Company has litigated the said notice, which is pending
adjudication. The Company is reasonably confident of a favourable outcome in respect of the aforesaid matter based on the management’s evaluation
and the legal opinion obtained by the management. Pending ultimate outcome of the matter, no adjustments have been made in the accompanying
Ý standalone financial statements.

(iv) The Code on Social Security, 2020 (‘Code’) relating to employee benefits during employment and post-employment benefits received Presidential
assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not
been notified and the final rules/interpretation have not yet been issued. The Company will assess the impact of the Cod£>vtorri£<Qmcs into effect
and will record any related impact in the period the Code becomes effective.

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Notes:

1. The related party transactions are made on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the
year end are unsecured and settlement occurs in cash. There have been no guarantees provided or received for any related party receivable or
payable.

2. In respect of the transactions with the related parties, the Company has complied with the provisions of Section 188 of the Companies
Act, 2013 where applicable, and the details have been disclosed above, as required by the applicable accounting standards. The provisions
of Section 177 are not applicable to the Company.

V. Other information:

Loan from related parties are unsecured and carries interest of 12% and are repayable from 2025. On July 1, 2020, the Company and its
Holding Company entered into an agreement for interest-free unsecured loan of upto Rs.20,000 lakhs and repayable in quarterly instalments
of Rs. 1,000 lakhs each from June 2025 to March 2030. The existing loan payable of Rs. 11,274 lakhs as on June 30, 2020 (Principal •
Rs.9,881 lakhs and Interest payable - Rs. 1,393 lakhs) was converted into interest-free loan as part of the aforesaid agreement. The Company
has drawn loan of Rs.5,016 lakhs during the period July 27, 2020 to March 31, 2021 and Rs. 1500 lakhs during the period November 29,
2022 to March 31, 2023. The Company has accounted the aforesaid loan, being interest-free in nature, as compound financial instruments
in accordance with Ind AS 32 with effective interest rate of 12%.

30 Segment reporting

The Company is engaged in the business of hospitality. The Board of Directors being the Chief Operating Decision Maker (CODM) evaluates
the Company’s performance and allocates resources based on an analysis of various performance indicators by industry classes. All operating
segments operating results are reviewed regularly by CODM to make decisions about resources to be allocated to the segments and assess their
performance. CODM believes that these arc governed by same set of risks and returns hence, CODM reviews them as one component. Hence,
there are no additional disclosures to be provided under Ind-AS 108 - Segment information with respect to the single reportable segment, other
^ than those already provided in the accompanying standalone financial statements. Further, the Company is domiciled in India and the
* Company’s current and non-current assets are located in India. There is no identifiable major customer in the Company who is contributing more
than 10% of revenue.

31 Financial risk management objectives and policies

The Company’s principal financial liabilities comprise borrowings, trade and other payables. The main purpose of these financial liabilities is to
finance the Company’s operations. The Company’s principal financial assets include loans, trade, other receivables and cash and cash equivalents that
derive directly from its operations.

The Company is exposed to market risk, credit risk and liquidity risk. The Company’s senior management oversees the management of these risks and
ensures that the Company’s financial risk activities arc governed by appropriate policies and procedures and that financial risks are identified,
measured and managed in accordance with the Company’s policies and risk objectives.

i. Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk
comprises of: interest rate risk, currency risk and price risk,
a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of the Company’s financial instruments will fluctuate because of changes in market
interest rates. The Company's exposure to the risk of changes in market interest rates relates primarily to the Company’s long-term debt obligations
with floating interest rates. The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings.

ii. ’Credit risk

Credit risk is the risk of loss that may arise on outstanding financial instruments if a counterparty default on its obligations. The Company’s exposure

to credit risk arises majorly from trade receivables/ unbilled revenue and other financial assets.

*

Other financial assets are bank deposits with banks and hence, the Company does not expect any credit risk with respect to these financial assets.

With respect to other financial assets, the Company has constituted teams to review the receivables on periodic basis and to take necessary mitigations,
wherever required. The Company applies the expected credit loss (ECL) model for measurement and recognition of impairment losses on trade
receivables and unbilled revenue. The Company follows the simplified approach for recognition of impairment allowance on trade receivables
wherein, it recognises impairment allowance based on lifetime ECLs at each reporting date. At the balance sheet date, there was no significant
concentration of credit risk and exposure thereon.

iii. Liquidity Risk

The Company’s objective is to maintain a balance between continuity of funding and flexibility through the use of borrowings and lease contracts. The
Company has assessed the concentration of risk with respect to refinancing its debt and concluded it to be low. The table below summarises the
maturity profile of the Company’s financial liabilities based on contractual undiscounted payments.

Valuations arc performed on certain basic set of pre-determined assumptions and other regulatory framework which may vary overtime. Thus, the Company is
exposed to various risks in providing the above gratuity benefit, the most significant of which arc as follows:

Interest Rate risk :The plan exposes the Company to the risk of fall in interest rates. A fall in interest rates will result in an increase in the ultimate cost of providing
the above benefit and will thus result in an increase in the value of the liability.

Liquidity Risk : This is the risk that the Company is not able to meet the short term gratuity pay-outs. This may arise due to non availability of sufficient cash/cash
equivalents to meet the liabilities.

Salary Escalation-Risk : The present value of the defined benefit plan is calculated with the assumption of salary increase rate of plan participants in future.
Deviation in the rate of increase of salary in future for plan participants from the rate of increase in salary used to determine the present value of obligation will
have a bearing on the plan's liability.

Demographic Risk : The Company has used certain mortality and attrition assumptions in valuation of the liability. The Company is exposed to the risk of actual
experience turning out to be worse compared to the assumption.

33 Fair values

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction between
willing parties, other than in a forced or liquidation sale. The following methods and assumptions were used to estimate the fair values:

i) The management assessed that the carrying values of cash and bank balances, trade receivables, trade payables, and other financial assets and liabilities
approximate their fair values largely due to their short-term maturities.

ii) The management assessed that the carrying values of bank deposits, borrowings and other financial assets and liabilities approximate their fair values
based on cash flow discounting using parameters such as interest rates, tenure of instrument, creditworthiness of the customer and the risk characteristics of
the financed project, as applicable.

These financial assets and financial labilities are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs as explained
above. There have been no transfers between levels during the year. The investment in equity of subsidiary is measured at cost.

34 Capital management * *

The Company’s objectives of capital management is to maximize the shareholder value. In order to maintain or adjust the capital structure, the Company may
adjust the return to shareholders, issue/ buyback shares or sell assets to reduce debt. The Company manages its capital structure and makes adjustments in
light of changes in economic conditions and the requirements of the financial covenants.

' The Company monitors capital using a gearing ratio, which is net debt divided by total equity plus net debt as below.

- Equity includes equity share capital and all other equity components attributable to the equity holders

- Net Debt includes borrowings (non-current and current), trade payables, lease liabilities and other financial liabilities, less cash and cash equivalents and
bank balances other than cash and cash equivalents.

. 36 The Company has defined process to take daily back-up of books of account in electronic mode on servers physically located in India. However, the
backup of the books of account and other books and papers maintained in electronic mode with respect to individual hotel units of the Company has not
been maintained on servers physically located in India on daily basis.

Further, the Company has used accounting software for maintaining its books of account which has a feature of recording audit trail (edit log) facility
and the same has operated throughout the year for all relevant transactions recorded in the accounting software, except that audit trail feature is not
enabled for certain changes, if any, made using privileged/ administrative access rights to the SAP S/4 HANA application and the underlying database
and in respect of individual hotel units of the Company wherein its accounting software did not have the audit trail feature enabled throughout the year.
Further no instance of audit trail feature being tampered with was noted in respect of the accounting software.

Note: The Company has accumulated losses of Rs. 23,715 lakhs (March 31, 2023: Rs. 25,579 lakhs) and total equity of Rs. 11,178 lakhs (March 31,
2023: Rs. 9,314 lakhs). The Company’s current liabilities exceed its cunent assets by Rs. 4,767 lakhs (March 31,2023: Rs. 10,054 lakhs). The
Company is in the initial phase of its operations and Brigade Enterprises Limited, the holding company, is committed to provide financial and
operational support to the Company for its profitable operations in the foreseeable future.

38 Additional regulator}’ information not disclosed elsewhere in the final

(i) There are no proceedings initiated or arc pending against the Company for holding any benami property under the Prohibition of Benami Property
Transactions Act, 1988 and rules made thereunder.

(ii) The Company does not have any transactions with companies struck off under section 248 of Companies Act, 2013 or section 560 of Companies Act,

(iii) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

(iv) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year. _t

(v) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the
Company to or in any other persons or entities, including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or
otherwise, that the Intermediaries shall, whether, 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 provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(vi) No funds have been received by the Company from any persons or entities, including foreign entities (“Funding Parties”), with the understanding,
whether recorded in writing or otherwise, that the company shall, whether, directly or indirectly, lend or invest in other persons or entities identified in
any manner whatsoever by or on behalf of the Funding Parties (“Ultimate Beneficiaries”) or provide any guarantee,'¹ security or the like on behalf of the
Ultimate Beneficiaries.

(vii) The Company has not any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the
year in the tax assessments under the Income Tax Act, 1961.

(viiii) The Company is not a declared wilful defaulter by any bank or financial institution or any other lender.

39 Standards issued but not yet effective

There are no standards that are notified and not yet effective as on the date.

As per our report of even date

For S.R. Batliboi & Associates LLP For and on behalf of the Board of Directors of

Chartered Accountants Brigade Hotel Ventures Limited

1CAI Firm registration number: 101049W/E300004 ^ ^^^^^9KA2016PLC095986

perSud^^^W^ain (Be^aluruj VincctV^nw^ Nirup i^an^r’^/^

Partner/ / u l\ A jj Director Director!

Membr&bfp no.:* 13157 DIN: 06362115 / DIN: 02750342

^ <L

Place: Bengaluru Ananda Natarajan PShivaleela Reddy Rayan Araflba

Date: May 21, 2024 Chief Financial Officer Company Secretary Manager