2.19 Provisions, Contingent Liabilities
2.19.1 Provisions:
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. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates. 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.
When the Company expects some or all of a provision to be reimbursed, reimbursement is recognised as a separate asset, but only when the
reimbursement is virtually certain. The expense relating to a provision is presented in the statement of profit and loss net of any
reimbursement
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 recognised as a finance
cost in respective expense.
2.19.2 Provision for Defects Liabilities and Repairs
As per, Real Estate (Regulation and Development) Act, 2016 (RERA) vide section 14(3) a builder or developer will be liable to repair any
defect, on the building sold, for a period of Five years. Further, as per the terms of contracts with customers, the company is liable for any
defects, repairs and other claims for ertain period after completion and handover of the possession of developed properties. Provision for
defect liability and repairs is recognized when sales from contracts with customer is recognized. Certain percentage to the sales recognised
is applied for the current accounting period to derive the provision for expense to be accrued. The recognition percentage is based on
management estimates of the possible future incidence. The claims against defect liability and repairs from customers may not exactly
match the historical percentage, so such estimates are reviewed annually for any material changes in assumptions and likelihood of
occurrence and revised accordingly.
2.19.3 Contingent Liabilities
A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-
occurrence of one or more uncertain future events beyond 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 its existence in the financial statements unless the probability' of outflow of resources is remote.
2.20 Fair value measurement
that would be received to sell an asset or paid to transfer a liability in an ordinary 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 asset or liability, or
•In the absence of a principal market, in the most advantageous market for the asset or liability.
The principal or the most advantageous market must be accessible by the Company. The fair value of an asset or 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.
The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure
fair value, maximising the use of relevant observable inputs and minimizing the use of unobservable inputs.
All assets and liabilities for which fair value is measured or disclosed in the 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 recognized in the 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 fair value
measurement as a whole) at the end of each reporting period
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.
2.21 Critical accounting estimates, judgement and assumptions
The preparation of these standalone financial statements requires the management to make judgments, use estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanj'ing disclosures, and the disclosure of
contingent liabilities. Uncertainty about these judgements, assumptions and estimates could result in outcomes that require a material
adjustment to the carrying amount of the asset or liability affected in future periods.
1. Taxes
Uncertainties exist with respect to the interpretation of tax regulations, changes in tax laws, and the amount and timing of future taxable
income. Given the wide range of business relationships differences arising between the actual results and the assumptions made, or future
changes to such assumptions, could necessitate future adjustments to tax income and expense already recorded. The Company establishes
provisions, based on reasonable estimates. The amount of such provisions is based on various factors, such as experience of previous tax
assessments and differing interpretations of tax regulations by the taxable entity and the responsible tax authority.
ii. Employee benefit plans
The cost of defined benefit plans (i.e. Gratuity benefit) is determined using actuarial valuations. An actuarial valuation involves making
various assumptions which may differ from actual developments in the future. These include the determination of the discount rate, future
salary increases, mortality rates and future pension increases. Due to the complexity of the valuation, the underlying assumptions and its
long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions arc reviewed at each
reporting date. In determining the appropriate discount rate, management considers the interest rates of long term government bonds with
extrapolated maturity corresponding to the expected duration of the defined benefit obligation. The mortality rate is based on publicly
available mortality tables for India. Future salary increases and pension increases are based on expected future inflation rates for India.
iii. Contingencies
Contingent liabilities may arise from the ordinary course of business in relation to claims against the Company, including legal, contractor
and other claims. By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The
assessment of the existence, and potential quantum, of contingencies inherently involves the exercise of significant judgement and the use
of estimates regarding the outcome of future events.
iv. Property Plant and Equipment
Property, Plant and Equipment represent significant portion of the asset base of the Company The charge in respect of periodic depreciation
is derived after determining an estimate of assets expected useful life and expected value at the end of its useful life. The useful life and
residual value of Company’s assets are determined by Management at the time asset is acquired and reviewed periodically including at the
end of each year. The useful life is based on historical experience with similar assets, in anticipation of future events, which may have
impact on their life such as change in technology
v. Impairment of non-financial assets
The Company assesses at each reporting date whether there is an indication that an asset including intangible assets having indefinite
useful life and goodwill may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the Company
estimates the asset's recoverable amount. An asset’s recoverable amount is the higher of an asset’s ecu’s fair value less cost of disposal
and its value in use. Where the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is
written down to its recoverable amount. In assessing value in use , the estimated future cash flows are estimated based on past trend and
discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the
risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no such
transactions can be identified, an appropriate valuation mode! is used. These calculations are corroborated by valuation multiples, or other
fair value indicators.
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vi. Provisions for Defect liability and repairs
As per, Real Estate (Regulation and Development) Act, 2016 (RERA) vide section 14(3) a builder or developer will be liable to repair any
defect, on the building sold, for a period of Five years. Further, as per the terms of contracts with customers, the company is liable for any
defects, repairs and other claims for crtain period after completion and handover of the possession of developed properties. Provision for
defect liability and repairs is recognized when sales from contracts with customer is recognized. Certain percentage to the sales recognised
is applied for the current accounting period to derive the provision for expense to be accrued. The recognition percentage is based on
management estimates of the possible future incidence. The claims against defect liability and repairs from customers may not exactly
match the historical percentage, so such estimates are reviewed annually for any material changes in assumptions and likelihood of
occurrence and revised accordingly.
vii. Provision for expected credit losses (ECL) of trade receivables and contract assets
The company follows 'simplified approach’ for recognition of impairment loss allowance on trade receivables. Under this approach the
company does not track changes in credit risk but recognizes impairment loss allowance based on lifetime ECLs at each reporting date. For
this purpose the company uses a provision matrix to determine the impairment loss allowance on the portfolio of trade receivables. The said
matrix is based on historically observed default rates over the expected life of the trade receivables duly adjusted for forward looking
estimates.
For recognition of impairment loss on other financial assets and risk exposures, the company determines whether there has been a
significant increase in the credit risk since initial recognition. It' credit risk has not increased significantly, 12-month expected credit
loss(ECL) is used to provide for impairment loss. However, if credit risk has increased significantly, lifetime ECL is used. If, in a subsequent
period, credit quality of the instrument improves such that there is no longer a significant increase in credit risk since initial recognition,
then the company reverts to recognizing impairment loss allowance based on 12-month ECL.
For assessing increase in credit risk and impairment less, the- Company combines financial instruments on the basis of shared credit risk
characteristics with the objective of facilitating an analysis that is designed to enable significant increases in credit risk to be identified on a
timely basis.
Lifetime ECL are the expected credit losses resulting from all possible default events over the expected life of a financial instrument. The 12-
month ECL is a portion of the lifetime ECL which results from default events on a financial instrument that are possible within 12 months
after the reporting date.
ECL is the difference between all contractual cash flows that are due to the company in accordance with the contract and all the cash flows
that the entity expects to receive (i.e., all cash shortfalls), discounted at the original EIR. The ECL impairment loss allowance (or reversal)
recognized during the period in the statement of profit and loss and the cumulative loss is reduced from the carrying amount of the asset
until it meets the write off criteria, which is generally when no cash flows are expected to be realised from the asset.
viii. Impairment for Investments in Subsidiary & Associtcs
Determining whether the investments in subsidiaries are impaired requires an estimate in the value in use of investments. In considering
the value in use, the Directors have anticipated the future operating margins, resources and availability of infrastructure, discount rates
and other factors of the underlying businesses/operations of the investee companies. Any subsequent changes to the cash flows due to
changes in the above-mentioned factors could impact the carrying value of investments.
ix. Leases
The Company determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to extend
the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not
to be exercised. Wherever, lease contracts that include extension and termination options, the Company applies judgement in evaluating
whether it is reasonably certain whether or not to exercise the option to renew or terminate the lease. That is, it considers all relevant
factors that create an economic incentive for it to exercise cither the renewal or termination. After the commencement date, the Company
reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects its ability to exercise
or not to exercise the option to renew or to terminate.
2.22 Recent Indian Accounting Standards (Ind AS)
Ministry of Corporate Affairs ("MCA") notifies new standard or amendments to the existing standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. On March 23: 2022, MCA amended the Companies (Indian Accounting Standards)
Amendment Rules, 2022, applicable from April 1, 2022, as below:
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(i) Ind AS 103 - Reference to Conceptual Framework
The amendments specify that to qualify for recognition as part of applying the acquisition method, the identifiable assets acquired, and
liabilities assumed must meet the definitions of assets and liabilities in the Conceptual Framework for Financial Reporting under Indian
Accounting Standards (Conceptual Framework) issued by the Institute of Chartered Accountants of India at the acquisition date These
changes do not significantly change the requirements of Ind AS 103. The Company does not expect the amendment to have any significant
impact in its Financial Statements.
(ii) Ind AS 16 - Proceeds before intended use
The amendments mainly prohibit an entity from deducting from the cost of property, plant and equipment amounts received from selling
items produced while the company is preparing the asset for its intended use. Instead, an entity will recognise such sales proceeds and
related cost in profit or loss. The Company does not expect the amendments to have any impact in its recognition of its property, plant, and
equipment in its Financial Statements.
(iii) Ind AS 37 - Onerous Contracts - Costs of Fulfilling a Contract
The amendments specify that that the ‘cost of fulfilling' a contract comprises the ‘costs that relate directly to the contract’. Costs that relate
directly to a contract can either be incremental costs of fulfilling that contract (examples would be direct labour materials) or an allocation of
other costs that relate directly to fulfilling contracts. The amendment is essentially a clarification, and the Company docs not expect the
amendment to have any significant impact in its Financial Statements.
(iv) Ind AS 109 - Annual Improvements to Ind AS (2022)
The amendment clarifies which fees an entity includes when it applies the *10 percent' test of Ind AS 109 in assessing whether to
derecognise a financial liability. The Company does not expect the amendment to have any significant impact in its Financial Statements.
(v) Ind AS 116 - Annual Improvements to Ind AS (2022)
The amendments remove the illustration of the reimbursement of leasehold improvements by the lessor in order to resolve any potential
confusion regarding the treatment of lease incentives that might arise because of how lease incentives were described in that illustration
The Company does not expect the amendment to have any significant impact in its Financial Statements.
35.1 * The figures for the financial year ended March 31, 2024 and March 31, 2023 includes the amount of contingent liabilities for the
respective year, where show cause notice or claims have been received after the close of respective reporting period and till the date of
approval of this fianncial statements by the Board of Directors. Further, the amount of contingent liabilities disclosed above, does not
include the amount of interest or penalty, wherever the same are not ascertain or included in demand notices.
35.2 The Company is subject to legal proceedings and claims, which have arisen in the ordinary course of business, the impact of which
presently is not quantifiable. These cases are pending with various courts / authorities. After considering the circumstances and advice from
the legal advisors, management believes that these cases will not adversely affect its financial statements. The above Contingent Liabilities
exclude undeterminable outcome of these pending litigations.
35.3 Future cash flow in respect of the above, if any, is determinable only on receipt of judgements/decisions pending with the relevant
authorities. Interest, penalty or compensation liability arising on outcome of the disputes has not been considered, since not determinable
at present.
35.4 The Company did not have any long-term contracts including derivative contracts for which any provision was required for foreseeable
losses.
36 Segment information
For management purposes, the Company is into one reportable segment i.e. Real Estate development.
The Managing Director is the Chief Operating Decision Maker of the Company who monitors the operating results of the Company for the
purpose of making decisions about resource allocation and performance assessment. The Company's performance as single segment is
evaluated and measured consistently with profit or loss in the standalone financial statements. Also, the Company's financing (including
finance costs and finance income) and income taxes are managed on a Company basis
36.1 Geographical information
The Company operates in one geographical environment only i.e. in India.
The Company's revenue from continuing operations from external customers by location of operations and information about its non-
current assets by location of assets are detailed below:
36.2 Information about major customers
No single customer contributed 10% or more to the Company's revenue for the year ended March 31, 2024, March 31, 2023.
36.3 The reporting segment includes a number of sales operations in various cities within India each of which is considered as a separate
operating segment by the CODM. For financial statements presentation purposes, these individual operating segments have been
aggregated into a single reportable operating segment taking into account the following factors:
• these operating segments have similar long-term gross profit margins;
• the nature of the products and production processes are similar; and
• the methods used to distribute the products to the customers are the same.
37 Employee benefit plans
37.1 Defined contribution plans:
The Company participates in Provident fund as defined contribution plans on behalf of relevant personnel. Any expense recognised
in relation to provident fund represents the value of contributions payable during the period by The Company at rates specified by
the rules of provident fund. The only amounts included in the balance sheet are those relating to the prior months contributions that
were not paid until after the end of the reporting period.
(a) Provident fund and pension
In accordance with the Employee's Provident Fund and Miscellaneous Provisions Act, 1952, eligible employees of the Company are
entitled to receive benefits in respect of provident fund, a defined contribution plan, in which both employees and the Company
make monthly contributions at a specified percentage of the covered employees' salary. The contributions, as specified under the
law, are made to the provident fund administered and managed by Government of India (GOI). The Company has no further
obligations under the fund managed by the GOI beyond its monthly contributions which are charged to the statement of Profit and
Loss in the period they are incurred. The benefits are paid to employees on their retirement or resignation from the Company.
(b) Defined benefit plans:
Gratuity (Unfunded)
The Company has an obligation towards gratuity, a unfunded defined benefit retirement plan covering all employees. The plan
provides for lump sum payment to vested employees at retirement or at death while in employment or on termination of the
employment of an amount equivalent to 15 days salary, as applicable, payable for each completed year of service. Vesting occurs
upon completion of five years of service. The Company accounts for the liability for gratuity benefits payable in the future based on
an actuarial valuation.
The most recent actuarial valuation of the present value of the defined benefit obligation was carried out for the year ended March
31, 2024 by an independent actuary. The present value of the defined benefit obligation, and the related current service cost and
past service cost, were measured using the projected unit credit method.
(A) Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are detailed below:
(1) Actuarial Risk:
It is the risk that benefits will cost more than expected. This can arise due to one of the following reasons:
i) Adverse Salary Growth Experience
ii) Variability in mortality rates
iii) Variability in withdrawal rates
(2) Investment Risk
For funded plans that rely on insurers for managing the assets, the value of assets certified by the insurer may not be the fair value
of instruments backing the liability. In such cases, the present value of the assets is independent of the future discount rate. This can
result in wide fluctuations in the net liability or the funded status if there are significant changes in the discount rate during the inter¬
valuation period.
(3) Liquidity Risk:
Employees with high salaries and long durations or those higher in hierarchy, accumulate significant level of benefits. If some of such
employees resign/retire from the company there can be strain on the cashflows.
(4) Market Risk:
Market risk is a collective term for risks that are related to the changes and fluctuations of the financial markets. One actuarial
assumption that has a material effect is the discount rate. The discount rate reflects the time value of money. An increase in
discount rate leads to decrease in Defined Benefit Obligation of the plan benefits & vice versa. This assumption depends on the
yields on the corporate/government bonds and hence the valuation of liability is exposed to fluctuations in the yields as at the
valuation date.
(5) Legislative Risk
Legislative risk is the risk of increase in the plan liabilities or reduction in the plan assets due to change in the legislation/regulation.
The government may amend the Payment of Gratuity Act thus requiring the companies to pay higher benefits to the employees. This
will directly affect the present value of the Defined Benefit Obligation and the same will have to be recognized immediately in the
year when any such amendment is effective.
(c) Leave Encashment plan
(A) Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are detailed below:
(1) Actuarial Risk:
It is the risk that benefits will cost more than expected. This can arise due to one of the following reasons:
i) Adverse Salary Growth Experience
ii) Variability in mortality rates
iii) Variability in withdrawal rates
iv) Variability In avallment rates
(2) Investment Risk
For funded plans that rely on insurers for managing the assets, the value of assets certified by the insurer may not be the fair value of
instruments backing the liability. In such cases, the present value of the assets is independent of the future discount rate. This can result in
wide fluctuations In the net liability or the funded status if there are significant changes in the discount rate during the inter- valuation
period.
(3) Liquidity Risk:
Employees with high salaries and long durations or those higher in hierarchy, accumulate significant level of benefits. If some of such
employees resign/retire from the Entity there can be strain on the
cash flows.
(4) Market Risk:
Market risk Is a collective term for risks that are related to the changes and fluctuations of the financial markets. One actuarial assumption
that has a material effect is the discount rate. The discount rate reflects the time value of money. An increase in discount rate leads to
decrease in Defined Benefit Obligation of the plan benefits & vice versa. This assumption depends on the yields on the
corporate/government bonds and hence the valuation of liability is exposed to fluctuations in the yields as at the valuation date.Since the
benefits under the plan is not payable for life time and payable till retirement age only, plan does not have any longevity risk.
(5) Legislative Risk
Legislative risk is the risk of increase in the plan liabilities or reduction in the plan assets due to change in the legislation/regulation. The
government may amend the Shop and Establishment Act, thus requiring the companies to pay higher benefits to the employees. This will
directly affect the present value of the Defined Benefit Obligation and the same will have to be recognized Immediately in the year when any
such amendment is effective.
39 Financial instruments and risk management
39.1 Capital risk management
The Company's objective, when managing capital is to ensure the going concern operation and to maintain an efficient capital
structure to reduce the cost of capital, support the corporate strategy and meet shareholder's expectations. The policy of the
Company is to borrow funds through banks or raise through equity which is supported by committed borrowing facilities to
meet anticipated funding requirements. The Company manages its capital structure and makes adjustments in the light of
changes in economic conditions and the requirement of financial markets. The capital structure is governed by policies
approved by the Board of Directors, and is monitored by various metrics. The following table summarises the capital of the
Company :
39.3 Financial risk management objectives
The Company's principal financial liabilities comprise loans and borrowings and 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
and 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 periodically reviews the risk management
policy so that the management manages the risk through properly defined mechanism. The focus is to foresee the
unpredictability and minimise potential adverse effects on the Company's financial performance. The Company's overall risk
management procedures to minimise the potential adverse effects of financial market on the Company's performance are as
follows:
(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 three types of risk: interest rate risk, currency risk and other price risk, such as equity price
risk and commodity risk.
(a) Interest rate risk:
The Company is exposed to cash flow interest rate risk from long-term borrowings at variable rate. Currently the Company has
external borrowings and borowwings from promoter & promoter groups which are fixed and floating rate borrowings. The
Company achieves the optimum interest rate profile by refinancing when the interest rates go down. However this does not
protect Company entirely from the risk of paying rates in excess of current market rates nor eliminates fully cash flow risk
associated with variability in interest payments, it considers that it achieves an appropriate balance of exposure to these risks.
(b) Foreign currency risk:
Foreign Currency Risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in
foreign currency rates. Exposures can arise on account of the various assets and liabilities which are denominated in currencies
other than Indian Rupee.
(ii). Credit risk management
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading
to a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its
financing activities, including deposits with banks and financial institutions, foreign exchange transactions and other financial
instruments.
The Company's exposure to credit risk is influenced mainly by the individual characteristics of each customer. The
demographics of the Company's customer base, including the default risk of the industry and country, in which customers
operate, has less influence on the credit risk.
The Company has entered into contracts for the sale of residential and commercial units on an installment basis. The
installments are specified in the contracts. The Company is exposed to credit risk in respect of installments due. However, the
possession of residential and commercial units is handed over to the buyer only after all the installments are recovered. In
addition, installment dues are monitored on an ongoing basis with the result that the Company's exposure to credit risk is not
significant. The Company evaluates the concentration of risk with respect to trade receivables as low, as none of its customers
constitutes significant portions of trade receivables as at the year end.
Credit risk from balances with banks and financial institutions is managed by Company's treasury in accordance with the
Company's policy. The company limits its exposure to credit risk by only placing balances with local banks of good repute. Given
the profile of its bankers, management does not expect any counterparty to fail in meeting its obligations.
(iii). Liquidity risk management
Liquidity risk is the risk that the Company will encounter difficulty in raising funds to meet commitments associated with
financial instruments that are settled by delivering cash or another financial asset. Liquidity risk may result from an inability to
sell a financial asset quickly at close to its fair value. The Company has an established liquidity risk management framework for
managing its short term, medium term and long term funding and liquidity management requirements. The Company's
exposure to liquidity risk arises primarily from mismatches of the maturities of financial assets and liabilities. The Company
manages the liquidity risk by maintaining adequate funds in cash and cash equivalents.
Surplus funds not immediately required are invested in certain financial assets which provide flexibility to liquidate at short
notice and are included in cash equivalents.
Liquidity risk table
The table below summarises the maturity profile of the Company's financial liabilities based on contractual undiscounted
payments.
Reason for change more than 25%:
In FY 2023-24 and FY 2022-23 due to increase in repayment of principle amount of unsecured borrowings (which are repayable on demands)
k) Return on Investments
This ratio has not been calculated since the Company does not have any investments as on 31st March, 2024 except investments in Subsidiary
Partnership Firms & Associates Firms.
44 Significant events occurred during the year ended March, 31, 2024
(a) Initial Public Offer - Draft Red Herring Prospectus
The Company has formed the IPO Committee vide resolution passed in the meeting of Board of Directors of the Company held on December
05, 2022 for initiating the process of preparing and filing of the Draft Red Herring Prospectuts in terms of SEBI (Issue of Capital & Disclosures
Requirements) Regulations and has filed the Draft Red Herring Prospectus (DRHP) with SEBI during the year ended 31st March, 2024.
(b) Conversion into Public Limited Company
The Company has been converted from Private Limited Company to Public Limited Company vide resolution passed in the Extra Ordinary
General Meeting of the Company held on June 05, 2023.
(c) Increase in Authorised Share Capital
The Company has Increased its authorised share capital from Rs. 200 lakhs (divided into 20 lakhs equity shares of Rs. 10 each fully paid up) to
Rs. 18,500 lakhs (divided into 1,850 lakhs equity shares of Rs. 10 each fully paid up vide special resolution passed in the meeting of
shareholders held on July 06, 2023.
(d) Issue of Bonus Shares
The Company has allotted 15,00,00,000 equity shares of face value of Rs. 10/- each, as a bonus Shares in the ratio of 1 : 75 to the existing
equity shareholders of the Company vide resolution passed in the meeting of shareholders held on July 06, 2023.
As per our report of even date For and on behalf of Board of Directors of
For Mittal & Associates Ar\___Arkade Developers Limited
Chartered Accountants //\ /X,- (pvv.
Firm Reg. No.: 106456W Jj f \
Hemant*R Bohra AmitJain ArpitJaln
Partner Managing Director Whole-time Director
M No. 165667 DIN: 00139764 DIN: 06899631
Place: Mumbai noli
Samshet Shetye Sheetal Solani
Chief Financial Officer Company Secretary
M No.: A45964
Place: Mumbai
Date June
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