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Notes to Accounts of Manpasand Beverages Ltd.

Mar 31, 2017

(1) Fair value of financial instruments

In determining the fair value of its financial instruments, the Company uses a variety of methods and assumptions that are based on market conditions and risks existing at each reporting date. The methods used to determine fair value include available quoted market prices and valuation reports from independent valuers. All methods of assessing fair value result in general approximation of value, and such value may never actually be realized.

(2) Earning Per Share

Basic earnings per share is 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. Earnings considered in ascertaining the Company''s earnings per share is the net profit for the period. For the purpose of calculating diluted earnings 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 is adjusted for the effects of all dilutive potential equity shares.

(3) Cash flow statement:

Cash flows are reported using the indirect method, whereby net profit / (loss) before tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

(4) First-time adoption-mandatory exceptions and optional exemptions Overall Principle

The Company has prepared the opening balance sheet as per Ind AS as of April 1, 2015 (the transition date) by recognizing all assets and liabilities whose recognition is required by Ind AS, not recognizing items of assets or liabilities which are not permitted by Ind AS, by reclassifying items from previous GAAP to Ind AS as required under Ind AS, and applying Ind AS in measurement of recognized assets and liabilities. However, this principle is subject to the certain optional exemptions availed by the Company as given below;

Deemed cost for property, plant and equipment and intangible assets

The Company has elected to continue with the carrying value of all of its plant and equipment and intangible assets recognized as of April 1, 2015 (transition date) measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition date. Determining whether an arrangement contains a lease

The Company has applied Appendix C of Ind AS 17 Determining whether an Arrangement contains a Lease to determine whether an arrangement existing at the transition date contains a lease on the basis of facts and circumstances existing at that date.

(5) Recent accounting pronouncements Standards issued but not yet effective

In March 2017, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2017, notifying amendments to Ind AS 7, ‘Statement of cash flows'' and Ind AS 102, ‘Share-based payment.'' These amendments are in accordance with the recent amendments made by International Accounting Standards Board (IASB) to IAS 7, ‘Statement of cash flows'' and IFRS 2, ‘Share-based payment,'' respectively. The amendments are applicable to the Company from April 1, 2017.

(i) Amendment to Ind AS 7: Statement of Cash flow

The amendment to Ind AS 7 requires the entities to provide disclosures that enable users of financial statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes, suggesting inclusion of a reconciliation between the opening and closing balances in the balance sheet for liabilities arising from financing activities, to meet the disclosure requirement.

(ii) Amendment to Ind AS 102: Shared- based Payment

The amendment to Ind AS 102 provides specific guidance to measurement of cash-settled awards, modification of cash-settled awards and awards that include a net settlement feature in respect of withholding taxes.

It clarifies that the fair value of cash-settled awards is determined on a basis consistent with that used for equity-settled awards. Market-based performance conditions and non-vesting conditions are reflected in the ‘fair values'', but non-market performance conditions and service vesting conditions are reflected in the estimate of the number of awards expected to vest. Also, the amendment clarifies that if the terms and conditions of a cash-settled share-based payment transaction are modified with the result that it becomes an equity-settled share-based payment transaction, the transaction is accounted for as such from the date of the modification. Further, the amendment requires the award that include a net settlement feature in respect of withholding taxes to be treated as equity-settled in its entirely. The cash payment to the tax authority is treated as if it was part of an equity settlement.

6. CRITICAL JUDGEMENTS IN APPLYING ACCOUNTING POLICIES

The following are the critical judgments, apart from those involving estimations that the management have made in the process of applying the Company''s accounting policies and that have the most significant effect on the amounts recognized in the financial statements. Actual results may differ from these estimates. These estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Useful lives and residual value of property, plant and equipment and intangible asset:

The Company reviews the useful life and residual value of property, plant and equipment and intangible asset as at the end of each reporting period. This reassessment may result in change in depreciation / amortization expense in future periods.

Income taxes :

Significant judgments are involved in determining the provision for income taxes, including amount expected to be paid/recovered for uncertain tax positions including set-off of available MAT credit in future years based on best estimate of revenue, expenses and tax positions for each future year.

Contingent liability judgment :

Note - 7 describes claims against the Company not acknowledged as debt. The Company evaluates each claim on its own or with the help of legal consultant and determines in case any provision is required or disclosure required as part of Contingent liabilities. In cases which includes certain penalties and charges payable to Government agency although as per the contracts, the Management, based on past experience, believes that the penalties and charges are negotiable and not certain and accordingly it is not considered as an obligation as at balance-sheet date and disclosed as contingent liabilities.

Note: Prepayment of leasehold lands includes one leasehold land viz. Plot no. A7 & A8 at Varanasi amounting to Rs, 228.43 Lakhs as at March 31,2017 (Rs, 231.88 as at March 31, 2016 and Rs, 235.33 as at April 1, 2015) is in the old name of the Company viz. Manpasand Beverages Private Limited and the Company is in the process of transferring the said lands in its present name.

The cost of Inventories recognized as an expense during the year is disclosed in note 24, 25 and 26.

The cost of Inventories recognized as expense includes Rs, 18.21 lakhs (during 2015-16 : Rs, 21.69) in respect of slow moving inventory. there has been on reversal on account of above in current and previous year.

Fair value of investment in quoted debenture is determine by reference to fair market valuation available from respective assets management company. Note (i) : The interest on debentures are market linked and payable at maturity. If Nifty Performance>=-75%, then coupon will be 36.5770% and Maturity value will be Rs,13,65770/- per debenture and If Nifty Performance<-75% then coupon will be 0% and Maturity Value will be Rs,10,00,000/- per debenture. The counter parties have PP-MLD[ICRA]AA- credit rating. The debenture will mature on 27.02.2026

Note (ii) : The interest on debentures are market linked and payable at maturity. If Nifty Performance>=-75%, then coupon will be 36.5770% and Maturity value will be Rs,13,65770/- per debenture and If Nifty Performance<-75% then coupon will be 0% and Maturity Value will be Rs,10,00,000/-per debenture. The counterparties have PP-MLD[ICRA]AA- credit rating. The debenture will mature on 06.02.2020

Note (iii) : The interest on debentures are market linked and payable at maturity. Coupon rate is based on the performance of portfolio of listed PSU bank . The counter party have CARE PP-MLD AA credit rating. The debenture will mature on 20.11.2026.

Note (i) : Current account includes one current account with Union Bank of India, Varanasi Branch which is in the old name of the Company viz. Manpasand Beverages Private Limited and the Company is in the process of converting the said account in its present name.

The Company has one class of equity shares having a par value of Rs, 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, if any, in proportion to their shareholding.

Note i. The Company completed its Initial Public Offering (IPO) of 12,500,000 Equity Shares of Rs, 10/- each at a price of Rs, 320/- per Equity Share and the said shares were listed on National Stock Exchange of India Limited and BSE Limited on 9th July, 2015.

ii. The QIP Committee of the Board of Directors of the Company at its meeting held on 3rd October, 2016 approved the allotment of 7,092,198 Equity Shares of face value of Rs, 10/- each to Qualified Institutional Buyers (QIBs) at the issue price of Rs, 705.00 per Equity Shares (including a premium of Rs, 695.00) aggregating to Rs, 50,000 Lakhs in accordance with the Provisions of Chapter VIII of SEBI (ICDR) Regulations, 2009.

iii Share Options granted under the Company''s Employee Share Option Plan

At March 31, 2017, executives and senior employees held options over 30000 equity shares of the company, of which options over 30000 equity shares will expire on October 3, 2017. At 31 March, 2016, executives and senior employees held options over 1,00,000 equity shares of the company, of which options over 70,000 equity shares will expire on October 3, 2016 and remaining options over 30,000 equity shares will expire on October 3, 2017. (Refer note no. 36)

The company is a party to legal proceedings in the normal course of business and does not expect the outcome of these proceedings to have any adverse effect on its financial conditions, results of operations or cash flows. Further, claims by parties in respect of which the Management have been legally advised that the same are frivolous and not tenable, have not been considered as contingent liabilities as the possibility of an outflow of resources embodying economic benefit is highly remote.

8. SEGMENT REPORTING

The Company is in the business of "Fruit Drinks" and has only one reportable operating segment as per Ind AS 108 - Operating Segments.

The same is consistent with the information provided to and reviewed by chief operating decision maker.

9. Financial Risk Management objectives

The management of the Company monitors and manages the financial risks relating to the operations of the Company on a continuous basis. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

Compliance with policies and exposure limits is reviewed internally on a continuous basis. The Company does not enter into any trade financial instruments, including derivative financial instruments and relies on natural hedge.

10. Market Risk

The Company''s activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates.

The Company has a very limited exposure to foreign currency risk and thereby it has not hedged its foreign currency trade payables.

11. Foreign currency risk management

The functional currency of the company is Indian Rupees.

The Company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise.

Foreign Currency Sensitivity Analysis

The Company is exposed to Us Dollar.

The following table details the Company''s sensitivity to a 5% increase and decrease in the Rupee against USD. 5% is a sensitivity rate used when reporting foreign currency internally to the key management personnel and represents management''s assessment of the reasonably possible changes in the foreign exchange rates. The sensitivity analysis includes only outstanding foreign currency denominated monetary items and adjusts their translation at the period end for a 5% change in the foreign currency rates. A positive number below indicates an increase in profit or equity where the Rupee strengthens 5% against the relevant currency. For a 5% weakening of the Rupee against the relevant currency, there would be a comparable impact on the profit or equity, and the balances below would be negative.

12. Interest rate risk management

The Company is not exposed to interest rate risk because the Company generally borrows funds at fixed interest rates.

Interest rate sensitivity analysis

The sensitivity analysis has been determined based on the exposure to interest rates for instruments at the end of the reporting period.

13. Credit risk management

Credit risk refers to the risk that the counter party will default on its contractual obligations resulting in financial loss to the Company. The Company is operating through network of channel partners and depots based at different locations. Credit arises primarily from financial assets such as trade receivable, investment in mutual fund , other balances with bank and other receivables.

Regular monitoring of the receivables is undertaken by the Marketing Department. In case of new customers, the goods are generally supplied only against advance receipts. The marketing department of the Company regularly discusses the credit risks, measures taken to address them and the status and level of risk after the measures taken. In case the receivables are not recovered even after regular follow up, the same is brought to the attention of the senior management and measures are taken to stop further supplies to the concerned party.

Credit risk arising from investment in mutual fund and other balance with bank is limited and there is no collateral held against these because the counter parties are bank and recognized financial institutions with high credit ratings.

14. Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has established an appropriate liquidity risk management framework for the management of the Company''s short-term, medium-term and long-term funding and liquidity management requirements. The Company manages its funds mainly from internal accruals. The liquidity risk is managed by maintaining adequate fixed deposits, investment in mutual funds and banking facilities and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company''s remaining contractual maturity for its non derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. The Company had filed a Draft Red Herring Prospectus (DRHP) in November 2014 and Prospectus in June 2015 with one of the objects of utilizing the proceeds of the Initial Public Offer (IPO) for the repayment/prepayment of its debt. Thus, as at April 1, 2015, the contractual maturity of the non derivative financial liabilities is considered to be less than six months although the Company was under no obligation to make the entire payment within such period.

15. Fair Value Measurements

This note provides information about how the Company determines fair values of various financial instruments.

Some of the Company''s financial assets and financial liabilities are measured at fair value at the end of each reporting period. The following table gives information about how the fair values of financial assets and financial liabilities are determined (in particular, the valuation technique(s) and inputs used).

Fair value of the Company''s financial assets and financial liabilities that are not measured at fair value (but fair value disclosures are required)

Except as detailed in the following table, the Company considers that the carrying amounts of financial assets and financial liabilities recognized in the financial statements approximate their fair values.

16 EMPLOYEE STOCK OPTION SCHEME

The Company initiated the “Employee Stock Option Scheme 2014” for all eligible employees in pursuance of the special resolution approved by the Shareholders in the Annual General Meeting held on 14th August, 2014. The Scheme covers all directors and employees (except promoters or those belonging to the promoter''s group, independent directors and directors who either by himself or through his relatives or through anybody corporate, directly or indirectly holds more than 10% of the outstanding Shares of the Company).

Under the Scheme, the Compensation Committee of the Board, (the “ESOP Committee”), administers the Scheme and grants stock options to eligible directors or employees of the Company. The Committee determines the employees eligible for receiving the options and the number of options to be granted subject to overall limit of 100,000 options and aggregate 2% of the issued capital as on 14th August, 2014. The vesting period extend up to thirty six months from the date of the grant of option. The Committee decided the exercise price of Rs, 20 per equity share of Rs, 10 each as per clause 8.1 of SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999 as replaced by "Securities and Exchange Board of India" (Share Based Employee Benefits) Regulations 2014."

(The fair value at grant date is determined using Binomial Option Pricing Model which takes into account exercise price, the term of option, the expected price volatility, the expected dividend yield and the risk free interest rate for the term of the option.)

17. EMPLOYEE BENEFIT PLANS Defined Contribution Plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees. Provident fund is managed through government administered fund. The Company recognized Rs, 126.73 Lakhs (Previous Year Rs, 27.77 Lakhs) for Provident Fund contributions in the Statement of Profit and Loss. The contributions payable to these plans by the Company are at rates specified in the rules of the scheme.

Defined benefit plans

The Company offers the employee benefit scheme of gratuity to its employees as per Gratuity Act, 1972.

These plans typically expose the Company to various risks such as: actuarial risk, investment risk, liquidity risk, market risk and legislative risk.

18.Operating Lease Arrangements And Finance Lease Arrangements

(a) Assets given on Operating lease

The Company does not have any assets given on operating lease during the reporting period.

(b) Assets taken on Operating lease

The Company has leasing arrangements in respect of operating leases for premises viz. office, godowns, etc. These leasing arrangements which are cancellable (other than those specified below), range between eleven months to five years and are usually renewable by mutual consent on mutually agreeable terms.

Note: The Company has varied the objects of the Issue, as stated in the prospectus, by passing the special resolution through postal ballot on 5th September, 2016. Applicable provisions of the Companies Act, 2013 have been complied with.

Notes to the reconciliations

a. Under Indian GAAP upfront amount paid for interests in land was recorded as lease hold land under Property Plant and Equipments, whereas under Ind AS, it is classified as an operating lease and prepayment for the operating lease is recognized as non-current asset and amortised over the period of lease.

b. Under previous GAAP current investments were measured at lower of cost or Fair Value. Under Ind AS, these financial assets have been classified as FVTPL on the date of transition. The fair value changes are recognized in the Statement of Profit and Loss.

c. Under previous GAAP dividends on Equity shares recommended by the Board of Directors after the end of the reporting period but before the financial statements were approved for issue were recognized in the financial statements as a liability. Under Ind AS, such dividends are recognized when declarted by the members in the General Meeting.

d. Under Ind AS, re-measurements, i.e. actuarial gains and losses included in the net gratuity expense on the net defined liability are recognized in other comprehensive income instead of profit or loss.

e. Under previous GAAP the intrinsic value method was used for determining the costs of benefits arising from employee share-based compensation plans. Under Ind AS, the fair value of the equity instrument as at the grant date is used.

f. Deferred tax adjustments are on account of Ind AS adjustments.

g. Under Ind AS, other comprehensive income adjustments are on account of actuarial gain/ loss on defined benefit plan - gratuity, net of tax effect.

h. Under previous GAAP revenue from sale of products was presented net of excise duty under revenue from operations. Whereas, under Ind AS, revenue from sale of products includes excise duty. The corresponding excise duty expense is presented separately on the face of the Statement of profit and loss.

i. Under Ind AS, revenue is measured at the fair value of the goods or services received, adjusted by the amount of any cash or cash equivalents transferred. Certain sales related expenses and taxes reimbursed by the Company to its dealers formed part of other expenses under previous GAAP The same are netted off from revenue under Ind AS.

* For the purpose of this clause, the term ''Specified Bank Notes'' shall have the same meaning provided in the notification of the Government of India, in the Ministry of Finance, Department of Economic Affairs number S.O. 3407 (E), dated November 8, 2016.

19. APPROVAL OF FINANCIAL STATEMENTS

The Financial Statements were approved for issue by the Board of Directors on 13.06.2017


Mar 31, 2016

1 Incorporation of the Company

"The Company was incorporated on 17th December, 2010 in the state of Gujarat under the provisions of the Companies Act, 1956 with CIN No. L15549GJ2010PLC063283 in the name of Manpasand Beverages Limited. The Company''s business operations, which were being carried out in a different entity, were taken over by the Company effective from 1a April, 2011. Further, effective from 5th August, 2011 the name of the Company was changed to Manpasand Beverages Private Limited. Subsequently, effective from 7th October, 2014 the name of the Company has been changed to Manpasand Beverages Limited.1

2 Disclosures under Accounting Standards

2.1 Employee benefit plans

2.1 a Defined contribution plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees. Under the Schemes, the Company is required to contribute a specified percentage of the payroll costs to fund the benefit. The Company recognised Rs.27.77 Lacs (Previous Year Rs.22.41 Lacs) for Provident Fund contributions in the Statement of Profit and Loss. The contributions payable to these plans by the Company are at rates specified in the rules of the scheme.

2.1 b Defined benefit plans

The Company offers the employee benefit scheme of gratuity to its employees.

The following table sets out the funded status of the defined benefit scheme and the amount recognised in the financial statements:

2.2 Segment Reporting:

Business Segment: The Company is engaged in the business of manufacturing of fruit juices in the beverages segments which as per the Accounting Standard (AS 17) ''Segment Reporting'' is considered the only reportable segment.

2.3 The Company completed its Initial Public Offering (IPO) of 12,500,000 Equity Shares of Rs.10/- each at a price of Rs.320/- per Equity Share and the said shares were listed on National Stock Exchange of India Limited and BSE Limited on July 9, 2015.

2.4 Employee Stock Option Scheme

The Company initiated the "Employee Stock Option Scheme 2014" for all eligible employees in pursuance of the special resolution approved by the Shareholders in the Annual General Meeting held on 14th August, 2014. The Scheme covers all directors and employees (except promoters or those belonging to the promoter''s group, Independent Directors and Directors who either by himself or through his relatives or through any body corporate, directly or indirectly holds more than 10% of the outstanding Shares of the Company). Under the Scheme, the Compensation Committee of the Board, (the "ESOP Committee"), administers the Scheme and grants stock options to eligible directors or employees of the Company. The Committee determines the employees eligible for receiving the options and the number of options to be granted subject to overall limit of 100,000 options and aggregate 2% of the issued capital as on 14th August, 2014. The vesting period shall extend up to thirty six months from the date of the grant of option. The Committee decided the exercise price of Rs.20 per equity share of Rs.10 each as per clause 8.1 of SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999 as replaced by ""Securities and Exchange Board of India"" (Share Based Employee Benefits) Regulations 2014.

2.5 Previous year''s figures

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


Mar 31, 2015

1 Incorporation of the Company

"The Company was incorporated on 17th December 2010 in the state of Gujarat under the provisions of the Companies Act, 1956 with CIN No. U15549GJ2010PLC063283 in the name of Manpasand Beverages Limited. The Company''s business operations, which were being carried out in a different entity, were taken over by the Company effective from 1st April 2011. Further, effective from 5th August 2011, the name of the Company was changed to Manpasand Beverages Private Limited. Subsequently, effective from 7th October, 2014, the name of the Company has been changed to Manpasand Beverages Limited."

2 Notes :

I. On 18th June, 2014, the Company :

(i) Allotted 24,300 Equity Shares of Rs 10 each to Mr. Dhirendra Singh at a price of Rs 2,058 per Equity Share.

(ii) Allotted 218,600 CCPS of Rs 10 each to SAIF Partners India IV Limited at a price of Rs.2,058 per CCPS.

II. On 14th August 2014, the Company :

(i) Increased its Authorised Capital from Rs. 5 Crores (divided into Rs. 3.5 Crores Equity Shares and Rs. 1.5 Crores CCPS) to Rs.55 Crores (divided into Rs. 43.5 Crores Equity Shares and Rs. 11.5 Crores CCPS (which were later on 3rd October 2014, re-designated to equity shares on conversion of CCPS))

(ii) Allotted 1 12,500 Equity Shares of Rs 10 each to Aditya Birla Trustee Company Private Limited at a price of Rs 2,333.33 per Equity Share through private placement.

(iii) Issued bonus shares, for both equity shares and CCPS, in the ratio of 9 shares for each share held by the existing shareholders , being 23,740,200 Equity Shares and 10,058,400 Preference Shares by capitalizing securities premium account.

(iv) On 3rd October 2014, the Company converted the outstanding 11,176,000 CCPS into 11,176,000 Equity Shares, i.e. in the ratio of 1:1.

3 Terms & Rights attached to each class of shares:

The Company had two class of shares - (i) Equity Shares and (ii) Compulsorily convertible preference shares (CCPS) both having face value of Rs. 10 each. Each holder of Equity share and CCPS is entitled to one vote per share.

4 Contingent liabilities As at 31-Mar-15 As at 31-Mar-14 and commitments Rs.( in Lacs) Rs.( in Lacs)

Commitments

Estimated amount of contracts remaining to be executed on capital account and not provided for 3,908.81 25.18

EPCG - Custom Duty [secured against bank guarantee of 180.84 180.84 Rs. 180.84 (PY Rs. 180.84)]

5 All the materials consumed are indigenous.

6 Disclosures under Accounting Standards

Note Particulars

Employee benefit plans

A Defined contribution plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees. Under the Schemes, the Company is required to contribute a specified percentage of the payroll costs to fund the benefit. The Company recognised Rs. 6.33/- (Period Ended 31st March 2014 Rs.4.46) for Provident Fund contributions in the Statement of Profit and Loss. The contributions payable to these plans by the Company are at rates specified in the rules of the scheme.

7 Segment Reporting: Business Segment: The Company is engaged in the business of manufacturing of fruit juices in the beverages segments which as per the Accounting Standard (AS 17) ''Segment Reporting'' is considered the only reportable segment.

8 Related party transactions

A Details of related parties:

Description of relationship Names of related parties

Key Management Personnel Mr.Dhirendra Singh

Mr.Abhishek Singh

Other Related Parties

Significant Influence Manpasand Snack & Beverages Limited

Significant Influence M-Tel Electronics Private Limited

Significant Influence X-Cite Nutritions Private Limited

Firm owned by KMP U K Agro

Hindu Undivided Family where KMP D H Singh - HUF is the Karta

Relative of key management personnel Mrs. Sushma Singh

Relative of key management personnel Mrs. Tetradevi

Relative of key management personnel Mr.Harshvardhan Singh

Relative of key management personnel Mr. Satyendra Singh

Relative of key management personnel Mr.Dharmendra Singh

Relative of key management personnel Mr.Ghaynendra Singh

Note: Related parties have been identified by the Management.

9 Acquisition of Business : On 18th June, 2014, the Company has entered into a Memorandum of Understanding (MOU) with M/S U K Agro (a partnership firm in which Mr. Dhirendra Singh is a partner) to acquire its present assets (except it''s all the present liabilities) for a consideration of Rs. 80 million. Necessary accounting entries for the purchase of assets have been passed in the books of accounts.

10 Change in Accounting Policies : With effect from 1st April, 2014, the Company has changed its accounting policy with respect to Share Issue Expenses. Hitherto the share issue expenses incurred by the Company were amortised / written off over a period of 5 years, and since 1st April, 2014 the share issue expenses are adjusted against the Securities Premium Account as permissible under Section 52 of the Companies Act, 2013. Accordingly, the share issue expense amortised is lower and the profit before tax is higher by Rs. 88.21 Lakhs

11 Subsequent events : The Company has on 26th June 2015 successfully completed its Initial Public Offering (IPO) of 1,25,00,000 equity shares of Rs.10 each at an exercise price of Rs.320/-. The shares of the Company were listed on the National Stock Exchange and Bombay Stock exchange on 9th July 2015.

12 Employee Stock Option Scheme

The Company initiated the "Employee Stock Option Scheme 2014" for all eligible employees in pursuance of the special resolution approved by the Shareholders in the Annual General Meeting held on 14th August, 2014. The Scheme covers all directors and employees (except promoters or those belonging to the promoter''s group, independent directors and directors who either by himself or through his relatives or through any body corporate, directly or indirectly holds more than 10% of the outstanding Shares of the Company). Under the Scheme, the Compensation Committee of the Board, (the "ESOP Committee"), administers the Scheme and grants stock options to eligible directors or employees of the Company. The Committee determines the employees eligible for receiving the options and the number of options to be granted subject to overall limit of 100,000 options and aggregate 2% of the issued capital as on 14th August, 2014. The vesting period shall extend up to thirty six months from the date of the grant of option. The Committee decided the exercise price of Rs. 20 per equity share of Rs.10 each as per clause 8.1 of SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999.


Mar 31, 2014

1. Employee benefit plans

2. a Defined contribution plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees. Under the Schemes, the Company is required to contribute a specified percentage of the payroll costs to fund the benefit. The Company recognised Rs. 1,911,469/- (Year ended 31 March, 2013 Rs. 1,898,895/-) for Provident Fund contributions in the Statement of Profit and Loss. The contributions payable to these plans by the Company are at rates specified in the rules of the scheme.

3. b Defined benefit plans

The Company offers the employee benefit scheme of gratuity to its employees.

The following table sets out the funded status of the defined benefit scheme and the amount recognised in the financial statements:

4. Segment Reporting:Business Segment: The Company is engaged in the business of manufacturing of fruit juices in the beverages segments which as per the Accounting Standard (AS 17) 'Segment Reporting' is considered the only reportable segment.

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