Estimation of fair value :

The fair value of investment properties are based on the valuation by a registered valuer as defined under rule 2 of Companies (Registered Valuers and Valuation) Rules, 2017. The fair valuation is based on prevailing market value is a result of demand/ supply, merits/ demerits of properties and various locational, social, economical, political factors and circumstances. Pravailing market value can be estimated through market survey, through dependable data/ sale instances, local estate developers/ brokers, our database, real estate portal enquiries and verbal enquiries in neighbourhood area. The value of furniture, fixtures movable items are not considered in our valuation. This valuation is based on valuations performed by an accredited independent valuer. The fair value measurement is categorised in level 3 fair value hierarchy.

The fair valuation is based on discounted cash flow method (DCF). This valuation is based on valuation performed by an accredited independent valuer. The fair value measurement is categorised in level 3 fair value hierarchy due to use of unobservable inputs.

Under the DCF method, fair value is estimated using assumptions regarding the benefits and liabilities of ownership over the asset's life including an exit or terminal value. This method involves the projection of a series of cash flows from property. To this projected cash flow series, a market-derived discount rate is applied to establish the present value of the income stream associated with the asset. The exit yield is normally separately determined and differs from the discount rate.

The duration of the cash flows and the specific timing of inflows and outflows are determined by events such as rent reviews, lease renewal, escalation. The appropriate duration is typically driven by market behaviour that is a characteristic of the class of real property. Periodic cash flow is typically estimated as gross income less nonrecoverable expenses, repairs & maintenance cost, other operating and management expenses. The series of periodic net operating income, along with an estimate of the terminal value anticipated at the end of the projection period, is then discounted.

(iii) During the year, properties aggregating Nil (31 March 2022: ' 930.58 lakhs) has been transferred from inventories to investment properties.

(iv) The Company has no restriction on the realisability of its investment properties and no contractual obligations to purchase, construct or develop investment properties or for repairs, maintenance and enhancements.

(v) During the year, properties aggregating gross block of ' 301.24 lakhs (31 March 2022 : Nil) and net block of ' 250.62 lakhs (31 March 2022: Nil) has been transferred from investment properties to property, plant and equipment pursuant to change in use.

Refer note 42 for information on investment properties pledged as security by the Company.

Refer note 39 for information regarding future lease rentals receivable.

Refer note 53 for details of title deeds of immovable properties.

6.1 During the year, the Company has subscribed 153,000 (31st March, 2022: 242,000) preference shares of USD 1 each in its subsidiary Sunteck Lifestyle International Private Limited, Mauritius for an aggregate amount of ' 121.76 Lakhs (31st March, 2022: ' 179.13 Lakhs).

6.2 On 7th October, 2022, Piramal Sunteck Realty Private Limited (PSRPL), a joint venture company, has completed the buy back of 194,900 fully paid-up equity shares (of which 50% i.e. 97,450 equity shares was of the Company) having face value of ' 10 each at price of ' 1,110 per equity share.

6.3 On 30th March, 2022, a wholly owned subsidiary, Sunteck Infracon Private Limited ("SIPL”) was incorporated wherein the Company has subscribed 10,000 equity shares of SIPL at face value of ' 10 per share aggregating ' 1 Lakhs on 23rd May, 2022 at par.

6.4 On 26th April, 2022, a wholly owned subsidiary, Sunteck Realtors Private Limited ("SRPL”) has been incorporated wherein the Company has subscribed 10,000 equity shares of SRPL at face value of ' 10 per share aggregating ' 1 Lakhs 23rd May, 2022 at par.

6.5 During the current year, pursuant to the approval of its Board, the Company has converted 3,881 Compulsorily Convertible Debentures (CCDs) of ' 33,857.84 Lakhs to Optionally Convertible Debentures (OCDs) and 770 OCDs (31st March, 2022: 1055 OCDs) have been redeemed at face value for an amount aggregating to ' 6,717.48 Lakhs.

6.6 (a) During the current year, Starlight System (I) LLP (''LLP”), wherein the Company held 98% stake/ interest as

partner, has been converted into private company limited by shares namely Starlight System (I) Private Limited ("SSIPL”), with effect from 29th April, 2022 and it continues to be subsidiary of the Company. Pursuant to such conversion, on 28th June, 2022, SSIPL has issued 9,800 equity shares at face value of ' 10 each (representing 98% stake) to the Company towards the fixed capital of ' 0.98 Lakhs .

(b) During the current year, the Company has subscribed 62,005 Optionally Convertible Debentures of face value of ' 100,000 each aggregating ' 62,005.00 Lakhs of Starlight System (I) Private Limited ("SSIPL”), by conversion of partial loan balance, which represents current capital investments and accumulated balance towards the share of profit/loss of the Company till the date of conversion i.e. 29th April, 2022 from Starlight System (I) LLP ("LLP”) into a private company.

(c) During the current year, pursuant to the approval of its Board of Directors, the Company has redeemed 2,550 Optionally Convertible Debentures (OCDs) of ' 2,550.00 Lakhs (31st March, 2022: Nil) at face value.

*** All these investments (being strategic in nature) are measured at fair value through other comprehensive income ('FVTOCI') since these are not held for trading purposes and thus disclosing their fair value fluctuation in profit and loss will not reflect the purpose of holding. No dividend have been received from such investments during the year.

$ Refer note 45 for information on price risk

12.3 Trade receivables are non-interest bearing and are generally on credit terms of 15 days.

12.4 Refer note 42 for trade receivables offered as security against borrowings.

12.5 The Company measures the expected credit loss of trade receivables from individual customers based on historical trend, industry practices and the business environment in which the entity operates. The Company does not expects the significant risk in current and subsequent period, hence no additional ECL is recognised. Further, there has been improvement in the credit quality of the instrument, basis this there has been reversal of ECL in the current period.

(ii) Rights, preferences and restrictions attached to equity shares

The Company has only one class of equity share having a par value of ' 1 each with an entitlement of one vote per share held. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuring Annual General Meeting. In the event of liquidation of the Company, the holder of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

(iii) Shares held by subsidiaries

6,000,000 (31st March, 2022: 6,000,000) equity shares of ' 1 each fully paid up out of issued, subscribed and paid up share capital are held by its subsidiary companies.

(v) The Company has not issued any bonus shares, issued shares for consideration other than cash nor has been any buy back of shares during the period of five years immeditely preceeding 31st March, 2023 and 31st March, 2022.

(vi) During the current year, the Company has issued 27,799 (31 March 2022: 51,505) equity shares of face value of ' 1 each at a premium of ' 224 per equity share and 924 (31 March 2022: 4,000) equity shares of face value of ' 1 each at a premium of ' 324 per equity share pursuant to exercise of Employee Stock Option Schemes (ESOS) by the holders.

(vii) Shares reserved for issue under options

For details of shares reserved for issue under the employee stock option scheme (ESOS) of the Company (Refer note 40)

Nature and purpose of other equity and reserves :

(a) Capital reserve on merger

During merger, the excess of net assets taken over the cost of consideration paid is treated as capital reserve on account of merger. Capital reserve is usually not distributed as dividends to shareholders.

(b) Securities premium

Securities premium is used to record the premium on issue of financial securities such as equity shares, preference shares, employee stock options plan/ employee stock option scheme etc.. The reserve is utilised in accordance with the provision of the Companies Act, 2013.

(c) Share based payment reserve

Share based payment reserve is used to recognise the fair value of options on the grant date, issued to employees under employee stock option plan.

(d) General reserve

General reserves are created out of profits and kept aside for general purpose and financial strengthening of the Company, they don't have any special purpose to fulfill and can be used for any purpose in future.

(e) Retained earnings

Retained earnings represents the cumulative profits of the Company and effects of measurements of defined benefits obligations routed through OCI.

(f) Equity instrument through other comprehensive income

Equity instrument through other comprehensive income represents the investment is revalued at fair value at each year end, with the gain or loss being taken through other comprehensive income.

(iii) The Company have received a legal notice from an individual in the earlier years seeking production of certain documents in relation to a legal suit which involves one of the co-venturer. The Company have been unnecessarily made party to the legal suit and is not involved in any manner with respect to the matters alleged in the legal suit. The Company through its legal counsel had responded to the legal notice stating that suit against the Company be dismissed in limine.

(iv) The Honourable Supreme Court, has passed a decision on 28th February, 2019 in relation to inclusion of certain allowances within the scope of ''Basic wages” for the purpose of determining contribution to provident fund under the Employees' Provident Funds & Miscellaneous Provisions Act, 1952. The Company, based on legal advice, is awaiting further clarifications in this matter in order to reasonably assess the impact on its financial statements, if any. Accordingly, the applicability of the judgement to the Company, with respect to the period and the nature of allowances to be covered, and resultant impact on the past provident fund liability, cannot be reasonably ascertained, at present.

Note: It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above pending resolution of the respective proceedings mentioned under i), ii), iii) and iv) above. The Company does not expect any reimbursements in respect of the above contingent liabilities. Future cash outflows in respect of the above are determinable only on receipt of judgments / decisions pending with various forums / authorities. The Company does not expect any outflow of economic resources in respect of the above and therefore no provision is made in respect thereof.

Expense arising from share-based payment transactions

During the year, provision relating to share-based payment transactions (Employee Stock Option Plan) has been recognised as employee benefit expense amounting to ' 44.81 Lakhs (31st March, 2022: ' 0.35 Lakhs ).

Provision relating to share based payment transactions has been reversed amounting to ' 23.44 Lakhs (31st March, 2022: ' 55.67 Lakhs ) relating to employees of subsidiary companies is disclosed under other current financial assets.

ESOS scheme 2022

During the financial year ended 31st March, 2023, the shareholders of the Company in the Annual General Meeting held on 23rd September, 2022 have approved 'Sunteck Realty Limited Employees' Stock Option Scheme 2022' (ESOS 2022) to issue up to 14,00,000 equity shares of the face value of ' 1 each of the Company to the employees of the Company and its subsidiary in terms of ESOS 2022 formulated and approved by the Board of Directors. During the year, no grants have been made under ESOS 2022.

(b) Compensated absences

The Compensated absences cover the Company's liability for sick and earned leave.

The liability is presented as current, since the Company does not have an unconditional right to defer settlement for any of these obligations. The expense recognised during the year towards compensated absences is ' 48.47 Lakhs (31st March, 2022: ' 15.84 Lakhs )

(c) Defined contribution plans Provident fund

The Company also has certain defined contribution plans. The contributions are made to provident fund in India for employees at the rate of 12% of basic salary as per regulations. The contributions are made to registered provident fund administered by the government. The obligation of the Company is limited to the amount contributed and it has no further contractual nor any constructive obligation. Amount recognised as an expense during the year towards defined contribution plan is ' 106.66 Lakhs (31st March, 2022: ' 79.51 Lakhs ).

(d) Post-employment obligations (Gratuity)

The Company provides gratuity a defined benefit retirement plan covering eligible employees of the Company as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years or more are eligible for gratuity. The gratuity plan is a non-funded plan.

44 FAIR VALUE MEASUREMENTS

(i) Fair value hierarchy

The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participant at the measurement date.

This section explains the judgments and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows underneath the table.

Level 1 : Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges are valued using the closing price as at the reporting period.

Level 2: The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.

(ii) Valuation technique used to determine fair value

Specific valuation techniques used to value financial instruments include:

- the use of quoted market prices or dealer quotes for similar instruments.

- the use of discounted cash flow for fair value at amortised cost.

45 FINANCIAL RISK MANAGEMENT

The Company's activities expose it to market risk, liquidity risk and credit risk. In order to minimise any adverse effects on the financial performance, the Company's risk management is carried out by a corporate treasury and corporate finance department under policies approved by the board of directors and top management. The Company's treasury identifies, evaluates and mitigates financial risks in close cooperation with the Company's operating units. The board provides the guidance for the overall risk management, as well as policies covering specific areas.

This note explains the sources of risks which the entity is exposed to and how the entity manages the risk and the related impact in the financial statement.

(A) Credit risk

Credit risk arises from the possibility that the counter party may not be able to settle their contractual terms and obligations. To manage this, the Company periodically assess financial reliability of customers, taking into account the financial condition, current economic trends, and analysis of historical bad debts and ageing of accounts receivable. Individual risk limits are set accordingly.

The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis through out each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers reasonable and supportive forwarding-looking information such as:

i) Actual or expected significant adverse changes in business,

ii) Actual or expected significant changes in the operating results of the counterparty,

iii) Financial or economic conditions that are expected to cause a significant change to the counterparty's ability to meet its obligations,

iv) Significant changes in the value of the collateral supporting the obligation or in the equity of the third-party guarantees or credit enhancements.

Financial assets are written off when there is no reasonable expectations of recovery, such as a trade receivable failing to engage in a repayment plan with the Company. Where loans or receivables have been written off, the Company continues engage in enforcement activity to attempt to recover the receivable due. Where recoveries are made, these are recognised in statement of profit and loss.

Credit risk is managed at Company level.

For other financial assets, the Company assesses and manages credit risk based on internal control and credit management system. The finance function consists of a separate team who assess and maintain an internal credit management system. Internal credit control and management is performed on a Company basis for each class of financial instruments with different characteristics.

The Company considers whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. It considers available reasonable and supportive forward-looking information.

Macroeconomic information (such as regulatory changes, market interest rate or growth rates) are also considered as part of the internal credit management system.

A default on a financial asset is when the counterparty fails to make payments as per contract. This definition of default is determined by considering the business environment in which entity operates and other macroeconomic factors.

The Company exposure to credit risk is influenced mainly by the individual characteristics of each customer. However credit risk with regards to trade receivable is almost negligible in case of its residential and commercial sale and rental business. The same is due to the fact that in case of its residential and commercial sell business it does not handover possession till entire outstanding is received. Similarly in case of rental business, the Company keep 3 to 12 months rental as deposit from the occupants (Refer notes 12.2 and 12.5).

Credit risk on cash and cash equivalents is limited as the Company generally invest in deposits with banks and financial institutions with high credit ratings assigned by international and domestic credit rating agencies.

(B) Liquidity risk

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding to meet obligations when due. Due to the dynamic nature of the underlying businesses, the Company's treasury maintains flexibility in funding by maintaining sufficient cash and bank balances available to meet the working capital requirements. Management monitors rolling forecasts of the Company's liquidity position (comprising the unused cash and bank balances along with liquid investments) on the basis of expected cash flows. This is generally carried out at the Company level in accordance with practice and limits set by the Company. These limits vary to take into account the liquidity of the market in which the Company operates.

(i) Maturities of financial liabilities

The tables below analyse the Companies financial liabilities into relevant maturity groupings based on their contractual maturities for :

All non-derivative financial liabilities, and the amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the impact of discounting is not significant.

(C) Market risk (i) Price risk

- Exposure

The Company's exposure to equity securities price risk arises from investments held by the Company and classified in the balance sheet at "fair value through Other Comprehensive Income."

- Sensitivity

The table below summarises the impact of increases/ decreases of the BSE index on the Company's equity and gain/ loss for the period. The analysis is based on the assumption that the index has increased by 5 % or decreased by 5 % with all other variables held constant, and that all the Company's equity instruments moved in line with the index.

(ii) Foreign currency risk (unhedged)

The Company operates internationally and is exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the USD. Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the Company's functional currency ('). The risk is measured through a forecast of highly probable foreign currency cash flows. The Company does not cover foreign currency exposure with any derivative instruments. The Company also imports certain materials which are denominated in USD which exposes it to foreign currency risk. The Company evaluates exchange rate exposure arising from foreign currency transactions and follows established risk management policies, including minimising cross currency transactions, using natural hedge to minimise the impact to results of the exchange rate movements. The unhedged exposures are maintained and kept to minimum feasible.

(iii) Cash flow and fair value interest rate risk - Interest rate risk management:

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument 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 risk is managed by the Company by maintaining an appropriate mix between fixed and floating rate borrowings.

46 CAPITAL MANAGEMENT (a) Risk management

The Company's objectives when managing capital are to :

1. Safeguard their ability to continue as a going concern, so that they can continue to provide returns for shareholders and benefits for other stakeholders, and

2. Maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares, reduce debt or sell assets.

Proposed dividend

The Board of Directors have recommended a equity dividend of ' 1.50 per equity share of the face value of ' 1 each to the shareholders for the financial year ended 31st March, 2023. The same is subject to the approval of the shareholders of the Company at the Annual General Meeting and therefore not recognised as liability as at the Balance Sheet date.

c) Final / Interim dividend received

During the year, the Company has received dividend income from its subsidiaries and joint venture company aggregating ' 60.56 Lakhs (31st March, 2022: ' 52.60 Lakhs ) and ' 1,126.00 Lakhs (31st March, 2022: Nil) respectively.

(iv) The significant payment terms:

Construction-linked plans (CLP):

Under this plan, the unit holder can book a unit by paying a booking amount. Further, the balance amount is required to be paid as per the construction milestones as mentioned in the agreement.

Subvention scheme:

Under this scheme, the unit holder can book a unit by paying an agreed initial amount and balance amount is funded by the bank/ financial institution (FI) based on the construction linked payment schedule as per the agreed terms between the Company, the unit holder and the bank/ FI. Related finance cost for the agreed period is included in the contract price.

55 OTHER STATUTORY INFORMATION(i) Utilisation of borrowed funds and share premium

I. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) 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

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

II. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries

(ii) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

(iii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any government authority.

(iv) The Company has complied with the number of layers as prescribed under section 2(87) of the Companies Act, 2013.

(v) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or discharged as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.)

(vi) The Company has not traded or invested in crypto currency or virtual currency during the financial year.

(vii) The Company does not have any charges or satisfaction which is yet to be registered with Registrar of Companies beyond the statutory period.

(viii There are no transactions or outstanding balances with struck off companies as at and for the year's ended 31st March, 2023 and 31st March, 2022.

(ix) The Company has not entered into any scheme of arrangement which has an accounting impact on the current and previous financial year.

(x) The Company is not required to submit quarterly statements carrying financial information to the banks and financial institution for such nature of facility obtained by the Company for the years ended 31st March, 2023 and 31st March, 2022.

56 SEGMENT REPORTING a) Business segment

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker.

The Company's Chairman and Managing director (CMD) is identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108, Operating Segments. The CODM evaluates the Company's performance and allocates resources based on an analysis of various performance indicators, however, the Company is primarily engaged in only one segment viz., 'Real Estate/Real Estate Development and Related Activities' and that most of the operations are in India. Hence, the Company does not have any other reportable Segments as per Indian Accounting Standard 108 "Operating Segments”.

b) Entity wide disclosures

None of the customers for the years ended 31st March, 2023 and 31st March, 2022 constituted 10% or more of the total revenue of the Company.

57 The Board of Directors of the Company at its meeting held on 10th November, 2022, approved the Scheme of Amalgamation of Starlight Systems (I) Private Limited (the wholly owned subsidiary of the Company) with the Company pursuant to the provisions of Sections 230 to 232 and other applicable provisions of the Companies Act, 2013. The Company has filed the necessary application with the National Company Law Tribunal ('NCLT') which is pending for approval.

58 Other non-current financial assets as at 31st March, 2023 include ' 1,402.73 Lakhs , (31st March, 2022: ' 1,402.73 Lakhs) representing amount receivable from a partnership firm ('Firm') in which the Company was associated as a partner till 6th October, 2020, which is presently under dispute with respect to alleged illegal sale of the firm's assets by the other partner. The Company had received arbitration award dated 4th May, 2018 in its favour in respect of this matter which has been further challenged by the other partner in the Hon'ble Bombay High Court, which has neither been admitted as yet nor any stay granted against the award. Basis the status of the case, favourable arbitration award and legal opinion, Management is confident of recovering the aforesaid dues and therefore, no provision has been considered necessary at this stage. Further, considering the dispute, the Company has not accounted for its share of profits or losses for the period from 2015 till 6th October, 2020, as the financial statements from the partnership firm are not available. Since there were no operations in the partnership firm since 2015, Management does not expect the impact of such share of profits or losses, not accounted, to be material.

59 As the Company is engaged in the business of providing infrastructure facilities, the provisions (including disclosure requirements) of Section 186 of the Companies Act, 2013 with respect to loans made, guarantee given or security provided, are not applicable to the Company.

60 Non-current investments as at 31st March, 2023 include ' 26,097.78 Lakhs (31 March 2022: ' 25,976.02 Lakhs) representing investment in its wholly owned subsidiary, Sunteck Lifestyle International Private Limited (SLIPL), which had further acquired 50% share in joint venture company, GGICO Sunteck Limited (GGICO), through its wholly owned subsidiary, Sunteck Lifestyle Limited (SLL), for development of real-estate project in Dubai. Further, the Company's other non-current financial assets include receivable from SLL amounting to ' 584.49 Lakhs . SLL has incurred losses during initial years and net-worth has been partially eroded. Development of the project undertaken by GGICO has been delayed on account of certain disputes with the other joint venture partner. SLL has obtained favourable order from the court of Dubai International Finance Centre against the claim made by other joint venture partner for termination of joint venture. Further, SLL has initiated arbitration before London Court of International Arbitration (LCIA) against the other partner, alleging that other partner has not obtained necessary regulatory and statutory approvals for commencing the construction activity as specified in the Joint Venture Agreement (JVA). The other JV partner has also initiated arbitration before LCIA against SLL and the Company alleging non-compliance of certain conditions of the JVA and seeking termination of the joint venture. During the previous year, partial award was given by LCIA (in arbitration initiated by SLL) confirming that SLL was not in breach of any joint venture condition, the termination of the joint venture is held to be invalid and also awarded reimbursement of certain payments made by SLL. The other party has filed a necessary application in the Singapore Court to partially set aside the award in respect of monetary compensation awarded. During the current year, basis the submission made by both the parties, the Arbitration Tribunal has granted stay in arbitration proceedings till 30th June, 2023 pending before the LCIA, to enable both the parties to mutually resolve the pending issues related to the dispute. Basis legal opinion, the management is of the view that such claims are not tenable against the Company and SLL. Further, based on estimated future business results once the project resumes and considering the contractual tenability, present status of negotiation / discussion / arbitration / litigations, Management believes that the realisable amount of investment in subsidiaries is higher than the carrying value of the non-current investments and other non-current financial assets due to which these are considered as good and recoverable as at 31st March, 2023.

61 Subsequent to 31st March, 2023, the Board of Directors of the Company at its meeting held on 26th May, 2023, approved the Scheme of Amalgamation of Skystar Buildcon Private Limited, Advaith Infraprojects Private Limited, Magnate Industries Private Limited (w.e.f 17th May, 2023 Magnate Industries LLP has been converted into private company limited by shares) and Shivay Brokers Private Limited, which are wholly owned subsidiaries, with the Company pursuant to the provisions of Sections 230 to 232 and other applicable sections and provisions of the Companies Act, 2013. The said Scheme of Amalgamation is presently subject to the requisite statutory and regulatory approvals.

62 On 29th March, 2022, the Board of Directors of Rammit Corporate Solutions Private Limited ("Rammit''), has passed a resolution for approving scheme of merger of Prija Trading Private Limited "Prija'' with Rammit in accordance with provisions of Section 233 of the Companies Act, 2013 ('the Scheme”). The Scheme has been approved by the relevant authority by an order dated 30th May, 2022 which has been filed with Registrar of Companies on 30th May, 2022. Considering that both Rammit and Prija are wholly owned subsidiary, there is no impact of the Scheme on the standalone financial statements.