Contents
Company Information 2-5
Our Businesses
Lending 8
Health Insurance 9
Retail Broking 9
Board of Directors 10-13
Awards and Recognitions 14-17
Financial Declaration
Directors’ Report 20-44
Business Responsibility Report 45-50
Management Discussion and Analysis 51-62
Report on Corporate Governance 63-91
Consolidated Financials
Auditors’ Report 94-100
Balance Sheet 101
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Cash Flow Statement 103-104
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Standalone Financials
Auditors’ Report 192-198
Balance Sheet 199
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Cash Flow Statement 201-202
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Annual Report 2017-18 1
Company Information
BOARD OF DIRECTORS : Mr. Vikram Talwar (Independent Director)
Mr. Malay Kumar Sinha (Independent Director)
Mr. Sushil Chandra Tripathi (Independent Director)
Mrs. Vijayalakshmi Rajaram Iyer (Independent Director)
Mrs. Sabina Vaisoha (Independent Director)
Mr. Krishnan Subramanian (Whole-Time Director)
COMPANY SECRETARY : Mrs. Reena Jayara
REGISTERED OFFICE : 2nd Floor, Rajlok Building, 24, Nehru Place, New Delhi – 110 019 CIN : L74899DL1984PLC146935 Phone : +91– 11– 4627 2400 E-mail : [email protected] Website : www.religare.com
BANKERS TO THE COMPANY : HDFC Bank Limited Axis Bank Limited Standard Chartered Bank
AUDITORS : 0V66.RWKDUL0HKWD &R Chartered Accountants Plot No. 68, Okhla Industrial Area, Phase -III, New Delhi - 110020
REGISTRAR & SHARE : Karvy Computershare Private Limited TRANSFER AGENT Karvy Selenium Tower B, Plot 31–32, Gachibowli, Financial District, Nanakramguda, Hyderabad – 500 032
Annual Report 2017-18 5
Our Businesses
Our Structure and Portfolio of Businesses
Religare Enterprises Limited (REL) is a Core Investment Company that has seeded, nurtured and built businesses across the ¿QDQFLDOVHUYLFHVVSHFWUXP7KHLQGLYLGXDOEXVLQHVVHVZLWKLQWKH5HOLJDUHSRUWIROLRDUHRSHUDWHGRXWRIVXEVLGLDULHVWKDWDUH independently managed by the most distinguished professionals hand-picked by REL for running the businesses. On its part, REL has a four-fold role to play in ensuring the success of the businesses:
$OORFDWLQJ Capital ± D NH\ IDFWRU RI SURGXFWLRQ IRU DQ\ HQWHUSULVH DQG LQGHHG WKH UDZ PDWHULDO IRU ¿QDQFLDO VHUYLFHV businesses – to the operating companies
(QVXULQJWKDWWKHBrand and Group Ethos are safeguarded – our portfolio companies carry the Religare brand in their names and the businesses are required to operate in a manner that upholds the values that Religare stands for
'HWHUPLQLQJGovernance Structures and Risk Management & Control mechanisms – such that there are checks and balances at every level and the businesses are safeguarded against undue perils
8QGHUWDNLQJPerformance Management – to ensure that the capital invested is being deployed in a manner that furthers REL’s ultimate objective
2XUSRUWIROLRFRPSDQLHVRSHUDWHDFURVVWKUHHYHUWLFDOVZLWKLQ¿QDQFLDOVHUYLFHVYL]/HQGLQJ 60()LQDQFHDQG$IIRUGDEOH Housing Finance), Health Insurance and Retail Broking.
Lending
Religare Finvest Limited (RFL) is a Non-Banking Financial Company (NBFC) that focusses on providing debt capital to help Small and Medium Enterprises (SMEs) augment their productive capacity.
RFL is in the business of supporting SMEs by providing GHEW ¿QDQFLQJ IRU FDSDFLW\ FUHDWLRQ ³60(6HFXUHG´ ORDQV typically secured by a mortgage on residential or commercial SURSHUW\ DV ZHOO DV FDSDFLW\ XWLOLVDWLRQ ³60(8QVHFXUHG´ loans, offered for enhancing working capital). In addition to the FRUHIRFXVRQ60(OHQGLQJ5)/KDVEHHQSURYLGLQJ¿QDQFLQJ against shares and securities, both to retail customers and WR SURPRWHUV RI OLVWHG FRPSDQLHV (623 ¿QDQFLQJ DQG ,32 ¿QDQFLQJ FROOHFWLYHO\UHIHUUHGWRDV&DSLWDO0DUNHW/HQGLQJ As a founding philosophy, RFL’s focus is on loans that have enhancement of productive capacity rather than consumption as their end-use and undertakes a rigorous credit assessment EDVHG RQ FDVKÀRZ IRUHFDVWV *LYHQ WKH FKDOOHQJHV LQ WKH business in the recent past, Reserve Bank of India has placed RFL under a Corrective Action Plan which entails a prohibition on expansion of its credit/investment portfolio other than Committed to helping realise the dreams of India’s entrepreneurs, Religare Finvest Limited is a Non-Banking investment in government securities. RFL is working towards Financial Company that provides debt capital to power the resolving all issues and restoring normalcy in its business growth of the Small and Medium Enterprises, the backbone of operations at the earliest. India’s economy. RFL’s subsidiary, Religare Housing Development Finance Corporation Limited (RHDFC) provides home loans with a focus on the affordable housing segment. RHDFC has established a robust platform to the enormous funding opportunity in the affordable housing segment.
8 Religare Enterprises Limited Our Businesses
Health Insurance
Religare Health Insurance Company Limited (RHICL) commenced commercial operations in July 2012 to become the fourth standalone health insurer operating in India. Traditionally, health insurance has been one of the lines of business conducted by general insurance companies in India. As the market evolves and the market structure emulates that in the developed world, health insurance is moving towards becoming a specialised business. Specialist health insurers are resonating with customers – standalone health insurers as a group have been consistently gaining market-share – and the law too has taken note – amendments to legislation have provided recognition to standalone health insurance as a category of insurers.
RHICL has rapidly made a mark based on its ability to innovatively design products that address unmet customer needs and deliver superior customer service – as evidenced by the low grievance rate. As a founding principle, RHICL has Religare Health Insurance Company Limited (RHICL) has pursued a balanced distribution mix across the traditional built a distinctive health insurance platform underpinned by agency channel, alternate channels (including bancassurance) rigorous underwriting and superior customer service DQGGLUHFWVDOHV&RUSRUDWLRQ%DQNDQG8QLRQ%DQNRI,QGLD are partners in the venture since inception with over 4% equity each.
Retail Broking
Religare Broking Limited (RBL), along with its subsidiary, Religare Commodities Limited (RCL), operates Religare’s Retail Broking business and provides trading capabilities across all product segments – cash equities, equity derivatives, currency derivatives and mutual funds – on all major stock and commodities exchanges in India. RBL has more than 1,100 points of presence spanning over 400 towns and cities across the length and breadth of India, that service more than 1 million unique customers. RBL’s distribution strategy entails a judicious combination of its own branches and a strong network of sub-brokers and franchisees that help extend RBL’s presence and make the Religare brand visible in the far corners of India.
3URYLGLQJ LQYHVWRUV DFFHVV WR SUR¿WDEOH RSSRUWXQLWLHV LQ WKH capital markets, or linking agriculturists and traders in the mandis of India to global commodity markets, Religare has a solution for every need in the retail Capital Markets space
Annual Report 2017-18 9
Board of Directors
MR. VIKRAM TALWAR INDEPENDENT DIRECTOR 0U9LNUDP7DOZDULVDKLJKO\H[SHULHQFHG¿QDQFHSURIHVVLRQDOZKRZRUNHGDW%DQNRI$PHULFDIRU\HDUVLQVHYHUDO VHQLRUPDQDJHPHQWUROHVLQ$VLDDQGWKH86,QKHIRXQGHG(;/+ROGLQJV,QFDPDMRUEXVLQHVVSURFHVV outsourcing company that was listed on the Nasdaq in 2006. Amongst his various positions he has been on the board of ING Vysya Bank from 2011 to 2015. He has also held board positions in various companies in Singapore and the 869LNUDPLVD0%$IURP,QGLDQ,QVWLWXWHRI0DQDJHPHQW ,,0 $KPHGDEDGDQGDWWHQGHG6W6WHSKHQ¶V&ROOHJH Delhi.
MR. MALAY KUMAR SINHA INDEPENDENT DIRECTOR 0U0DOD\.XPDU6LQKDKDVGRQHKLV%$ +RQV DQG0$IURP'HOKL8QLYHUVLW\LQ+XPDQLWLHVDQG03KLOIURP 0DGUDV8QLYHUVLW\LQ6WUDWHJLF6WXGLHV He started his career as an Executive in TISCO, Jamshedpur and in 1981 joined the Indian Police Service. After VHUYLQJLQ833ROLFHDQG,%0+$LQGLIIHUHQWFDSDFLWLHVERWKLQ,QGLDDQGDEURDGKHZRUNHGDV-RLQW6HFUHWDU\LQ WKH0($DQG¿QDOO\DV6HFUHWDU\6HFXULW\&DELQHW6HFUHWDULDW5DVKWUDSDWL%KDZDQIURPZKHUHKHVXSHUDQQXDWHG in September 2016. +HLVDQDOXPQXVRI)%,1DWLRQDO$FDGHP\4XDQWLFR9LUJLQLD86$DQG1DWLRQDO'HIHQFH&ROOHJH1HZ'HOKL$V -RLQW6HFUHWDU\LQWKH0($KHKDGOHGWKHHYDFXDWLRQRI,QGLDQVLQ%HQJD]LDUHDIURPWKHVHDGXULQJWKHZDULQ/LE\D in 2011. He has been a keen sportsperson and was Secretary of All India Police Sports Control Board for several years. He is a recipient of Police Medal for Meritorious Service and President’s Police Medal for Distinguished Service.
MR. SUSHIL CHANDRA TRIPATHI INDEPENDENT DIRECTOR Mr. Sushil Chandra Tripathi M.Sc. (Phy), LL.B., PG Diploma in Development (Cantab), AIMA Diploma in Management, EHJDQKLVSURIHVVLRQDOFDUHHUDVDQ$VVW3URIHVVRURI3K\VLFVLQ$OODKDEDG8QLYHUVLW\ +HMRLQHG,$6LQ 1968 and retired from service on 31st Dec 2005. +H VHUYHG LQ PDQ\ SRVLWLRQV LQ 6WDWH *RYW RI 8WWDU 3UDGHVK DQG WKH *RYW RI ,QGLD GXULQJ KLV ORQJ VHUYLFH career and spent nearly twenty years in Finance and Industry sectors as Chief Executive/Head of Department RU6HFUHWDU\WR*RYW,Q83EHVLGHVEHLQJ'LVW0DJLVWUDWH$OPRUD DQG$OLJDUK KHZDV2I¿FHU LQ &KDUJH 0DKDNXPEK IRXQGHU &(2 RI 12,'$ WRZQVKLS 0DQDJLQJ 'LUHFWRU ,QGXVWULDO ,QYHVWPHQW&RUSRUDWLRQRI83 6HFUHWDU\LQWKH'HSWRI5XUDO'HYHORSPHQW3DQFKD\DWLUDM 3RLQW 3URJUDPPH +HDY\,QGXVWU\7D[DWLRQ ,QVWLWXWLRQDO)LQDQFH DQG&RPPLVVLRQHU$JUD'LYLVLRQ (1993-94) before getting elevated to Principal Secretary Industry (1994-95), Principal Secretary to Governor during 3UHVLGHQW¶V5XOH $GYLVHU,QGXVWU\ )LQDQFH DQG3ULQFLSDO6HFUHWDU\)LQDQFH ,Q Govt. of India, he served as Joint Secretary, Banking (1986-87), Secretary BIFR (1987-88), Joint Secretary, Eco. $IIDLUV 0LQLVWHU(FRQRPLF &RPPHUFLDO(PEDVV\RI,QGLD7RN\R He later became Addl. Secretary, Mines (2000-02) and CMD BALCO (2000-01) as well as CMD, NALCO (2001-02). He worked as Secretary to Govt. of India for nearly four years, two and half years in the departments of 6FKRRO(GXFDWLRQ /LWHUDF\DQG+LJKHU 7HFKQLFDO(GXFDWLRQDQGRQHDQGKDOI\HDULQWKH0LQLVWU\RI3HWUROHXP 1DWXUDO*DV$IWHUUHWLUHPHQWKHLVDVVRFLDWHGZLWKDQXPEHURIWKLQNWDQNVLQ(GXFDWLRQ(QHUJ\(FRQRP\DQG Governance. He is also Independent Director on the Boards of several Public Limited Companies. He has also been Chairman, Board of Governors of two National Institutes of Technology, Calicut (2005-11) and Surathkal (2011- +HLVD)HOORZ(QHUJ\,QVWLWXWH8. )HOORZ,QVWLWXWLRQRI(OHFWURQLFV 7HOHFRPPXQLFDWLRQV(QJLQHHUV,QGLD /LIH0HPEHU,QGLDQ,QVWLWXWHRI3XEOLF$GPLQLVWUDWLRQ 0HPEHU&RPSXWHU6RFLHW\RI,QGLD 3URIHVVLRQDO0HPEHU $OO,QGLD0DQDJHPHQW$VVRFLDWLRQ 0HPEHU,QVWLWXWHIRU&RQVWLWXWLRQDO 3DUOLDPHQWDU\6WXGLHV 0HPEHU,QGLDQ &RXQFLOIRU$UELWUDWLRQ DQGD0HPEHURIWKH6XSUHPH&RXUW%DU$VVRFLDWLRQ
12 Religare Enterprises Limited Board of Directors
MRS. VIJAYALAKSHMI RAJARAM IYER INDEPENDENT DIRECTOR
Mrs. Vijayalakshmi Rajaram iyer joined Insurance Regulatory and Development Authority of India (IRDAI) as 0HPEHU )LQDQFH ,QYHVWPHQWV LQ-XQHRQDWZR\HDUHQJDJHPHQWWLOO0D\ Prior to joining IRDAI, Mrs. Iyer was the Chairperson and Managing Director of Bank of India which is among the top three Nationalised Banks of the country. She has powered the Bank ahead in various areas of business and control. The Bank has seen quantum growth in business during her tenure and the Bank turned out to be a leader LQWKH368EDQNLQJVSDFH
6KHVWDUWHGKHUFDUHHULQ8QLRQ%DQNRI,QGLDLQ'HFHPEHU 6KHKDVULFKDQGYDULHGH[SRVXUHWREUDQFK banking, having headed very large branches in Mumbai. She was instrumental in setting up the Risk Management Department in 2000, inter alia, putting in place various Risk Policies, developing Risk measures and structuring the UHSRUWLQJIUDPHZRUN,QVKHZDVUHVSRQVLEOHIRUEULQJLQJDOOWKHEUDQFKHVRI8QLRQ%DQNRQDVLQJOH Core Banking platform and later on went to head both the IT and Risk Management Verticals of the Bank, as its General Manager. She was also instrumental in the Bank expanding to Hong Kong, China and Dubai. In September 2010, Mrs. Iyer was elevated as Executive Director of Central Bank of India. During her tenure in &HQWUDO%DQNVKHRYHUVDZ&UHGLW+5,77UHDVXU\5LVN0DQDJHPHQW&UHGLW0RQLWRULQJDQG$XGLW ,QVSHFWLRQ She also spearheaded implementation of Core Banking in that Bank, as well as rolling out Alternate Delivery Channels and other initiatives on the Technology front.
MRS. SABINA VAISOHA INDEPENDENT DIRECTOR
0UV6DELQD9DLVRKDKROGV%DFKHORU¶VGHJUHHLQ$UWVIURP3XQMDE8QLYHUVLW\6KHKDVEHHQDVVRFLDWHGZLWK,QGLD¶V leading news network, New Delhi Television (NDTV) for over 16 years. During this period she has been a part of some of the most revolutionary and cutting edge programming and national events like the Elections, Fiscal Budget and Awards. She is currently a consultant with NDTV, working on nationwide campaigns to spread awareness of important social issues to bring about a change in society.
MR. KRISHNAN SUBRAMANIAN DIRECTOR - FINANCE 0U.ULVKQDQ6XEUDPDQLDQKDVRYHU\HDUVRIH[SHULHQFHLQ)LQDQFH %XVLQHVV6WUDWHJ\3ODQQLQJ%XGJHWLQJ Treasury and driving Growth Initiatives. As Whole Time Director at Religare, he leads the Finance function, including fund raising and investor relations, and also oversees the Information Technology operations of the Company. Prior to joining Religare, he has been part of the leadership team in a leading cancer care focused healthcare group which got listed in March 2016 as Group CFO. Previous to that, he was associated with Fortis Healthcare Limited DQGDQDVVRFLDWHFRPSDQ\RI,7&/LPLWHG+HLVDTXDOL¿HG&RVW$FFRXQWDQW&RPSDQ\6HFUHWDU\DQG3*'%$ )LQDQFHDQGKDVD'LSORPDLQ,)56IURP$&&$8.
Annual Report 2017-18 13
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To, The Members, Religare Enterprises Limited
Your Directors have pleasure in presenting this 34th Annual Report on the business and operations of the Company together with $XGLWHG)LQDQFLDO6WDWHPHQWVIRUWKH¿QDQFLDO\HDUHQGHG0DUFK
FINANCIAL RESULTS AND BUSINESS OPERATIONS
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Sangeeta Talwar 5HVLJQHGDV1RQ([HFXWLYH,QGHSHQGHQW'LUHFWRU -XO\ 4 0U6XQLO*RGKZDQL Resigned as Whole Time Director of the Company 6HSWHPEHU 0U9LUHQGUD.XPDU0DGDQ 5HVLJQHGDV1RQ([HFXWLYH'LUHFWRU 6HSWHPEHU 0UV6DELQD9DLVRKD $SSRLQWHGDV1RQ([HFXWLYH,QGHSHQGHQW'LUHFWRU 2FWREHU 0U0DOYLQGHU0RKDQ6LQJK 6WHSSHG GRZQ DV 1RQ([HFXWLYH &KDLUPDQ RI WKH 1RYHPEHU &RPSDQ\ EXW FRQWLQXHV DV 1RQ([HFXWLYH 1RQ Independent Director on the Board 5HVLJQHGDV1RQ([HFXWLYH'LUHFWRU )HEUXDU\ 0U5DVKL'KLU 5HVLJQHGDV1RQ([HFXWLYH,QGHSHQGHQW'LUHFWRU 1RYHPEHU 0U6XEUDPDQLDQ/DNVKPLQDUD\DQDQ $SSRLQWHGDV([HFXWLYH&KDLUPDQRIWKH&RPSDQ\ 1RYHPEHU GHVLJQDWHGDV.03 &HDVHG WR EH ([HFXWLYH &KDLUPDQ DQG 'LUHFWRU -DQXDU\ pursuant to resignation 0UV.LVKRUL8GHVKL $SSRLQWHGDV1RQ([HFXWLYH,QGHSHQGHQW'LUHFWRU 1RYHPEHU &HDVHG WR EH 1RQ([HFXWLYH ,QGHSHQGHQW 'LUHFWRU -DQXDU\ pursuant to resignation 0U)UDQFLV'DQLHO/HH Appointed as Executive Director 1RYHPEHU 5HGHVLJQDWHG IURP ([HFXWLYH 'LUHFWRU WR 1RQ -DQXDU\ Executive Director 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³Annexure B´WRWKLVUHSRUW SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS 7KHUHDUHQRVLJQL¿FDQWRUPDWHULDORUGHUVSDVVHGE\WKH5HJXODWRUV&RXUWVZKLFKZRXOGLPSDFWWKHJRLQJFRQFHUQVWDWXVRIWKH &RPSDQ\DQGLWVRSHUDWLRQVLQIXWXUH MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION 7KHUHDUHQRPDWHULDOFKDQJHVDQGFRPPLWPHQWVDGYHUVHO\DIIHFWLQJWKH¿QDQFLDOSRVLWLRQRIWKH&RPSDQ\ZKLFKKDYHRFFXUUHG EHWZHHQWKHHQGRIWKH¿QDQFLDO\HDURIWKH&RPSDQ\WRZKLFKWKH¿QDQFLDOVWDWHPHQWUHODWH LH0DUFK DQGDVRIGDWH RIWKHUHSRUWLH$XJXVW ACKNOWLEDGEMENTS Your Directors also wish to place on record their deep sense of gratitude and appreciation for the commitment displayed by all H[HFXWLYHVRI¿FHUVDQGVWDIIDWDOOOHYHOVRIWKH&RPSDQ\GXULQJWKH\HDUXQGHUUHYLHZ By order of the Board of Directors Religare Enterprises Limited 6G 6G Place:*XUXJUDP Krishnan Subramanian Malay Kumar Sinha Date:$XJXVW Director-Finance Director 36 Religare Enterprises Limited Annexure A ANNUAL REPORT ON CORPORATE SOCIAL RESPONSIBILITY (CSR) ACTIVITIES $EULHIRXWOLQHRIWKHFRPSDQ\¶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¶VZHEVLWHWKURXJKWKHOLQN KWWS ZZZUHOLJDUHFRPSGI5(/B&65BSROLF\BSGI 2. The Composition of the CSR Committee. 0rs.6DELQD9DLVRKD 0HPEHU 0U.ULVKQDQ6XEUDPDQLDQ 0HPEHU 0U0DOD\.XPDU6LQKD 0HPEHU $YHUDJHQHWSUR¿WRIWKHFRPSDQ\IRUODVWWKUHH¿QDQFLDO\HDUV /RVVRI`FURUHV 4. Prescribed CSR Expenditure (two per cent of the amount as in item 3 above) 1LO 'HWDLOVRI&65VSHQWGXULQJWKH¿QDQFLDO\HDU D 7RWDODPRXQWWREHVSHQWIRUWKH¿QDQFLDO\HDU 1LO b. Amount unspent, if any:1LO F 0DQQHULQZKLFKWKHDPRXQWVSHQWGXULQJWKH¿QDQFLDO\HDULVGHWDLOHGEHORZ 6 CSR Sector in 3URMHFWVRU Amount Amount spent Cumulative Amount spent: 1R SURMHFWRU which programme: outlay RQSURMHFWRU expenditure Direct or activity the (i) Local area or (Budget) programs: up to the date through LGHQWL¿HG SURMHFWLV other SURMHFWRU Sub head: of reporting implementing covered (ii) Specify the programme 1. Direct (Amount in `) agencies* State or District wise expenditure on ZKHUHWKHSURMHFWV (Amount SURMHFWRU or programmes in `) programme; was undertaken 2. Overhead (Amount in `) 8PHHG +HDOWKFDUH All India level 1LO 1LO 1LO 1LO 'KDGNDQDQG DQG+HDOWK 8PHHG6PLOH related Initiatives of education and the Aanchal awareness program Total ------*LYHGHWDLOVRILPSOHPHQWLQJDJHQFLHV )RUWKH\HDUHQGHG0DUFKGXHWRORVVHVGXULQJSDVWWKUHH\HDUVWKH&RPSDQ\ZDVQRWUHTXLUHGWRVSHQGDPRXQW XQGHU&65IRU)< &65&RPPLWWHHKHUHE\FRQ¿UPVWKDWWKHLPSOHPHQWDWLRQDQGPRQLWRULQJRI&653ROLF\LVLQFRPSOLDQFHZLWK&65REMHFWLYHV DQG&653ROLF\RIWKH&RPSDQ\ For Religare Enterprises Limited Sd/- Sd/- Date: August 01, 2018 Ashok Mehta Malay Kumar Sinha Place: Gurugram Interim CEO Director Annual Report 2017-18 37 Annexure B DETAILS PERTAINING TO REMUNERATION AS REQUIRED UNDER SECTION 197(12) OF THE COMPANIES ACT, 2013 READ WITH RULE 5(1) OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014 (i) 7KHUDWLRRIWKHUHPXQHUDWLRQRIHDFKGLUHFWRUWRWKHPHGLDQUHPXQHUDWLRQRIWKHHPSOR\HHVRIWKH&RPSDQ\IRUWKH¿QDQFLDO year: Name & Designation Ratio to Median REL Remuneration 0U6XQLO*RGKZDQL±:KROHWLPH'LUHFWRU 1$ ([LWHGGXULQJWKH\HDU 0U 6XEUDPDQLDQ /DNVKPLQDUD\DQDQ ± ([HFXWLYH 1$ ([LWHGGXULQJWKH\HDU Chairman 0U)UDQFLV'DQLHO/HH±([HFXWLYH'LUHFWRU 1$ ([LWHGGXULQJWKH\HDU 0U.ULVKQDQ6XEUDPDQLDQ±'LUHFWRU)LQDQFH 1$ +DVEHHQDSSRLQWHGGXULQJWKH\HDUKHQFHQRWFRPSDUDEOH) (ii) 7KH SHUFHQWDJH LQFUHDVH LQ UHPXQHUDWLRQ RI HDFK GLUHFWRU &KLHI )LQDQFLDO 2I¿FHU &KLHI ([HFXWLYH 2I¿FHU &RPSDQ\ 6HFUHWDU\RU0DQDJHULIDQ\LQWKH¿QDQFLDO\HDU Name & Designation LQFUHDVHLQ5(/UHPXQHUDWLRQLQWKH¿QDQFLDO year 0U6XQLO*RGKZDQL±:KROHWLPH'LUHFWRU 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0U6XEUDPDQLDQ/DNVKPLQDUD\DQDQ±([HFXWLYH&KDLUPDQ 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0U)UDQFLV'DQLHO/HH±([HFXWLYH'LUHFWRU 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0U.ULVKQDQ6XEUDPDQLDQ±'LUHFWRU)LQDQFH 1$ +DVEHHQDSSRLQWHGGXULQJWKH\HDUKHQFHQRW applicable) 0U0DQLQGHU6LQJK±*URXS&(2 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0U$QLO6D[HQD*URXS&)2 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0U0RKLW0DKHVKZDUL&RPSDQ\6HFUHWDU\ 1$ (PSOR\HHH[LWHGGXULQJWKH\HDU 0V5HHQD-D\DUD&RPSDQ\6HFUHWDU\ 1$ +DVEHHQDSSRLQWHGGXULQJWKH\HDUKHQFHQRW applicable ) (iii) 7KHSHUFHQWDJHLQFUHDVHLQWKHPHGLDQUHPXQHUDWLRQRIHPSOR\HHVLQWKH¿QDQFLDO\HDU NA 1RWFRPSDUDEOHVLQFHDOORI the current employees have either been appointed during the year or have returned after end of deputation from group companies) (iv) The number of permanent employees on the rolls of company: DVRQ0DUFK¶ (v) Average percentile increase already made in the salaries of employees other than the managerial personnel in the last ¿QDQFLDO \HDU DQG LWV FRPSDULVRQ ZLWK WKH SHUFHQWLOH LQFUHDVH LQ WKH PDQDJHULDO UHPXQHUDWLRQ DQG MXVWL¿FDWLRQ WKHUHRI and point out if there are any exceptional circumstances for increase in the managerial remuneration: All of the current employees have either been appointed during the year or have returned after end of deputation from group companies, hence not applicable. (vi) $I¿UPDWLRQWKDWWKHUHPXQHUDWLRQLVDVSHUWKHUHPXQHUDWLRQSROLF\RIWKHFRPSDQ\: ,WLVKHUHE\DI¿UPHGWKDWWKHUHPXQHUDWLRQ SDLGLVDVSHUWKH5HPXQHUDWLRQ3ROLF\IRU'LUHFWRUV.H\0DQDJHULDO3HUVRQQHODQGRWKHU(PSOR\HHV 38 Religare Enterprises Limited Religare Enterprises Limited Statement of Employee remuneration pursuant to Rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 S. Name Age Designation Gross 4XDOL¿FDWLRQ Experience Date of Last No. Remuneration (years) Commencement Employment (`) of Employment 6XQLO*RGKZDQL Whole Time 06F ,QGXVWULDO $SU Religare Director Engineering Securities )LQDQFH /LPLWHG %6F &KHPLFDO Engineering) Anil Saxena *URXS&KLHI %&RP&:$ 0D\ Religare Finance &$ Securities 2I¿FHU /LPLWHG 3 0RKLW0DKHVKZDUL3 (93 $&6%6F 0D\ Finserve Compliance Shared &RPSDQ\ Services Secretary /LPLWHG 4 0DQLQGHU6LQJK *URXS&(2 %&RP&$ 0DU Sun Pharma Subramanian Executive 06F3*',Q 1RY 0LQLVWU\RI /DNVKPLQDUD\DQDQ4 Chairman Advance Social +RPH$IIDLUV and Economic *RYWRI,QGLD Studies .ULVKQDQ6XEUDPDQLDQ 'LUHFWRU %&RP3*'%$ 1RY &ORXG1LQH Finance $&6$,&:$ +RVSLWDOV Amarjeet Singh Arora Director %&RP -DQ Religare /HJDO Support 5HFRYHU\ Services /LPLWHG *XUYLQGHU6LQJK 43 'LUHFWRU 0%$DQG%7HFK -DQ Religare Juneja *URXS0 $ Support Services /LPLWHG Saurabh Srivastava 693 %&$0&$ -DQ Religare Information Support Technology Services /LPLWHG .LVKRUH%HODL 43 'LUHFWRU %&RP -DQ Religare Corporate $,&:$$&6 Support Strategy Services ,QYHVWRU /LPLWHG 5HODWLRQV 5HVLJQHGZHI6HSWHPEHU 5HVLJQHGZHI1RYHPEHU 35HVLJQHGZHI'HFHPEHU 4 5HVLJQHGZHI-DQXDU\ 1RQ%RDUGPHPEHUV Annual Report 2017-18 39 Statement of Employee remuneration pursuant to Rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 (Employed for the part of the year with an average salary above `/DNKVSHUPRQWKQRWFRYHUHGDERYH S. Name Age Designation Gross 4XDOL¿FDWLRQ Experience Date of Last No. Remuneration (years) Commencement Employment (`) of Employment Francis Executive Director 0%$ 1RY 1RWDYDLODEOH 'DQLHO/HH 0DUNHWLQJ in the records $SSRLQWHGDV([HFXWLYH'LUHFWRURQ1RYHPEHUDQGUHGHVLJQDWHGWR1RQ([HFXWLYH'LUHFWRURQ-DQXDU\ Notes: 3HUVRQVQDPHGDERYHDUHZHUHSHUPDQHQWHPSOR\HHVRIWKH&RPSDQ\ 5HPXQHUDWLRQLQFOXGHVVDODU\DOORZDQFHVOHDYHHQFDVKPHQWERQXVOHDYHWUDYHOFRQFHVVLRQUHLPEXUVHPHQWRIPHGLFDO H[SHQVHVWRHPSOR\HHV,QDGGLWLRQWKHHPSOR\HHVDUHHQWLWOHGWRJUDWXLW\HPSOR\HU¶VFRQWULEXWLRQWR3URYLGHQW)XQGDQG JURXSLQVXUDQFHLQDFFRUGDQFHZLWK&RPSDQ\¶V5XOHV 7KHDSSRLQWPHQWRIWKHDERYHHPSOR\HHVLVQRQFRQWUDFWXDODQGDUHJRYHUQHGE\WKHFRPSDQ\SROLF\DQGUXOHV 1RQHRIWKHHPSOR\HHVDERYHKDVHTXLW\VKDUHKROGLQJLQWKHFRPSDQ\H[FHHGLQJRIWKHHTXLW\VKDUHVDVRQ0DUFK 1RQHRIWKHHPSOR\HHVPHQWLRQHGDERYHDUHUHODWLYHRIDQ\'LUHFWRURIWKH&RPSDQ\ 1RQHRIWKHHPSOR\HHVZHUHLQUHFHLSWRIUHPXQHUDWLRQZKLFKLQWKHDJJUHJDWHLVLQH[FHVVRIWKDWGUDZQE\0DQDJLQJ 'LUHFWRURIWKH&RPSDQ\DQGDOVRKROGVE\KLPVHOIRUDORQJZLWKKLVVSRXVHDQGGHSHQGHQWFKLOGUHQRIWKHHTXLW\ shares of the Company By order of the Board of Directors Religare Enterprises Limited 6G 6G Place:*XUXJUDP Krishnan Subramanian Malay Kumar Sinha Date:$XJXVW Director-Finance Director 40 Religare Enterprises Limited FORM MR - 3 SECRETARIAL AUDIT REPORT )257+(),1$1&,$/<($5(1'('0$5&+ [Pursuant to section 204(1) of the Companies Act, 2013 and Rule no.9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014] SECRETARIAL AUDIT REPORT )257+(),1$1&,$/<($5(1'('0$5&+ 7R 7KH0HPEHUV Religare Enterprises Limited / '/ 3/& We have conducted the Secretarial Audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by Religare Enterprises Limited KHUHLQDIWHUFDOOHG³WKH&RPSDQ\´ 6HFUHWDULDO$XGLWZDVFRQGXFWHGLQ DPDQQHUWKDWSURYLGHGXVDUHDVRQDEOHEDVLVIRUHYDOXDWLQJWKHFRUSRUDWHFRQGXFWVVWDWXWRU\FRPSOLDQFHVDQGH[SUHVVLQJP\ RSLQLRQWKHUHRQ %DVHGRQRXUYHUL¿FDWLRQRIWKH&RPSDQ\ERRNVSDSHUVPLQXWHERRNVIRUPVDQGUHWXUQV¿OHGDQGRWKHUUHFRUGVPDLQWDLQHG E\WKHFRPSDQ\DQGDOVRWKHLQIRUPDWLRQSURYLGHGE\WKH&RPSDQ\LWVRI¿FHUVDJHQWVDQGDXWKRUL]HGUHSUHVHQWDWLYHVGXULQJ WKHFRQGXFWRI6HFUHWDULDO$XGLWZHKHUHE\UHSRUWWKDWLQRXURSLQLRQGXULQJWKHDXGLWSHULRGFRYHULQJWKH¿QDQFLDO\HDUHQGHG RQ0DUFKWKH&RPSDQ\KDVFRPSOLHGZLWKWKHVWDWXWRU\SURYLVLRQVOLVWHGKHUHXQGHUDQGDOVRWKDWWKH&RPSDQ\KDV SURSHU%RDUGSURFHVVHVDQGFRPSOLDQFHPHFKDQLVPLQSODFHWRWKHH[WHQWEDVHGRQWKHPDQDJHPHQWUHSUHVHQWDWLRQOHWWHU FRQ¿UPDWLRQLQWKHPDQQHUDQGVXEMHFWWRWKHUHSRUWLQJPDGHKHUHLQDIWHU :HKDYHH[DPLQHGWKHERRNVSDSHUVPLQXWHERRNVIRUPVDQGUHWXUQV¿OHGDQGRWKHUUHFRUGVPDLQWDLQHGE\WKH&RPSDQ\IRU WKH¿QDQFLDO\HDUHQGHGRQ0DUFKDFFRUGLQJWRWKHSURYLVLRQVRI L 7KH&RPSDQLHV$FW µWKH$FW¶ DQGWKHUXOHVPDGHWKHUHXQGHU LL 7KH6HFXULWLHV&RQWUDFWV 5HJXODWLRQ $FW µ6&5$¶ DQGWKHUXOHVPDGHWKHUHXQGHU LLL 7KH'HSRVLWRULHV$FW DQGWKH5HJXODWLRQVDQG%\HODZVIUDPHGWKHUHXQGHU LY )RUHLJQ([FKDQJH0DQDJHPHQW$FW DQGWKHUXOHVDQGUHJXODWLRQVPDGHWKHUHXQGHUWRWKHH[WHQWRI)RUHLJQ'LUHFW ,QYHVWPHQW2YHUVHDV'LUHFW,QYHVWPHQWDQG([WHUQDO&RPPHUFLDO%RUURZLQJV Y 7KHIROORZLQJ5HJXODWLRQVDQG*XLGHOLQHVSUHVFULEHGXQGHUWKH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD$FW µ6(%, $FW¶ D 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 6XEVWDQWLDO$FTXLVLWLRQRI6KDUHVDQG7DNHRYHUV 5HJXODWLRQV E 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 3URKLELWLRQRI,QVLGHU7UDGLQJ 5HJXODWLRQV F 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD ,VVXHRI&DSLWDODQG'LVFORVXUH5HTXLUHPHQWV 5HJXODWLRQV G 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 6KDUH%DVHG(PSOR\HHV%HQH¿WV 5HJXODWLRQV H 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD ,VVXHDQG/LVWLQJRI'HEW6HFXULWLHV 5HJXODWLRQV(not applicable to the Company during the audit period) I 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 5HJLVWUDUVWRDQ,VVXHDQG6KDUH7UDQVIHU$JHQWV 5HJXODWLRQV UHJDUGLQJWKH&RPSDQLHV$FWDQGGHDOLQJZLWKFOLHQW J 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 'HOLVWLQJRI(TXLW\6KDUHV 5HJXODWLRQV (not applicable to the Company during the audit period) K 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD %X\EDFN RI 6HFXULWLHV 5HJXODWLRQV (not applicable to the Company during the audit period) L 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD /LVWLQJ2EOLJDWLRQVDQG'LVFORVXUH5HTXLUHPHQWV 5HJXODWLRQV KHUHLQDIWHUUHIHUUHGWRDVµ/2'5¶ Annual Report 2017-18 41 YL :HEDVHGXSRQWKH0DQDJHPHQW5HSUHVHQWDWLRQIXUWKHUUHSRUWWKDWWKHUHDUHDGHTXDWHV\VWHPVDQGSURFHVVHVLQWKH &RPSDQ\FRPPHQVXUDWHZLWKWKHVL]HDQGRSHUDWLRQVRIWKH&RPSDQ\WRPRQLWRUDQGHQVXUHFRPSOLDQFHZLWKWKHIROORZLQJ SHUWLQHQWODZVUXOHVUHJXODWLRQVDQGJXLGHOLQHVDVVSHFL¿FDOO\DSSOLFDEOHWRWKH&RPSDQ\ 7KH5HVHUYH%DQNRI,QGLD$FW 5%, WRWKHH[WHQWLWLVDSSOLFDEOHWR&RUH,QYHVWPHQW&RPSDQLHV &,& 0DVWHU'LUHFWLRQVRQ&RUH,QYHVWPHQW&RPSDQLHV 5HVHUYH%DQN 'LUHFWLRQV ³&,&'LUHFWLRQV´ 1%)& $SSURYDORI$FTXLVLWLRQRU7UDQVIHURI&RQWURO 'LUHFWLRQV 7KH3UHYHQWLRQRI0RQH\/DXQGHULQJ$FWUHDGZLWKWKHUXOHVPDGHWKHUHXQGHU We have also examined compliance with the applicable clauses of the following: L 6HFUHWDULDO6WDQGDUGVLVVXHGE\7KH,QVWLWXWHRI&RPSDQ\6HFUHWDULHVRI,QGLDHoweverthe Company is generally regular in complying with the standards except in few occasions. LL 7KH/LVWLQJ$JUHHPHQWVHQWHUHGLQWRE\WKH&RPSDQ\ZLWKWKH6WRFN([FKDQJH V 'XULQJ WKH SHULRG XQGHU UHYLHZ WKH &RPSDQ\ KDV FRPSOLHG ZLWK WKH SURYLVLRQV RI WKH$FW 5XOHV 5HJXODWLRQV *XLGHOLQHV 6WDQGDUGVHWFPHQWLRQHGDERYHH[FHSWWRWKHH[WHQWDVPHQWLRQHGEHORZ 1. Whereas as per the Requirement of the LODR 2015, the Dividend Distribution Policy was not disclosed in the Annual Report for the Financial Year 2016 - 17. :KHUHDVLQWHUPVRI5HJXODWLRQRIWKH/2'5WKH&RPSDQ\GLGQRWVXEPLWWKHDXGLWHG¿QDQFLDOUHVXOWVIRUWKH quarter and year ended March 31, 2017 within the sixty days thereof. Further, in this regard BSE Limited and National Stock Exchange Limited had also levied penalty of `21, 42, 841/- and `19,33,345/- respectively, which was duly paid by the Company. 3. Whereas in terms of the provisions of Section 203 of the Companies Act, 2013, the Company was required to appoint Chief )LQDQFLDORI¿FHUEXWWKHVDPHKDVQRWEHHQDSSRLQWHGXSWRWKHGDWHRIWKLVUHSRUW We further report that: 7KH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\LVGXO\FRQVWLWXWHGZLWKSURSHUEDODQFHRI([HFXWLYH'LUHFWRUV1RQ([HFXWLYH'LUHFWRUV and Independent Directors.7KHFKDQJHVLQWKHFRPSRVLWLRQRIWKH%RDUGRI'LUHFWRUVWKDWWRRNSODFHGXULQJWKHSHULRGXQGHU UHYLHZZHUHFDUULHGRXWLQFRPSOLDQFHZLWKWKHSURYLVLRQVRIWKH$FW $GHTXDWHQRWLFHLVJLYHQWRDOOGLUHFWRUVWRVFKHGXOHWKH%RDUG0HHWLQJV$JHQGDDQGGHWDLOHGQRWHVRQDJHQGDZHUHVHQWDW OHDVWVHYHQGD\VLQDGYDQFHH[FHSWWKDWRI%RDUG0HHWLQJKHOGRQ-XQH 1RYHPEHU-DQXDU\DQG )HEUXDU\ZKLFKZHUHKHOGRQVKRUWHUQRWLFHDQGDV\VWHPH[LVWVIRUVHHNLQJDQGREWDLQLQJIXUWKHULQIRUPDWLRQDQG FODUL¿FDWLRQVRQWKHDJHQGDLWHPVEHIRUHWKHPHHWLQJDQGIRUPHDQLQJIXOSDUWLFLSDWLRQDWWKHPHHWLQJ 0DMRULW\GHFLVLRQLVFDUULHGWKURXJKZKLOHWKHGLVVHQWLQJPHPEHUV¶YLHZVDUHFDSWXUHGDQGUHFRUGHGDVSDUWRIWKHPLQXWHV We further report that WKHUHDUHDGHTXDWHV\VWHPVDQGSURFHVVHVLQWKHFRPSDQ\FRPPHQVXUDWHZLWKWKHVL]HDQGRSHUDWLRQV RIWKHFRPSDQ\WRPRQLWRUDQGHQVXUHFRPSOLDQFHZLWKDSSOLFDEOHODZVUXOHVUHJXODWLRQVDQGJXLGHOLQHV We further report that GXULQJWKHDXGLWSHULRGWKHFRPSDQ\KDVIROORZLQJHYHQWV L 7KDWWKH&RPSDQ\KDGSDVVHG6SHFLDO5HVROXWLRQRQ-XQHWKURXJK3RVWDO%DOORWIRUVDOHRIHQWLUHLQYHVWPHQW RIWKH&RPSDQ\LQ5HOLJDUH+HDOWK,QVXUDQFH&RPSDQ\/LPLWHGD6XEVLGLDU\&RPSDQ\DQGZLWKGUDZDORIHDUOLHUVSHFLDO UHVROXWLRQSDVVHGIRUVKLIWLQJRI5HJLVWHUHG2I¿FHRIWKH&RPSDQ\IURP³1DWLRQDO&DSLWDO7HUULWRU\ 1&7 RI'HOKL´WRWKH ³6WDWHRI0DKDUDVKWUD´ LL 7KDWWKH+RQ¶EOH1&/71HZ'HOKL%HQFKSDVVHGWKHRUGHUYLGHOHWWHUGDWHG'HFHPEHUDSSURYLQJWKHFRPSRVLWH VFKHPHRIDUUDQJHPHQWXQGHUVHFWLRQRIWKH&RPSDQLHV$FWEHWZHHQ5HOLJDUH6HFXULWLHV/LPLWHG 7UDQVIHURU &RPSDQ\'HPHUJHG&RPSDQ\ 5HOLJDUH&RPPRGLW\%URNLQJ3ULYDWH/LPLWHG 7UDQVIHURU&RPSDQ\ 5*$0,QYHVWPHQW $GYLVHUV3ULYDWH/LPLWHG 7UDQVIHURU&RPSDQ\ 5HOLJDUH9HQWXUH&DSLWDO/LPLWHG 7UDQVIHURU&RPSDQ\ 5HOLJDUH$UWV ,QYHVWPHQW0DQDJHPHQW/LPLWHG 7UDQVIHURU&RPSDQ\ 5HOLJDUH&DSLWDO)LQDQFH/LPLWHG 7UDQVIHURU&RPSDQ\ 5*$0 42 Religare Enterprises Limited &DSLWDO,QGLD/LPLWHG 7UDQVIHURU&RPSDQ\ 5HOLJDUH,QYHVWPHQW$GYLVRUV/LPLWHG 7UDQVIHURU&RPSDQ\ 5HOLJDUH 6XSSRUW 6HUYLFHV /LPLWHG 7UDQVIHURU &RPSDQ\ 5HOLJDUH$UWV ,QLWLDWLYH /LPLWHG 7UDQVIHURU &RPSDQ\ 5HOLJDUH &DSLWDO 0DUNHWV ,QGLD /LPLWHG 7UDQVIHURU &RPSDQ\ 5HOLJDUH %URNLQJ /LPLWHG 5HVXOWLQJ &RPSDQ\ DQG 5HOLJDUH (QWHUSULVHV/LPLWHG 7UDQVIHUHH&RPSDQ\ )XUWKHUWKH6FKHPHRI$UUDQJHPHQWKDVEHFRPHHIIHFWLYHRQ'HFHPEHU RQ¿OLQJRIFHUWL¿HGFRS\RI1&/7RUGHUZLWKWKH5HJLVWUDURI&RPSDQLHV LLL 7KDWWKH&RPSDQ\KDGSDVVHG6SHFLDO5HVROXWLRQLQLWV([WUD2UGLQDU\*HQHUDO0HHWLQJKHOGRQ0DUFK WRFUHDWH LVVXHRIIHUDQGDOORWLQRQHRUPRUHWUDQFKHVXSWR 6HYHQWHHQ&URUHV)LIW\)LYH/DNKV)LIW\1LQH7KRXVDQG 1LQH+XQGUHGDQG6L[W\ ZDUUDQWV ³:DUUDQWV´ RI`HDFK ³:DUUDQWV,VVXH3ULFH´ H[HUFLVDEOHLQWRHTXDOQXPEHURI (TXLW\6KDUHVRIIDFHYDOXHRI`HDFKRIWKH&RPSDQ\RQDSUHIHUHQWLDOEDVLVWRHQWLWLHVSHUVRQV)XUWKHUWKHPLQLPXP :DUUDQWV,VVXH3ULFHXQGHU6(%, ,VVXHRI&DSLWDODQG'LVFORVXUH5HTXLUHPHQWV 5HJXODWLRQV ZDVUHYLVHGIURP `WR`SHUZDUUDQWIRUZKLFKQHZVSDSHUSXEOLFDWLRQZDVPDGHRQ$SULO LY 7KDWWKH&RPSDQ\KDVUHFHLYHGDOHWWHUGDWHG)HEUXDU\IURPWKHRI¿FHRI6HULRXV)UDXG,QYHVWLJDWLRQ2I¿FH ³6),2´ 0LQLVWU\RI&RUSRUDWH$IIDLUV ³0&$´ *RYHUQPHQWRI,QGLDVRXJKWLQIRUPDWLRQIURPWKHIRUPHUDQGDVLQIRUPHG WRXVWKHLQIRUPDWLRQDQGGRFXPHQWVKDYHEHHQSURYLGHGWRWKHODWWHU Y 7KH&RPSDQ\KDVDOVRUHFHLYHG6XPPRQVGDWHG)HEUXDU\IURPWKH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD ³6(%,´ LQWHUDOLD UHTXHVWLQJ WKH &RPSDQ\¶V FRRSHUDWLRQ LQ UHODWLRQ WR DQ LQYHVWLJDWLRQ LQ UHJDUG WR IDFWXDO GDWD DQG LQIRUPDWLRQSHUWDLQLQJWRWKH&RPSDQ\LWVDVVRFLDWHVDQGVXEVLGLDULHV)XUWKHUDVLQIRUPHGWRXVWKHLQIRUPDWLRQDQG GRFXPHQWVKDYHEHHQSURYLGHGWRWKH6(%, For PI & Associates, Company Secretaries Sd/- Nitesh Latwal Partner ACS No.: 32109 C P No.: 16276 Date : July 31, 2018 Place : New Delhi This report is to be read with our letter of even date which is annexed as “Annexure A” and forms an integral part of this report. Annual Report 2017-18 43 “Annexure A” 7R 7KH0HPEHUV RELIGARE ENTERPRISES LIMITED 2XU6HFUHWDULDO$XGLW5HSRUWRIHYHQGDWHLVWREHUHDGDORQJZLWKWKLVOHWWHU 0DLQWHQDQFHRIVHFUHWDULDOUHFRUGVLVWKHUHVSRQVLELOLW\RIWKHPDQDJHPHQWRIWKH&RPSDQ\2XU5HVSRQVLELOLW\LVWRH[SUHVV DQRSLQLRQRQWKHVHVHFUHWDULDOUHFRUGVEDVHGRQRXUDXGLW :H KDYH IROORZHG WKH DXGLW SUDFWLFHV DQG SURFHVVHV DV ZHUH DSSURSULDWH WR REWDLQ UHDVRQDEOH DVVXUDQFH DERXW WKH FRUUHFWQHVVRIWKHFRQWHQWVRIWKHVHFUHWDULDOUHFRUGV7KHYHUL¿FDWLRQZDVGRQHRQWHVWEDVLVWRHQVXUHWKDWFRUUHFWIDFWV DUHUHÀHFWHGLQVHFUHWDULDOUHFRUGV:HEHOLHYHWKDWWKHSURFHVVHVDQGSUDFWLFHVZHIROORZHGSURYLGHDUHDVRQDEOHEDVLV IRURXURSLQLRQ :HKDYHQRWYHUL¿HGWKHFRUUHFWQHVVDQGDSSURSULDWHQHVVRI¿QDQFLDOUHFRUGVDQG%RRNVRI$FFRXQWVRIWKH&RPSDQ\ :KHUHHYHUUHTXLUHGZHKDYHREWDLQHGWKH0DQDJHPHQWUHSUHVHQWDWLRQDERXWWKHFRPSOLDQFHRIODZVUXOHVDQGUHJXODWLRQ DQGKDSSHQLQJRIHYHQWVHWF 7KHFRPSOLDQFHRIWKHSURYLVLRQVRIFRUSRUDWHDQGRWKHUDSSOLFDEOHODZVUXOHVUHJXODWLRQVVWDQGDUGVDUHWKHUHVSRQVLELOLW\ RIPDQDJHPHQW2XUH[DPLQDWLRQZDVOLPLWHGWRWKHYHUL¿FDWLRQRISURFHGXUHVRQWHVWEDVLV 7KH6HFUHWDULDO$XGLW5HSRUWLVQHLWKHUDQDVVXUDQFHDVWRIXWXUHYLDELOLW\RIWKH&RPSDQ\QRURIWKHHI¿FDF\RUHIIHFWLYHQHVV ZLWKZKLFKWKHPDQDJHPHQWKDVFRQGXFWHGWKHDIIDLUVRIWKH&RPSDQ\ For PI & Associates, Company Secretaries 6G Nitesh Latwal Partner ACS No.: 32109 C P No.: 16276 Date : July 31, 2018 Place : New Delhi 44 Religare Enterprises Limited Business Responsibility Report SECTION A: GENERAL INFORMATION ABOUT THE COMPANY &RUSRUDWH,GHQWLW\1XPEHU &,1 RIWKH&RPSDQ\ / '/ 3/& 1DPHRIWKH&RPSDQ\ 5HOLJDUH(QWHUSULVHV/LPLWHG Registered address nd)ORRU5DMORN%XLOGLQJ1HKUX3ODFH 1HZ'HOKL± Website ZZZUHOLJDUHFRP (PDLOLG LQYHVWRUVHUYLFHV#UHOLJDUHFRP Financial Year reported Sector(s) that the Company is engaged in ,QYHVWPHQWDFWLYLW\ 1,&&RGH± /LVW WKUHH NH\ SURGXFWVVHUYLFHV WKDW WKH &RPSDQ\ ,QYHVWPHQWDFWLYLW\ 1,&&RGH± PDQXIDFWXUHVSURYLGHV DVLQEDODQFHVKHHW 6XSSRUW6HUYLFHV 1,&&RGH± Total number of locations where business activity is XQGHUWDNHQE\WKH&RPSDQ\ D 1XPEHURI,QWHUQDWLRQDO/RFDWLRQV 1LO E 1XPEHURI1DWLRQDO/RFDWLRQV 7ZRRI¿FHV 'HOKLDQG1RLGD 0DUNHWVVHUYHGE\WKH&RPSDQ\ India SECTION B: FINANCIAL DETAILS OF THE COMPANY 3DLGXS&DSLWDO ,15 7RWDO7XUQRYHU ,15 7RWDOSUR¿WDIWHUWD[HV ,15 Total Spending on Corporate Social Responsibility (CSR) as Refer Annual Report on CSR activities SHUFHQWDJHRISUR¿WDIWHUWD[ /LVW RI DFWLYLWLHV LQ ZKLFK H[SHQGLWXUH LQ DERYH KDV EHHQ Refer Annual Report on CSR activities incurred SECTION C: OTHER DETAILS 'RHV WKH &RPSDQ\ KDYH DQ\ 6XEVLGLDU\ &RPSDQ\ 'R WKH 6XEVLGLDU\ &RPSDQ\&RPSDQLHV SDUWLFLSDWH LQ WKH ,Q JHQHUDO WKH &RPSDQ\¶V DSSURDFK LV WR GHYHORS DQG %5,QLWLDWLYHVRIWKHSDUHQWFRPSDQ\",I\HVWKHQLQGLFDWH DGRSW SROLFLHV UHODWLQJ WR %5 DW WKH *URXS OHYHO ZKLFK DUH the number of such subsidiary company(s) adopted and implemented by all Indian subsidiaries to the H[WHQWUHOHYDQW$VVXFKDOO,QGLDQVXEVLGLDULHVZLWKRSHUDWLQJ businesses directly or indirectly participate in the BR initiatives RIWKH&RPSDQ\ 'RDQ\RWKHUHQWLW\HQWLWLHV HJVXSSOLHUVGLVWULEXWRUVHWF 1R WKDW WKH &RPSDQ\ GRHV EXVLQHVV ZLWK SDUWLFLSDWH LQ WKH %5 LQLWLDWLYHV RI WKH &RPSDQ\" ,I \HV WKHQ LQGLFDWH WKH SHUFHQWDJHRIVXFKHQWLW\HQWLWLHV">/HVVWKDQ 0RUHWKDQ@ Annual Report 2017-18 45 SECTION D: BR INFORMATION Details of Director/Directors responsible for BR (a) Details of the Director/Directors responsible for implementation of the BR policy/policies ',11XPEHU 1DPH 0U.ULVKQDQ6XEUDPDQLDQ Designation 'LUHFWRU)LQDQFH (b) Details of the BR head ',11XPEHU LIDSSOLFDEOH 1DPH 0U.ULVKQDQ6XEUDPDQLDQ Designation 'LUHFWRU)LQDQFH Telephone number HPDLOLG .ULVKQDQVXEUDPDQLDQ#UHOLJDUHFRP 2. Principle-wise (as per NVGs) BR Policy/policies 3ULQFLSOH 3 %XVLQHVVHVVKRXOGFRQGXFWDQGJRYHUQWKHPVHOYHVZLWKHWKLFVWUDQVSDUHQF\DQGDFFRXQWDELOLW\ 3ULQFLSOH 3 Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle Principle 3 (P3) Businesses should promote the well being of all employees Principle 4 (P4) %XVLQHVVHVVKRXOGUHVSHFWWKHLQWHUHVWVRIDQGEHUHVSRQVLYHWRZDUGVDOOVWDNHKROGHUVHVSHFLDOO\WKRVH ZKRDUHGLVDGYDQWDJHGYXOQHUDEOHDQGPDUJLQDOL]HG 3ULQFLSOH 3 Businesses should respect and promote human rights 3ULQFLSOH 3 %XVLQHVVHVVKRXOGUHVSHFWSURWHFWDQGPDNHHIIRUWVWRUHVWRUHWKHHQYLURQPHQW 3ULQFLSOH 3 %XVLQHVVHVZKHQHQJDJHGLQLQÀXHQFLQJSXEOLFDQGUHJXODWRU\SROLF\VKRXOGGRVRLQDUHVSRQVLEOH manner 3ULQFLSOH 3 %XVLQHVVHVVKRXOGVXSSRUWLQFOXVLYHJURZWKDQGHTXLWDEOHGHYHORSPHQW 3ULQFLSOH 3 Businesses should engage with and provide value to their customers and consumers in a responsible manner 46 Religare Enterprises Limited (a) Details of compliance (Reply in Y/N) No. Questions P 1 P 2 P 3 P 4 P 5 P 6 P 7 P 8 P 9 'R\RXKDYHDSROLF\SROLFLHVIRU Y 1$ YY1 YYY1$ +DVWKHSROLF\EHLQJIRUPXODWHGLQFRQVXOWDWLRQZLWKWKH Y YY YYY UHOHYDQWVWDNHKROGHUV" 3 'RHV WKH SROLF\ FRQIRUP WR DQ\ QDWLRQDO LQWHUQDWLRQDO VWDQGDUGV",I\HVVSHFLI\" ZRUGV 4 +DVWKHSROLF\EHLQJDSSURYHGE\WKH%RDUG" Y YY YYY ,I\HVKDVLWEHHQVLJQHGE\0'2ZQHU&(2DSSURSULDWH Board Director? 'RHV WKH FRPSDQ\ KDYH D VSHFL¿HG FRPPLWWHH RI WKH Y YY YYY %RDUG'LUHFWRU2I¿FLDOWRRYHUVHHWKHLPSOHPHQWDWLRQRI the policy? ,QGLFDWHWKHOLQNIRUWKHSROLF\WREHYLHZHGRQOLQH" Relevant policies and code of conduct are available on our website ZZZUHOLJDUHFRP +DVWKHSROLF\EHHQIRUPDOO\FRPPXQLFDWHGWRDOOUHOHYDQW 7KHSROLFLHVDUHFRPPXQLFDWHGWRNH\LQWHUQDODQG LQWHUQDODQGH[WHUQDOVWDNHKROGHUV" H[WHUQDOVWDNHKROGHUVDQGLWLVDQRQJRLQJSURFHVV 'RHVWKHFRPSDQ\KDYHLQKRXVHVWUXFWXUHWRLPSOHPHQW Y YY YYY WKHSROLF\SROLFLHV Does the Company have a grievance redressal Y YY YYY PHFKDQLVP UHODWHG WR WKH SROLF\ SROLFLHV WR DGGUHVV VWDNHKROGHUV¶JULHYDQFHVUHODWHGWRWKHSROLF\SROLFLHV" +DV WKH FRPSDQ\ FDUULHG RXW LQGHSHQGHQW DXGLW Y YY YYY HYDOXDWLRQRIWKHZRUNLQJRIWKLVSROLF\E\DQLQWHUQDORU external agency? 7KH&RPSDQ\LVGHGLFDWHGWRXSKROGWKHKXPDQULJKWVRIDOOLWVHPSOR\HHVDQGLWVWULFWO\HQVXUHVFRPSOLDQFHZLWKDOODSSOLFDEOH ODZVRIWKHODQGSHUWDLQLQJWRKXPDQULJKWV7KH&RPSDQ\GLGQRWUHFHLYHDQ\FRPSODLQWUHODWLQJWRYLRODWLRQRIKXPDQULJKWV GXULQJWKH\HDU E ,IDQVZHUWRWKHTXHVWLRQDWVHULDOQXPEHUDJDLQVWDQ\SULQFLSOHLVµ1R¶SOHDVHH[SODLQZK\ 7LFNXSWRRSWLRQV No. Questions P 1 P 2 P 3 P 4 P 5 P 6 P 7 P 8 P 9 The company has not understood the Principles 7KH FRPSDQ\ LV QRW DW D VWDJH ZKHUH LW ¿QGV LWVHOI LQ ¥ a position to formulate and implement the policies on VSHFL¿HGSULQFLSOHV 3 7KH FRPSDQ\ GRHV QRW KDYH ¿QDQFLDO RU PDQSRZHU UHVRXUFHVDYDLODEOHIRUWKHWDVN 4 ,WLVSODQQHGWREHGRQHZLWKLQQH[WPRQWKV ,WLVSODQQHGWREHGRQHZLWKLQWKHQH[W\HDU Any other reason (please specify) The Company is a holding and investment company and ¥ is not involved in any manufacturing activity or services XQGHUWKHSXUYLHZRI%55 The Company being a holding and investment company ¥ does not have any direct customers under the scope of the BRR Annual Report 2017-18 47 3. Governance related to BR D ,QGLFDWHWKHIUHTXHQF\ZLWKZKLFKWKH%RDUGRI'LUHFWRUV&RPPLWWHHRIWKH%RDUGRU&(2WRDVVHVVWKH%5 performance of the Company. Within 3 months, 3-6 months, Annually, More than 1 year 7KH%RDUGDQG%RDUG&RPPLWWHHVDVVHVVWKH%5SHUIRUPDQFHRIWKH&RPSDQ\RQDSHULRGLFEDVLV (b) Does the Company publish a BR or a Sustainability Report? What is the hyperlink for viewing this report? How IUHTXHQWO\LWLVSXEOLVKHG" 6WDUWLQJIURPWKH&RPSDQ\SXEOLVKHVWKHLQIRUPDWLRQRQ%5ZKLFKIRUPVSDUWRIWKH$QQXDOUHSRUWRIWKH &RPSDQ\7KH$QQXDOUHSRUWLVDYDLODEOHRQWKHZHEVLWHRIWKH&RPSDQ\DWZZZUHOLJDUHFRP SECTION E: PRINCIPLE-WISE PERFORMANCE Principle 1 1. Does the policy relating to ethics, bribery and corruption cover only the company? 1R Does it extend to the Group/Joint Ventures/ Suppliers/Contractors/NGOs /Others? :KLVWOHEORZHUSROLF\FRYHUVDOOWKHVWDNHKROGHUV +RZ PDQ\ VWDNHKROGHU FRPSODLQWV KDYH EHHQ UHFHLYHG LQ WKH SDVW ¿QDQFLDO \HDU DQG ZKDW SHUFHQWDJH ZDV satisfactorily resolved by the management? If so, provide details thereof, in about 50 words or so. 6WDNHKROGHU¶V&RPSODLQWV Complaints No of Complaints received No. of Complaints resolved % of complaints resolved Shareholders Complaints Principle 2 : Not Applicable The Company is a holding and investment company and is not involved in any manufacturing activity or services under the SXUYLHZRI%55 Principle 3 1. Please indicate the Total number of employees : 34 2. Please indicate the Total number of employees hired on temporary/contractual/casual basis : 1LO 3. Please indicate the Number of permanent women employees. : 4. Please indicate the Number of permanent employees with disabilities : 1LO 5. Do you have an employee association that is recognized by management. :1R 6. What percentage of your permanent employees is members of this recognized employee association? 1$ 7. Please indicate the Number of complaints relating to child labour, forced labour, involuntary labour, sexual KDUDVVPHQWLQWKHODVW¿QDQFLDO\HDUDQGSHQGLQJDVRQWKHHQGRIWKH¿QDQFLDO\HDU No. Category 1RRIFRPSODLQWV¿OHGGXULQJ No of complaints pending as WKH¿QDQFLDO\HDU RQHQGRIWKH¿QDQFLDO\HDU &KLOGODERXUIRUFHGODERXULQYROXQWDU\ Nil Nil labour Sexual harassment Nil Nil 3 Discriminatory employment Nil Nil 48 Religare Enterprises Limited 8. What percentage of your under mentioned employees were given safety & skill up-gradation training in the last year? D 3HUPDQHQW(PSOR\HHV1RQH E 3HUPDQHQW:RPHQ(PSOR\HHV1$ F &DVXDO7HPSRUDU\&RQWUDFWXDO(PSOR\HHV1$ G (PSOR\HHVZLWK'LVDELOLWLHV1$ Principle 4 1. Has the company mapped its internal and external stakeholders? : Yes 2XWRIWKHDERYHKDVWKHFRPSDQ\LGHQWL¿HGWKHGLVDGYDQWDJHGYXOQHUDEOH PDUJLQDOL]HGVWDNHKROGHUV Yes 3. Are there any special initiatives taken by the company to engage with the disadvantaged, vulnerable and marginalized stakeholders. If so, provide details thereof, in about 50 words or so. Principle 5 1. Does the policy of the company on human rights cover only the company or extend to the Group/Joint Ventures/ Suppliers/Contractors/NGOs/Others? 7KH&RPSDQ\GRHVQRWKDYHDSROLF\RQKXPDQULJKWV+RZHYHUWKH&RPSDQ\LVGHGLFDWHGWRXSKROGWKHKXPDQULJKWVRI DOOLWVHPSOR\HHVDQGLWVWULFWO\HQVXUHVFRPSOLDQFHZLWKDOODSSOLFDEOHODZVRIWKHODQGSHUWDLQLQJWRKXPDQULJKWV +RZPDQ\VWDNHKROGHUFRPSODLQWVKDYHEHHQUHFHLYHGLQWKHSDVW¿QDQFLDO\HDUDQGZKDWSHUFHQWZDVVDWLVIDFWRULO\ resolved by the management? 7KH&RPSDQ\GLGQRWUHFHLYHDQ\FRPSODLQWUHODWLQJWRYLRODWLRQRIKXPDQULJKWVGXULQJWKH\HDU Principle 6 1. Does the policy related to Principle 6 cover only the company or extends to the Group/Joint Ventures/Suppliers/ Contractors/NGOs/others. 6RFLDODQG(QYLURQPHQWDO0DQDJHPHQW3ROLF\RIWKH&RPSDQ\H[WHQGVWRVXEVLGLDULHVRIWKH&RPSDQ\ZKHUHYHUDSSOLFDEOH 2. Does the company have strategies/ initiatives to address global environmental issues such as climate change, global warming, etc? Y/N. If yes, please give hyperlink for webpage etc. 7KH&RPSDQ\FRQWLQXDOO\HQGHDYRUVWRHQVXUHHIIHFWLYHVRFLDO HQYLURQPHQWDOPDQDJHPHQWSUDFWLFHVLQDOOLWVDFWLYLWLHV SURGXFWVDQGVHUYLFHVDVSHU6RFLDODQG(QYLURQPHQWDO0DQDJHPHQW3ROLF\ 3. Does the company identify and assess potential environmental risks? Y/N Yes 'RHVWKHFRPSDQ\KDYHDQ\SURMHFWUHODWHGWR&OHDQ'HYHORSPHQW0HFKDQLVP",IVRSURYLGHGHWDLOVWKHUHRILQ DERXWZRUGVRUVR$OVRLI Annual Report 2017-18 49 7. Number of show cause/ legal notices received from CPCB/SPCB which are pending (i.e. not resolved to satisfaction) as on end of Financial Year. 1RW$SSOLFDEOH Principle 7 ,V\RXUFRPSDQ\DPHPEHURIDQ\WUDGHDQGFKDPEHURUDVVRFLDWLRQ",I Principle 8 'RHVWKHFRPSDQ\KDYHVSHFL¿HGSURJUDPPHVLQLWLDWLYHVSURMHFWVLQSXUVXLWRIWKHSROLF\UHODWHGWR3ULQFLSOH",I yes details thereof. 7KH&RPSDQ\KDVDGRSWHGD*URXS&653ROLF\ZKLFKVHHNVWRFUHDWHVLJQL¿FDQWVRFLDOLPSDFWDQGSURPRWHLQFOXVLYH JURZWK+RZHYHUGXULQJ)<WKH&RPSDQ\ZDVQRWUHTXLUHGWRXQGHUWDNHDQ\&65LQLWLDWLYHVGXHWRDEVHQFHRI DYHUDJHSUR¿WVEDVHGRQWKHSUHYLRXVWKUHH\HDUV¶¿QDQFLDOSHUIRUPDQFH $UH WKH SURJUDPPHVSURMHFWV XQGHUWDNHQ WKURXJK LQKRXVH WHDPRZQ IRXQGDWLRQH[WHUQDO 1*2JRYHUQPHQW structures/any other organization? 7KH &RPSDQ\¶V DSSURDFK KDV EHHQ WR SDUWQHU ZLWK RUJDQLVDWLRQV WKDW KDYH WKH UHOHYDQW H[SHULHQFH DQG H[SHUWLVH LQ LPSOHPHQWLQJFRPPXQLW\ZHOIDUHDQGGHYHORSPHQWSURJUDPPHVWRPD[LPLVHWKHVRFLHWDOLPSDFWIURP&65VSHQG 3. Have you done any impact assessment of your initiative? 1RW$SSOLFDEOH :KDWLV\RXUFRPSDQ\¶VGLUHFWFRQWULEXWLRQWRFRPPXQLW\GHYHORSPHQWSURMHFWV$PRXQWLQ,15DQGWKHGHWDLOVRI WKHSURMHFWVXQGHUWDNHQ 1LO±DVWKH&RPSDQ\ZDVQRWUHTXLUHGWRXQGHUWDNHDQ\&65LQLWLDWLYHV5HIHUWRWKH$QQXDO5HSRUWRQ&65DFWLYLWLHVIRU further information Principle 9 : Not Applicable The Company being a holding and investment company does not have any direct customers under the scope of the BRR 50 Religare Enterprises Limited 0DQDJHPHQW'LVFXVVLRQ $QDO\VLV)< 1. Industry Overview and Macro-economic Developments World economic growth improved to 3.8% in 2017 from 3.2% in 2016, with underlying strength witnessed across advanced economies as well as the emerging market and developing economies groups. Recovery in the US economic growth was pivotal in pulling the growth rate up for the world in 2017 and is likely to help sustain this momentum in the current year. On the other hand, China’s GDP growth continued to remain subdued and stayed below the 7% mark. As for India, the economic growth rate dropped marginally in 2017-18 to 6.7% from 7.1% during the earlier year. The slowdown was led by the lingering impact of demonetisation, as well as on account of the biggest tax reform in the country since Independence LH*RRGVDQG6HUYLFHV7D[ *67 ZKLFKZDVLPSOHPHQWHGLQWKH¿UVWKDOIRI)<)XUWKHUKLJKHUFUXGHRLOSULFHDQGUXSHH GHSUHFLDWLRQSRVHGFKDOOHQJHVIRUWKHHFRQRP\GXULQJWKHODWWHUKDOIRI)<1RWDEO\WKRXJKFRQVHFXWLYHKXUGOHVLPSDFWHG India’s growth on an annual basis, GDP growth of 7.7% in Q4 of 2017-18 has once again made India the world’s fastest growing PDMRU HFRQRP\RXWSDFLQJ &KLQD¶V JURZWK E\ QHDUO\ D SHUFHQWDJH SRLQW )XUWKHUPRUH ZLWK WKH LPSOHPHQWDWLRQ RI VWUXFWXUDO reforms like GST - aimed at increasing economic productivity - supported by concerted efforts by the Reserve Bank of India (RBI) WRZDUGVFRQWUROOLQJLQÀDWLRQFRXSOHGZLWKDIDYRXUDEOHPRQHWDU\SROLF\VWDQFHDQGDSRVVLEOHWKLUGFRQVHFXWLYH\HDURIJRRG monsoon, India’s GDP looks set to clock a higher growth rate on an annual basis. 7KH ,QGLDQ PDUNHW KDG DQ HYHQWIXO \HDU ZLWK WKH LPSOHPHQWDWLRQ RI *67 GXULQJ WKH VHFRQG TXDUWHU RI )< DQG WKH UHLQWURGXFWLRQRIORQJWHUPFDSLWDOJDLQVWD[LQWKH%XGJHWIRU SUHVHQWHGLQ)HEUXDU\'HVSLWHWKHHFRQRPLF FKDOOHQJHVRQDFFRXQWRIWKHYDULRXVUHIRUPPHDVXUHVLPSOHPHQWHGE\WKHJRYHUQPHQW)RUHLJQ3RUWIROLR,QYHVWRUV )3,V continued to pose their faith in the Indian market as evident from their net investments surging to ~`1.45 lakh cr. in 2017-18. +LJKJOREDOLQYHVWRUFRQ¿GHQFHZDVDOVRUHÀHFWHGLQWKHUHFRUG)RUHLJQ'LUHFW,QYHVWPHQW )', LQÀRZVLQWRWKHFRXQWU\GXULQJ the year. A strong year for markets Post a strong 2016-17 performance, expectations as well as apprehensions were running high with respect to the likely performance of the market during 2017-18. While the last couple of months of 2017-18 would have made a large section of the market nervous, the Sensex managed to deliver a return of 11.3% for the year as a whole. The broader markets outperformed the Sensex with the Mid-cap index delivering a return of 13.2% while the Small-cap index ended the year with a gain of 17.7%. Sensex Returns (year-on-year)1 FY2013-14 FY2014-15 FY2015-16 FY2016-17 FY2017-18 18.9% 24.9% -9.4% 16.9% 11.3% Bold reform initiatives have a transitory negative impact on GDP growth The Indian GDP growth rate slowed down for the second consecutive year in 2017-18 on account of the lingering effects of demonetisation from 2016 and the implementation of GST on July 1, 2017, which impacted trade temporarily as businesses adjusted to the new tax system. The GDP growth rate declined from 7.1% in 2016-17 to 6.7% in 2017-18. GDP Growth Rate2 Growth by Sector3 (new GDP series; base year: 2011-12) (based on the new GDP series) Sector FY2015-16 FY2016-17 FY2017-18 Agriculture 0.7% 4.9% 3.4% Industry 8.8% 5.6% 5.5% Services 9.7% 7.7% 7.9% 1RWH 7KHDERYHLV*URVV9DOXHG$GGHG *9$ JURZWK which is marginally different from GDP growth GDP growth in 2017-18 was propped up by support from public investments, while private investments remained a drag. Agriculture lent some support to overall growth thanks to a second consecutive good monsoon. Going forward, with 2018-19 being the year just before the General Elections of 2019 and also laced with several important state elections, public investments are unlikely to moderate. Any pick-up in private investment will provide further impetus to GDP growth. Moreover, with global economies being strong, exports are expected to rebound in 2018-19. Lastly, since meteorologists expect India to have a third consecutive year of good monsoon, agriculture will continue to contribute to economic growth. Having said this, the challenges IRUWKHHFRQRP\UHPDLQLQWKHIRUPRISRWHQWLDOO\KLJKHURLOSULFHVDZHDNHUFXUUHQF\368EDQNV¶13$FKDOOHQJHVZKLFKZLOO prevent any sharp recovery in lending activities from this segment, and protectionist rhetoric emanating from the US in particular getting converted into a global trade war. 16RXUFH %ORRPEHUJ 26RXUFH %ORRPEHUJ 36RXUFH &620263,DQG&0,( Annual Report 2017-18 51 Note: In 2015, the Central Statistical Organisation (CSO) revised the methodology of computing Indian National Accounts, by revising the constant base year to 2011-12 against 2008-09 used earlier, thereby impacting growth numbers. In addition, it has also changed the basis of measurement of GDP to GVA at Basic Prices as against Factor Cost used earlier. The discussion above is based on the new series numbers. Since mid-2014, global crude oil had been under tremendous pressure, which had seen the price crash to USD 30 per barrel LQHDUO\+RZHYHUVLQFHWKHQFUXGHRLOSULFHKDGVHHQDJUDGXDOLQFUHDVH7KXVDIWHUKDYLQJ¿UPHGXSE\a\HDURQ year in 2016-17, average Brent crude oil price strengthened further by ~16% year-on-year to USD 58 per barrel, hitting a high of ~USD 70 per barrel in 2017-18. The start of 2018-19 has seen a further rise in prices to USD 80 per barrel. Prices rallied sharply GXHWRVXSSO\GLVUXSWLRQIURP9HQH]XHODDQGRYHUFRQFHUQVRIUHQHZHGVDQFWLRQVRQ,UDQE\WKH86+RZHYHUDQH[SHFWHG increase in supplies from OPEC and non-OPEC members along with a rise in US oil production will help counter the threat of potential supply shortfalls. 2QWKHFXUUHQF\IURQWWKHVFHQDULRUHPDLQHGUHODWLYHO\IDYRXUDEOHLQZLWKWKH,QGLDQ5XSHH ,15 VWUHQJWKHQLQJDJDLQVW the US Dollar (USD) to an average of `64.5 per USD from `SHU86'LQWKHSUHYLRXV¿VFDORQDFFRXQWRIUHLJQHGLQLQÀDWLRQ and crude oil price around the USD 60 per barrel mark. Also, the weakness in the US dollar index, which witnessed one of its ZRUVWIDOOVLQDGHFDGHGXHWRXQFHUWDLQ86JRYHUQPHQWSROLFLHVDORQJVLGHWKHODUJHLQÀRZVLQ,QGLDQHTXLWLHVGXULQJPRVWSDUW of 2017-18 aided the appreciation in the Indian Rupee. However, with oil and currency trends against the Indian economy at the beginning of 2018-19, the Indian currency has started to feel the heat. 7KH:KROHVDOH3ULFH,QGH[ :3, ¿UPHGXSIURPLQWRLQ42QWKHRWKHUKDQGUHWDLOLQÀDWLRQDV measured by the Consumer Price Index (CPI), which has been witnessing a sustained decline since 2015-16, dropped further from 4.5% in 2016-17 to 3.6% in 2017-1856XVWDLQHGFRQWURORYHUIRRGLQÀDWLRQSDUWO\DLGHGE\JRYHUQPHQWSULFHPRQLWRULQJDQG SDUWO\E\WZRJRRG\HDUVRIPRQVRRQOHDGLQJWREHWWHUDJULFXOWXUDOSURGXFWLRQKHOSHGFRQWUROUHWDLOLQÀDWLRQ+RZHYHUJRLQJLQWR WKHORZEDVHRIODVW¿VFDOFRXSOHGZLWKWKH¿UPXSLQFRPPRGLW\SULFHVHVSHFLDOO\FUXGHDQGDGHSUHFLDWHGFXUUHQF\ KDVLQFUHDVHGWKHULVNVRILPSRUWHGLQÀDWLRQFRQVLGHUDEO\ &XUUHQW$FFRXQW'H¿FLWXQGHUVWUHVV ,QGLD¶V&XUUHQW$FFRXQW'H¿FLW &$' LVH[SHFWHGWRKDYHZLGHQHGIURPLQWKHSUHYLRXV¿VFDOWRDURXQGIRU RQWKHEDFNRIDKLJKHUWUDGHGH¿FLWGULYHQE\DFRPELQDWLRQRIKLJKHUJOREDOFRPPRGLW\SULFHVDQGH[SRUWJURZWKEHLQJEHORZ SRWHQWLDORQDFFRXQWRI*67UHODWHGLVVXHV+RZHYHUVWURQJFDSLWDOLQÀRZVPLWLJDWHGWKLVWRDQH[WHQW1RQHWKHOHVVVXVWDLQHG higher crude oil prices and a weaker rupee are expected to put additional pressure on the CAD in 2018-19. Amidst this, India’s foreign exchange reserves touched a record of ~USD 424 billion by end-March 2018, which puts India in a relatively comfortable SRVLWLRQLQWKHEDFNGURSRI¿UPLQJFUXGHRLOSULFHVDQGWLJKWHQLQJFHQWUDOEDQNSROLFLHVJOREDOO\ 5%,UHPDLQVQHXWUDO *RYHUQPHQWGHYLDWHVPDUJLQDOO\IURP¿VFDOSDWK 7KH5%,KDYLQJFKDQJHGLWV0RQHWDU\3ROLF\VWDQFHIURPDFFRPPRGDWLYHWRQHXWUDOLQ)HEUXDU\VRXQGHGDODUPEHOOV SHULRGLFDOO\ZLWKUHVSHFWWRLQÀDWLRQUHDULQJLWVKHDG1RQHWKHOHVVZLWKWKHDLPRIOHQGLQJVRPHVXSSRUWWRWKHHFRQRP\ZKLFK had been reeling under the transitory impact of GST implementation, the RBI cut the policy rate by 25 bps in August 2017, bringing the benchmark rate down from 6.25% to 6.00%6+RZHYHUZLWKWKHWKUHDWRIGRPHVWLFLQÀDWLRQRQWKHKRUL]RQDQGD rising interest rate environment globally, the RBI opted to adopt a wait-and-watch policy. Going forward, global commodity price, WKH86',15HTXDWLRQLQÀDWLRQ LPSHQGLQJKLJKHU063 VWUHQJWKHQLQJHFRQRPLFJURZWKDQGPRQVRRQEHKDYLRXU LPSDFWRQ food price) would be the key parameters on RBI’s radar to determine policy rates. 2QWKH¿VFDOIURQWWKHJRYHUQPHQWPDUJLQDOO\GHYLDWHGIURPLWVSDWKRI¿VFDOFRQVROLGDWLRQ,QGLD¶V¿VFDOGH¿FLWFDPHLQDW for 2017-187LQOLQHZLWKWKHUHYLVHGHVWLPDWHVRIWKHJRYHUQPHQW1RWDEO\GXULQJWKH\HDUWKHJRYHUQPHQWKDGLQFUHDVHG LWV¿VFDOGH¿FLWWDUJHWIRUIURPWRDQGIURPWRIRU WRDFFRPPRGDWHKLJKHUGHPDQGIRU expenditure. 3HUIRUPDQFHRIWKH¿QDQFLDOVHUYLFHVVHFWRU Banking and Credit Credit Growth %DQNV¶FUHGLWJURZWKLPSURYHGLQSRVWWKHVORZGRZQZLWQHVVHGLQFORFNLQJLQDWa 8 as DJDLQVWLQWKHSUHYLRXV¿VFDO7KHNH\GULYHUVRIFUHGLWJURZWKZHUHWKHUHWDLODQGVHUYLFHVVHFWRUVZKHUHDVLQGXVWULDO and agriculture demand continued to remain tepid. Credit growth was largely led by private banks, which collectively reported a growth of ~20.9%. On the other hand, PSU banks’ credit grew at a sluggish pace of ~4.7%, largely impacted by their asset quality issues. 46RXUFH 2I¿FHRIWKH(FRQRPLF$GYLVRU 56RXUFH 2SHQ*RYHUQPHQWRI,QGLD KWWS GDWDJRYLQ 66RXUFH 5HVHUYH%DQNRI,QGLD0RQHWDU\3ROLF\6WDWHPHQW 76RXUFH ³0HGLXP7HUP)LVFDO3ROLF\6WDWHPHQW´,QGLD%XGJHW)< 86RXUFH 5%,4XDUWHUO\6WDWLVWLFV'DWD 52 Religare Enterprises Limited Deposit Growth: %DQNV¶GHSRVLWJURZWKLQIHOOWRD¿YHGHFDGHORZRI8 as against 11.7% in 2016-17. The slower SDFHRIJURZWKZDVPDLQO\RQDFFRXQWRIWKHH[SDQVLRQRIWKHEDVHGXHWRGHPRQHWL]DWLRQLQ)XUWKHUWKHPRYHPHQWRI VDYLQJVDZD\IURPWUDGLWLRQDOEDQNGHSRVLWVWRRWKHU¿QDQFLDODVVHWVOLNHPXWXDOIXQGVDQGLQVXUDQFHDOVRDIIHFWHGWKHJURZWK in deposits. Private sector banks led deposit growth too, with a 17.4% increase year-on-year. On the other hand, PSU banks’ deposits grew at meagre 3.1% in 2017-18. Equity Market 'XULQJWKH\HDU16(HTXLW\FDVKPDUNHWYROXPHVLQFUHDVHGE\9 to approximately `61.7 lakh crore as against 19.3% in WKHSUHYLRXV¿VFDO$LGHGE\KHFWLFDFWLRQLQWKHSULPDU\PDUNHWDQGVXVWDLQHGSDUWLFLSDWLRQE\LQVWLWXWLRQDODQGUHWDLOLQYHVWRUV DOLNHWKHPDUNHWFDSLWDOL]DWLRQRI16(OLVWHGFRPSDQLHVVZHOOHGE\WR`140 lakh crore after a strong growth of 28.7% in 2017-18. This growth was despite the challenges on the domestic economy front in the form of the implementation of GST affecting businesses / GDP and on the global economy front in the form of US-Korea standoff w.r.t. the latter’s nuclear program and rise in global trade war rhetoric. Insurance 7KH ¿UVW \HDU SUHPLXP QHZ EXVLQHVV SUHPLXP RI OLIH LQVXUDQFH FRPSDQLHV ZLWQHVVHG D JURZWK RI 10 in 2017-18 as DJDLQVWJURZWKRILQ7KH¿UVW\HDUSUHPLXPLQFRPHZDV`1.93 lakh crore in 2017-18 compared to `1.75 lakh FURUHLQ7KHJURZWKZDVPDLQO\OHGE\SULYDWHSOD\HUVZKLFKJUHZDWZKHUHDV/,&¶V¿UVW\HDUSUHPLXPJURZWK was a meagre 8.2% year-over-year. The total number of policies increased by 6.6% in 2017-18. On the non-life insurance front, the gross written premium increased from ~`1.28 lakh crore in 2016-17 to ~`1.51 lakh crore in 2017-1810, a surge of 17.5% year-over-year. Outlook Global growth witnessed a recovery in 2017 driven by the recovery in advanced economies, sustained growth in emerging Asia and signs of recovery in several commodity exporting countries. The Indian economy, however, grew at a relatively sluggish pace of 6.7% in 2017-18 as against 7.1% in 2016-17 mainly on account of multiple reform measures being implemented over the SDVWPRQWKV+RZHYHUWKHVLOYHUOLQLQJODVW¿VFDOZDVWKDW,QGLD¶V*'3JURZWKSLFNHGXSIURPLQ4)<WR LQ4)<*RLQJIRUZDUGHFRQRPLFDFWLYLW\LVH[SHFWHGWRVWUHQJWKHQDQGUHDO*'3JURZWKLVSURMHFWHGDWIRU +LJKHUJRYHUQPHQWVSHQGLQJDQGSLFNXSLQFRQVXPSWLRQGHPDQGDXJXUVZHOOIRUWKH,QGLDQHFRQRP\)XUWKHUDQRUPDOPRQVRRQ forecast by the India Meteorological Department bodes well for the agriculture sector and rural spending. While the economy is increasingly driven by domestic consumption, any strengthening of external demand will further abet India’s economic growth. 2QWKHÀLSVLGHWKHULVNVWR,QGLD¶VQHDUWHUPJURZWKWUDMHFWRU\DUHULVLQJFUXGHRLOSULFHVDZHDNHQLQJGRPHVWLFFXUUHQF\DQGD KLJKHULQWHUHVWUDWHVFHQDULRLQWKHEDFNGURSRILQÀDWLRQDU\SUHVVXUHV Overview of our Business Religare Structure and Business Model 5HOLJDUH(QWHUSULVHV/LPLWHG 5(/ KDVVHHGHGDQGEXLOWEXVLQHVVHVDFURVVWKH¿QDQFLDOVHUYLFHVVSHFWUXPZLWKWKHREMHFWLYHRI FUHDWLQJVFDOHEXVLQHVVHVWKDWJHQHUDWHVXVWDLQHGSUR¿WDELOLW\DQGFUHDWHHTXLW\YDOXHIRU5(/5HOLJDUH¶VEXVLQHVVHVRSHUDWH DFURVVWKUHHNH\YHUWLFDOVRIWKH¿QDQFLDOVHUYLFHVLQGXVWU\LQ,QGLD±/HQGLQJ 60()LQDQFHDQG$IIRUGDEOH+RXVLQJ)LQDQFH Health Insurance and Retail Broking. REL is a Core Investment Company registered with the Reserve Bank of India (RBI)11.The operating businesses are housed in subsidiaries and have independent management teams to conduct their day-to-day operations. REL has provided the operating companies with the requisite capital, governance structures, risk management mechanisms and oversight, and helped the operating businesses attain critical scale. Risk Monitoring and Mitigation REL has devised a comprehensive framework for risk management and controls for the operating entities.The implementation of the risk management framework is overseen by the Boards of the respective entities, which have representation from REL. The risk management framework has been designed to identify, measure, report, monitor and mitigate various risks inherent in WKH¿QDQFLDOVHUYLFHVEXVLQHVVDQGPDQGDWHVWKH5LVN0DQDJHPHQW&RPPLWWHHRIWKHUHVSHFWLYH%RDUGVWRPRQLWRUVXFKULVNV 5(/KDVDFRPSUHKHQVLYH,QWHUQDO$XGLWIXQFWLRQWRUHYLHZDQGHYDOXDWHWKHHI¿FDF\DQGDGHTXDF\RILQWHUQDOFRQWUROV\VWHPV compliance with operating systems, accounting procedures and policies.The Internal Audit function is carried out by a reputed H[WHUQDO¿UPDQGWKH¿QGLQJVDQGUHFRPPHQGDWLRQVDUHSUHVHQWHGWRWKHUHVSHFWLYH$XGLW&RPPLWWHHV 96RXUFH 1DWLRQDO6WRFN([FKDQJHRI,QGLD/WG 106RXUFH ,QVXUDQFH5HJXODWRU\'HYHORSPHQW$XWKRULW\RI,QGLD 11RBI Disclaimer: D 5HVHUYH%DQNRI,QGLDGRHVQRWDFFHSWDQ\UHVSRQVLELOLW\RUJXDUDQWHHDERXWWKHSUHVHQWSRVLWLRQDVWRWKH¿QDQFLDO soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and IRUGLVFKDUJHRIOLDELOLW\E\WKHFRPSDQ\ E 1HLWKHULVWKHUHDQ\SURYLVLRQLQODZWRNHHSQRUGRHVWKHFRPSDQ\NHHSDQ\SDUWRIWKHGHSRVLWV ZLWKWKH5HVHUYH%DQNDQGE\LVVXLQJWKH&HUWL¿FDWHRI5HJLVWUDWLRQWRWKHFRPSDQ\WKH5HVHUYH%DQNQHLWKHUDFFHSWVDQ\UHVSRQVLELOLW\QRU guarantee for the payment of the public funds to any person/ body corporate Annual Report 2017-18 53 Key Subsidiaries REL being a Core Investment Company, the businesses are operated out of various subsidiaries.The table below lists our key VXEVLGLDULHVDVDW0DUFKDQGWKHLUPDMRUDUHDVRIRSHUDWLRQ Company Status REL’s Major Area(s) of Operation stake Lending 5HOLJDUH)LQYHVW/LPLWHG 5)/ Subsidiary 85.64% • 60()LQDQFH • &DSLWDO0DUNHW)LQDQFH 5HOLJDUH+RXVLQJ'HYHORSPHQW)LQDQFH 6XEVLGLDU\ KHOGWKURXJK5)/ 87.50% • +RXVLQJ)LQDQFH &RUSRUDWLRQ/LPLWHG 5+')& Health Insurance Religare Health Insurance Company Subsidiary 90.78% • Health insurance and related Limited (RHICL) products Retail Broking Religare Broking Limited (RBL) Subsidiary 100% • Retail Equity Broking • Retail Currency Broking • Online Investment Portal • Depository Services • E-Governance Services Religare Commodities Limited (RCL) Subsidiary (held through RBL) 100% • Retail Commodity Broking Lending 2XUOHQGLQJEXVLQHVVLVRSHUDWHGE\5)/DQGLWVRZQHGVXEVLGLDU\5+')&5)/LVUHJLVWHUHGZLWK5%,DVDQRQGHSRVLW WDNLQJ V\VWHPLFDOO\ LPSRUWDQW 1RQ%DQNLQJ )LQDQFLDO &RPSDQ\ 1%)&1'6, 5)/ LV IRFXVHG RQ SURYLGLQJ GHEW FDSLWDO WR 6PDOO 0HGLXP(QWHUSULVHV 60(V WRHQDEOHWKHPWRHQKDQFHWKHLUSURGXFWLYHFDSDFLW\DQGWKURXJKSXW±LWLVDPRQJVWWKH¿UVW 1%)&VLQ,QGLDWRIRFXVRQWKLVVHJPHQWKDYLQJVWDUWHGWKHEXVLQHVVLQ,QGLD¶V60(VHFWRUDFFRXQWVIRUQHDUO\RILWV manufacturing output and approximately 40% of its exports, contributes close to 17% to the nation’s GDP and employs about PLOOLRQSHRSOHDFFRUGLQJWRWKH³7UHQGVLQ60()LQDQFLQJ´VWXG\E\&5,6,/ Offerings *LYHQLWVIRFXVRQWKH60(VHFWRU5)/¶VRIIHULQJVKDYHEHHQWDLORUPDGHWRVXLWWKHXQLTXHUHTXLUHPHQWVRIWKLVVHFWRUDQG FRPSULVH SME-Secured 5)/¶V 60(6HFXUHG SURGXFW HQDEOHV LWV FXVWRPHUV WR REWDLQ ORDQV DJDLQVW WKHLU UHVLGHQWLDO RU FRPPHUFLDO SURSHUW\/RDQVRIIHUHGXQGHUWKLVSURGXFWPD\EHXWLOL]HGWRZDUGVGLIIHUHQWSXUSRVHVLQFOXGLQJEXVLQHVVH[SDQVLRQDQGSXUFKDVH of plant and machinery. SME-Unsecured 7KLVSURGXFWFDWHUVWRZRUNLQJFDSLWDODQGRWKHU¿QDQFLDOUHTXLUHPHQWVRIVPDOODQGPHGLXPHQWHUSULVHV VHOIHPSOR\HGEXVLQHVVPHQDQGSURIHVVLRQDOV/RDQVDUHJUDQWHGDIWHUDQLQGHSWKDQGGHWDLOHG¿QDQFLDODQDO\VLVDQGFUHGLW underwriting of the clients. ,QDGGLWLRQWRLWVSULPDU\IRFXVRQOHQGLQJWR60(V5)/SURYLGHV¿QDQFLQJDJDLQVWVKDUHVDQGVHFXULWLHVERWKWRUHWDLOFXVWRPHUV and to promoters of listed companies against their holdings in their own companies, collectively referred to as Capital Marketing /HQGLQJ6SHFL¿FDOO\5)/RIIHUV/RDQV$JDLQVW6HFXULWLHV WRUHWDLOFXVWRPHUVVHFXUHGE\PDUNHWDEOHVHFXULWLHVKHOGE\WKHP ,32)LQDQFLQJ SURYLGLQJOLTXLGLW\WRKLJKQHWZRUWKLQGLYLGXDOVWRHQDEOHWKHPWRVXEVFULEHWRSXEOLFRIIHULQJVRIVKDUHV (623 )LQDQFLQJ JUDQWLQJORDQVWRVDODULHGLQGLYLGXDOVDJDLQVWYHVWHGVWRFNRSWLRQVDQGVKDUHVDOORWWHGRQH[HUFLVHRIVXFKRSWLRQV ZKLFKLVW\SLFDOO\IDFLOLWDWHGE\WKHHPSOR\HU DQG3URPRWHU)LQDQFLQJ OHQGLQJWRSURPRWHUVRIUHSXWHGPLGVL]HGDQGODUJH corporates against shares held by them in their companies, as well as other collateral, in order to augment the resources at the disposal of the promoters). 54 Religare Enterprises Limited ,QWKHSDVW5)/RIIHUHG60(&RPPHUFLDO$VVHWIXQGLQJIRUFRPPHUFLDOYHKLFOHV QHZRUXVHG DQGFRQVWUXFWLRQHTXLSPHQW (heavy or light) segments to priority sector small operations as well as high end strategic operators. This line of business has been discontinued. Presence in SME clusters SME units tend to be concentrated in clusters in or around large cities to take advantage of the infrastructure and ancillary VHUYLFHVWKDWDUHDYDLODEOHLQVXFKFHQWUHV1HDUO\RIWKH60(¿QDQFLQJRSSRUWXQLW\LQ,QGLDLVFRQFHQWUDWHGLQVXFK FOXVWHUVDQG5)/KDVV\VWHPDWLFDOO\EXLOWLWVEUDQFKQHWZRUNWRFRYHUDOOWKHVHORFDWLRQV±DVDW0DUFK5)/¶VQHWZRUN FRPSULVHG EUDQFKHV DFURVV VWDWHV DQG 8QLRQ 7HUULWRU\ ,Q DGGLWLRQ 5)/ FRQGXFWV EXVLQHVV LQ FOXVWHUV WKDW DUH LQ proximity of those where it has a branch using the hub-and-spoke model and in this manner services markets where it does not KDYHDEUDQFKSUHVHQFH5)/KDVGHYHORSHGUREXVWDQGFRPSUHKHQVLYHLQIUDVWUXFWXUHWRHQVXUHWKDWDOOFULWLFDOSURFHVVHV± LQFOXGLQJFUHGLWDVVHVVPHQWULVNPDQDJHPHQWFROOHFWLRQVDQGUHFRYHULHV±DUHSHUIRUPHGLQKRXVHDQGKDVPDGHVXEVWDQWLDO investments towards building best-in-class infrastructure to support its business operations. Operational Performance The total loans and advances (net of repayments and assignments) was `9,797 crore as at March 31, 2018 from `13,974 crore DWWKHHQGRIWKHHDUOLHU\HDU5)/KDGFRQVFLRXVO\UHVWUDLQHGIUHVKOHQGLQJGXULQJWKHSUHYLRXV\HDUWRFRQVHUYHLWVFDSLWDOLQYLHZ RIWKHVWUHVVHGFUHGLWHQYLURQPHQWDQG5)/FRQWLQXHGZLWKWKLVDSSURDFKGXULQJWKH\HDUXQGHUUHYLHZDVZHOO,QDGGLWLRQGXULQJ WKH\HDU5%,KDVGLUHFWHG5)/WRDGKHUHWRDFRUUHFWLYHDFWLRQSODQWKDWDPRQJVWRWKHUFRQGLWLRQVVWLSXODWHVWKDW5)/VKDOOQRW H[SDQGLWVFUHGLWSRUWIROLR&RQVHTXHQWO\IUHVKGLVEXUVHPHQWVZHUHVLJQL¿FDQWO\ORZHUWKDQWKHSULQFLSDODPRXQWVRIORDQVUHSDLG GXULQJWKH\HDUOHDGLQJWRDGHFOLQHLQWKHERRNVL]H7KHWRWDOQXPEHURIDFWLYHDFFRXQWVDVDW0DUFKVWRRGDW 5)/¶VJURVVQRQSHUIRUPLQJDVVHWV GD\EDVLV DVDW0DUFKVWRRGDWDQGQHWQRQSHUIRUPLQJDVVHWV 13$V VWRRGDW WKHLQFUHDVHLQ13$VUHÀHFWVWKHFKDOOHQJLQJFUHGLWFRQGLWLRQVDFURVVWKHHFRQRP\LQJHQHUDODQGDVL]DEOH GHIDXOWLQ5)/¶VFRUSRUDWHORDQERRNLQSDUWLFXODUFRPSRXQGHGE\DUHGXFWLRQLQ5)/¶VERRNVL]H Balance Sheet and Credit Ratings 6KDUHKROGHUV¶IXQGVLQ5)/DVDW0DUFK LQFOXGLQJUHWDLQHGHDUQLQJV DPRXQWHGWR` FURUHDQGEDODQFHVKHHWVL]H stood at `FURUH6KDUHKROGHUV¶IXQGVWDNHLQWRDFFRXQWWKHVLJQL¿FDQWSURYLVLRQVPDGHWRZDUGVQRQSHUIRUPLQJDVVHWV during the year. 7KHIROORZLQJWDEOHOLVWVWKHUDWLQJVRQ5)/¶VGHEWDVDW0DUFK Rating Type Rating by ICRA12 Amount Rating by India Amount (` crore) Ratings12 (` crore) Commercial Paper [ICRA] A3 (WDI) 2,000 ,1'$ 5:1 3,000 Long Term Debt [ICRA] BBB (WDI) 1,000 ,1'%%% 5:1 3,000 Long Term Bank Loans [ICRA] BBB (WDI) 12,000 ,1'%%% 5:1 15,000 Short Term Bank Loans - - ,1'$ 5:1 3,000 Tier-2 Subordinate Debt - - ,1'%%% 5:1 750 :', :DWFKZLWKGHYHORSLQJLPSOLFDWLRQVDQG5:1 5DWLQJ:DWFK1HJDWLYH $GGLWLRQDOO\5)/KDVD/RQJ7HUP5DWLQJRIµ&$5(%%% ZDWFKZLWKGHYHORSLQJLPSOLFDWLRQV ¶IURP&$5(12 for an amount of `36.93 crore. 'XULQJWKH¿QDQFLDO\HDUXQGHUUHYLHZWKHFUHGLWUDWLQJDJHQFLHVKDYHUHYLVHGVKRUWWHUPUDWLQJVDVVLJQHGWR5)/WRµ$ 5DWLQJ :DWFK1HJDWLYH ¶DQGµ$ :DWFKZLWKGHYHORSLQJLPSOLFDWLRQV ¶DQGWKHORQJWHUPUDWLQJVWRµ%%% 5DWLQJ:DWFK1HJDWLYH ¶ DQGµ%%% :DWFKZLWKGHYHORSLQJLPSOLFDWLRQV ¶7KHUDWLQJDJHQFLHVKDYHDWWULEXWHGWKHUHYLVLRQWRGHOD\LQLQFUHPHQWDOFDSLWDO LQIXVLRQGHOD\LQZLQGGRZQRIWKHFRUSRUDWHORDQERRNGHWHULRUDWLQJ¿QDQFLDOÀH[LELOLW\DQGVWUHVVHGORDQSRUWIROLR 12ICRA stands for ICRA Limited (formerly Investment Information and Credit Rating Agency of India Limited), an associate of Moody’s Investor Services; India Ratings refers to India Ratings and Research Private Limited, a Fitch Group Company; CARE stands for CARE Ratings Limited (formerly Credit Analysis and Research Limited). Annual Report 2017-18 55 Affordable Housing Finance 5)/¶VVXEVLGLDU\5+')&LVOLFHQFHGE\1DWLRQDO+RXVLQJ%DQN 1+% DVD+RXVLQJ)LQDQFH&RPSDQ\ +)& DQGIRFXVHV RQSURYLGLQJORDQVIRUDFTXLVLWLRQFRQVWUXFWLRQDQGUHSDLURIGZHOOLQJXQLWVLQWKHDIIRUGDEOHKRXVLQJVHJPHQW7KH³5HSRUWRQ 7UHQGDQG3URJUHVVRI+RXVLQJLQ,QGLD´E\1+%HVWLPDWHVDWRWDOGH¿FLWRIPLOOLRQGZHOOLQJXQLWVLQUXUDO,QGLDDQG PLOOLRQGZHOOLQJXQLWVLQXUEDQ,QGLDZLWK RIWKHGH¿FLWLQWKHXUEDQDUHDVEHLQJLQDIIRUGDEOHKRXVLQJVHJPHQW7KLV gap between the demand and supply needs to be closed rapidly if the aspirations of a fast-growing nation are to be met, and has created an enormous opportunity for funding of affordable housing. The ability to assess the credit worthiness of potential ERUURZHUVLVFUXFLDOIRUVXFFHHGLQJLQWKLVVHJPHQW UREXVWFUHGLWDVVHVVPHQWSURFHVVHVSRVLWLRQ5+')&H[WUHPHO\ZHOOWR capitalise on this opportunity. 5+')& RSHUDWHG WKURXJK EUDQFKHV DV DW 0DUFK DQG KDV D SUHVHQFH LQ 'HOKL 1&5 5DMDVWKDQ 0DKDUDVKWUD *XMDUDW0DGK\D3UDGHVK7DPLO1DGX.DUQDWDND7HODQJDQDDQG$QGKUD3UDGHVK 'XULQJ)<5+')&GLVEXUVHGORDQVWRWDOOLQJ`186 crore in the affordable housing segment, and the corresponding total loans outstanding as at March 31, 2018 stood at ` FURUH'XHWR¿QDQFLDOFKDOOHQJHVDW5)/DQG5(/LWVXOWLPDWHSDUHQWWKH ERRNVL]HRI5+')&UHPDLQHGVLPLODUWRWKHSUHYLRXV\HDU+RZHYHUZLWKWKHGLVWULEXWLRQUHDFKLQWDFWDQGWKHVFDOHRIRSHUDWLRQV PDLQWDLQHG5+')&LVVHWWRPDNHDPHDQLQJIXOLPSDFWLQLWVWDUJHWVHJPHQW $VDW0DUFK5+')&¶VORQJWHUPUDWLQJZDVµ>,&5$@%%%¶DQGRQZDWFKZLWKGHYHORSLQJLPSOLFDWLRQVDQGWKHVKRUWWHUP UDWLQJZDVµ>,&5$@$¶DQGRQZDWFKZLWKGHYHORSLQJLPSOLFDWLRQV,&5$/LPLWHGKDVUHYLVHGWKHUDWLQJVGRZQZDUGIROORZLQJD VLPLODUUDWLQJDFWLRQRQ5+')&¶VLPPHGLDWHSDUHQW5)/LQOLJKWRIWKHVWURQJRSHUDWLRQDOOLQNDJHVEHWZHHQ5+')&DQG5)/ Health Insurance Our subsidiary RHICL is licenced by IRDAI to offer health insurance and related products. Two leading public sector banks, YL]&RUSRUDWLRQ%DQNDQG8QLRQ%DQNRI,QGLDDUHFRSURPRWHUVLQWKLVYHQWXUHKROGLQJRYHUHTXLW\HDFK5+,&/KDVEHHQ formed to capitalise on the vast opportunity in the health insurance space in India, stemming from low insurance penetration (high proportion of out-of-pocket expenditure by patients) coupled with the fast rising cost of medical treatment. RHICL launched its products in July 2012 and totally has 14 approved products spanning retail health, group health, excess of loss, maternity, travel insurance, personal accident and critical illness policies, and various riders. RHICL has developed a multi- channel distribution model that provides a balanced revenue contribution from the direct, agency, bank and alternate channels. Designing innovative products to address unmet customer needs and providing best-in-class customer service experience have EHHQWKHNH\WHQHWVRIGRLQJEXVLQHVVIRU5+,&/ EHVLGHVHQDEOLQJWKLVWKURXJKDVWDWHRIWKHDUWWHFKQRORJ\SODWIRUPWKDW5+,&/ has developed, RHICL has since inception managed claims for all retail policies in-house as the claims experience is the chief determinant of the customer’s perception of the insurer. Operational Performance )<PDUNHGWKHFRPSOHWLRQRI¿YHIXOO\HDUVRIRSHUDWLRQVIRU5+,&/DQG*URVV:ULWWHQ3UHPLXPFURVVHGDQLPSRUWDQW milestone of `10 billion. Gross Written Premium garnered was `1,111 crore during the year as against `FURUHLQ)< representing growth of 53%. Over 6,500 hospitals have been enrolled for providing cashless treatment to the insured. RHICL KDVHVWDEOLVKHGDSDQ,QGLDGLVWULEXWLRQQHWZRUNRIRI¿FHV5+,&/KDVEHQH¿WWHGIURPUREXVWRSHUDWLRQDOSURFHVVHVDQGVFDOH HIIHFWV WKHUDWLRRIFODLPVWRHDUQHGSUHPLXPIRU)<ZDVRQO\VOLJKWO\KLJKHUWKDQLQWKHHDUOLHU\HDU Retail Broking The Retail Broking business facilitates trading and investment in equities and equity derivatives, currencies and commodities for its clients and is operated by RBL and its subsidiaries. Retail Equity Broking 7KHUHWDLOHTXLW\EURNLQJEXVLQHVVZDVRSHUDWHGE\56/>DZKROO\RZQHGVXEVLGLDU\RIWKH&RPSDQ\ for part of the year, which was merged with the Company pursuant to the Composite Scheme of Arrangement approved by 1DWLRQDO&RPSDQ\/DZ7ULEXQDO µ1&/7¶ @3XUVXDQWWRWKHRUGHURI1&/7WKHEURNLQJEXVLQHVVRI56/ZDVWUDQVIHUUHGDQG QRZYHVWVZLWK5%/5%/LVDPHPEHURIWKH1DWLRQDO6WRFN([FKDQJHRI,QGLD/LPLWHG 16( %6(/LPLWHG %6(IRUPHUO\WKH Bombay Stock Exchange) and Metropolitan Stock Exchange of India Limited (MSEI, formerly MCX Stock Exchange Limited) in cash equities, futures & options and currency derivatives segments. In addition, RBL is a Depository Participant with the 1DWLRQDO6HFXULWLHV'HSRVLWRU\/LPLWHG 16'/ DQG&HQWUDO'HSRVLWRU\6HUYLFHV ,QGLD /LPLWHG &'6/ ZKLFKIDFLOLWDWHVVPRRWK settlement of clients’ delivery-based transactions. Retail Currency Broking 7UDGLQJLQFXUUHQF\IXWXUHVDQGRSWLRQVDOORZVFOLHQWVWRKHGJHWKHFDSLWDODQGWUDGLQJH[SRVXUHVWKH\ may have in currencies other than the Indian rupee. These products are offered by RBL as a member of the currency segment RQ16(%6(DQG06(,&XUUHQWO\WKHH[FKDQJHVSHUPLWIXWXUHVWUDGLQJLQIRXUFXUUHQF\SDLUVYL]86GROODU,QGLDQUXSHH Euro-Indian rupee, Pound Sterling-Indian rupee and Japanese yen-Indian rupee, and options trading in the US dollar-Indian rupee pair. 56 Religare Enterprises Limited Retail Commodity Broking 5&/ZDVDZKROO\RZQHGVXEVLGLDU\RI56/IRUSDUWRIWKH\HDU5&/EHFDPHDZKROO\RZQHG VXEVLGLDU\RI5%/DIWHUWKHDSSURYDOIURP1&/7RIWKH&RPSRVLWH6FKHPHRI$UUDQJHPHQW5&/QRZDZKROO\RZQHGVXEVLGLDU\ RI5%/LVDPHPEHURIWKHWZRPDMRUHOHFWURQLFFRPPRGLWLHVIXWXUHVH[FKDQJHVLQ,QGLDYL]0XOWL&RPPRGLW\([FKDQJHRI ,QGLD /LPLWHG 0&; DQG WKH 1DWLRQDO &RPPRGLWLHV 'HULYDWLYHV ([FKDQJH /LPLWHG 1&'(; ([FKDQJHEDVHG WUDGLQJ RI futures in various agricultural products, bullion, metals and oil & gas provides producers, end-users and intermediaries who are exposed to price risks in these commodities, a platform for locking-in future prices and thereby hedging their exposures. )XUWKHUPRUHFRPPRGLWLHVKDYHHPHUJHGDVDQDOWHUQDWLYHLQYHVWPHQWDYHQXHWRLQYHVWRUVORRNLQJIRUGLYHUVL¿FDWLRQRIWKHLU LQYHVWPHQWV5&/KDVHVWDEOLVKHGDSUHVHQFHLQYDULRXVDJULFXOWXUDOPDUNHWV µmandis’) and centres where physical trading in RWKHUFRPPRGLWLHVWDNHVSODFHLQDGGLWLRQWR¿QDQFLDOFHQWUHVZKHUHLQYHVWRUVDUHFRQFHQWUDWHGWRIDFLOLWDWHKHGJLQJRISULFHULVNV and to provide a convenient means of investing in an emerging asset class. Ancillary Services 5%/LVDOVRD7,1 7D[,QIRUPDWLRQ1HWZRUN DQG3$1 ,QFRPH7D[3HUPDQHQW$FFRXQW1XPEHU IDFLOLWDWLRQ SDUWQHURI16'/DQGRIIHUVVHUYLFHVUHODWLQJWR3$17$1 7D['HGXFWLRQDQG&ROOHFWLRQ$FFRXQW1XPEHU DQG¿OLQJRI7'6 7&6 7D['HGXFWLRQ DW 6RXUFH7D[&ROOHFWLRQ DW 6RXUFH UHWXUQV DW VHOHFW EUDQFKHV WR KHOS LWV FXVWRPHUV IXO¿O WKHLU PDMRU ¿QDQFLDOVHUYLFHVQHHGVXQGHUDVLQJOHURRI5%/LVDOVRHPSDQHOOHGZLWK8QLTXH,GHQWL¿FDWLRQ$XWKRULW\RI,QGLDDVDQ(QUROPHQW $JHQF\IRUJHQHUDWLRQRI$DGKDDUZLWK(PXGUDDV5HJLVWHULQJ$XWKRULW\$JHQWIRULVVXDQFHRI'LJLWDO6LJQDWXUH&HUWL¿FDWH DQG LV DQ$0), UHJLVWHUHG PXWXDO IXQG GLVWULEXWRU 5%/ LV DOVR UHJLVWHUHG DV 3RLQW RI 3UHVHQFH 323 ZLWK 3HQVLRQ )XQG 5HJXODWRU\'HYHORSPHQW$XWKRULW\ µ3)5'$¶ XQGHU3)5'$3RLQWRI3UHVHQFH5HJXODWLRQVDQGZLWK,QVXUDQFH5HJXODWLRQ & Development Authority as a composite corporate agent to distribute insurance products. The services of the Retail Broking business are targeted at various categories of non-institutional investors, including high net ZRUWKLQGLYLGXDOVDQGIDPLO\RI¿FHVKLJKYROXPHWUDGHUVDQGDUELWUDJHXUVVDYY\PDVVDIÀXHQWLQYHVWRUVDQGRFFDVLRQDOLQYHVWRUV To meet the trading and investing needs of such a diverse set of clients, the business has developed product propositions for every type of client, ranging from personalised full-service offerings for high net worth individuals to execution-only services that operate without any face-to-face contact for occasional investors. Religare is the pioneer of building a nation-wide network of EUDQFKHVWRUHDFKRXWWRLQYHVWRUVDQGWKLVFRQWLQXHVWRUHPDLQDPDMRUVWUHQJWK DVDW0DUFKWKHSK\VLFDOSUHVHQFH of the Retail Broking business comprised more than 1,100 branches, of which 91 are owned branches and more than 1,000 are Business Partner locations. In addition, RBL has built nine specialised dealing rooms to facilitate trading over the phone and these dealing rooms have been located in various cities across India to provide regional language support to customers. 5HOLJDUHKDVDOZD\VEHHQDWWKHFXWWLQJHGJHRIWUDGLQJWHFKQRORJ\,QDGGLWLRQWRWKH³EULFNDQGPRUWDU´EUDQFKFKDQQHOWKH 5HWDLO%URNLQJEXVLQHVVSURYLGHVLWVFOLHQWVWKHDELOLW\WRWUDGHRYHUWKHSKRQH ³&DOO17UDGH´ RQWKHLQWHUQHW WKURXJKLWVSRUWDO ZZZUHOLJDUHRQOLQHFRP DQGXVLQJIHDWXUHULFKDSSVRQWKHOHDGLQJPRELOHSKRQHSODWIRUPV WKURXJKLWVDSSOLFDWLRQ³'\QDPL´ 5%/KDVHQWHUHGLQWRWLHXSVZLWKYDULRXVEDQNV±NQRZQDVWKHµ%DQFLQYHVW¶FKDQQHO±ZKHUHE\5%/SURYLGHVRQOLQHWUDGLQJ facilities to the banks’ customers by integrating RBL’s trading platform with the banks’ internet banking platform. RBL’s partner banks currently include Andhra Bank, Bank of Maharashtra, Corporation Bank, Dhanlaxmi Bank Limited, IndusInd Bank Limited, .DUXU9\V\D%DQN/LPLWHG6DUDVZDW&RRSHUDWLYH%DQN/LPLWHG6RXWK,QGLDQ%DQN/LPLWHG7DPLOQDGX0HUFDQWLOH%DQN/LPLWHG 7KH9LMD\&R2SHUDWLYH%DQN/WG8&2%DQNDQG8QLRQ%DQNRI,QGLD Operational Performance )<ZDVDVWURQJ\HDUIRUWKHHTXLW\PDUNHWDVWUDGLQJYROXPHVLQFUHDVHGHDFKTXDUWHUDQGDYHUDJHGDLO\WXUQRYHU IRU)<ZDV`ODNKFURUH7KHVKDUHRIWKHORZHU\LHOGLQJ)XWXUHV 2SWLRQVVHJPHQWZLWKWKHRYHUDOOPDUNHWWXUQRYHU was at 95% from 94% during the earlier year and the share of the better yielding cash equities segment was 5% with adverse implications continuing for blended yields. RBL’s total traded volume was `ODNKFURUHLQ)<FRPSDUHGWR`11.89 lakh FURUHLQ)< Over the last few years, the industry has undergone structural changes and in response to the changing structure of the industry, RXU5HWDLO%URNLQJEXVLQHVVKDVDOWHUHGLWVRSHUDWLQJPRGHOWREHFRPHDQDVVHWOLJKWÀH[LEOHDQGSUHGLFWDEOHEXVLQHVV'XULQJ the year, we re-evaluated a large number of our Business Partner relationships. Consequently, the number of Business Partners was reduced to 1,058 as at March 31, 2018, as against 1,119 at the end of the earlier year. However, the distribution footprint has not been compromised and our Retail Broking business continues to be present in 404 cities and towns and services close WRPLOOLRQXQLTXHFXVWRPHUV7KH¿QDQFLDOFKDOOHQJHVDWWKHJURXSOHYHOKDYHDGYHUVHO\DIIHFWHGWKHSHUFHSWLRQRIWKH5HWDLO Broking business in the eyes of its counterparties and impeded the growth of the business. 'XULQJWKH¿QDQFLDO\HDUHQGHG0DUFK5%/¶VFUHGLWUDWLQJVZHUHGRZQJUDGHGGXHWRVLJQL¿FDQWGHWHULRUDWLRQRIWKH ¿QDQFLDOÀH[LELOLW\RIWKHJURXSDVDZKROH6KRUWWHUPUDWLQJIRU5%/¶VFRPPHUFLDOSDSHUSURJUDPPH IRUDQDPRXQWRI`1,200 crore reduced to `FURUHDIWHUWKHHQGRIWKH¿QDQFLDO\HDU DQGVKRUWWHUPEDQNOLQHV IRUDQDPRXQWRI`600 crore) are rated µ>,&5$@$¶DQGDUHRQZDWFKZLWKGHYHORSLQJLPSOLFDWLRQV Annual Report 2017-18 57 3. Review of Financial Performance Consolidated Results of Operations Particulars FY2017-18 )< Growth % Amount % of total Amount % of total (` crore) income (` crore) income Revenue from Operations 2,586.76 96.05 3,771.76 98.20 (31.42) Other Income 106.38 3.95 69.26 1.80 53.60 Total Revenue 2,693.14 100.00 3,841.02 100.00 (29.88) Expenses (PSOR\HH%HQH¿WV([SHQVH 498.35 18.50 644.99 16.79 (22.74) )LQDQFH&RVWV 1,261.02 46.82 1,836.30 47.81 (31.33) 'HSUHFLDWLRQDQG$PRUWL]DWLRQ([SHQVH 37.61 1.40 30.97 0.81 21.44 Other Expenses 2,474.02 91.86 1,023.25 26.64 141.78 Total Expenses 4,270.99 158.59 3,535.50 92.05 20.80 3UR¿W /RVV EHIRUH([FHSWLRQDO,WHPV 7D[ (1,577.85) (58.59) 305.52 7.95 N.A. Exceptional Items Write Back of Provision for Diminution in the value --450.00 11.72 1$ of non-current Investments in a subsidiary Write off Investment in lieu of Reduction of Share ----1$ Capital by subsidiary company Provision for diminution in value of non-current --(15.00) (0.39) 1$ investment in a subsidiary 3UR¿WRQVDOHRIQRQFXUUHQWLQYHVWPHQWLQD-RLQW ----1$ 9HQWXUH 3UR¿W /RVV RQVDOHRILQYHVWPHQWLQVXEVLGLDULHV --(83.25) (2.17) 1$ 1HW Impairment of Goodwill on Consolidation ----1$ Loans / Sundry Balances written off --(793.67) (20.66) 1$ 3UR¿W /RVV DIWHU([FHSWLRQDO,WHPV EHIRUH (1,577.85) (58.59) (136.40) (3.55) N.A. Tax Tax Expenses (227.43) (8.44) (13.04) (0.34) 1$ 3UR¿W /RVV DIWHU7D[DQGEHIRUH0LQRULW\ (1,350.42) (50.14) (123.36) (3.21) N.A. Interest and Share in Associates 3UR¿W /RVV DWWULEXWDEOHWR0LQRULW\ (157.92) (5.86) 50.71 1.32 1$ 6KDUHRI3UR¿WLQ$VVRFLDWHV 1HW --(0.20) (0.01) 1$ 3UR¿W /RVV IRUWKH\HDU (1,192.50) (44.28) (174.27) (4.54) N.A. Exceptional Items, net of tax --(250.82) (6.53) 1$ 3UR¿W /RVV IRUWKH\HDUEHIRUH([FHSWLRQDO,WHPV --(76.55) (1.99) 1$ Earnings per equity share (`) Basic (66.84) (9.79) Diluted (66.84) (9.79) Note: 1. REL, RCML and RHC Holding Pvt. Ltd. have entered into a tripartite agreement that places severe long term restrictions RQ 5&0/ VLJQL¿FDQWO\ LPSDLULQJ LWV DELOLW\ WR WUDQVIHU IXQGV WR 5(/ 2ZLQJ WR WKLV UHVWULFWLRQ 5&0/¶V FRQVROLGDWHG ¿QDQFLDO VWDWHPHQWVKDYHEHHQH[FOXGHGIURP5(/¶VFRQVROLGDWHG¿QDQFLDOVWDWHPHQWVVLQFH2FWREHU 58 Religare Enterprises Limited Our income from operations was ` FURUH IRU WKH )< DV FRPSDUHG WR ` FURUH IRU WKH )< UHSUHVHQWLQJDGHFUHDVHRI:HUHFRUGHGµ/RVVEHIRUH([FHSWLRQDO,WHPV 7D[¶RI`FURUHDVFRPSDUHGWRµ3UR¿W before Exceptional Items & Tax’ of `FURUHIRU)</RVVIRU)<ZDV`1,192.50 as compared to Loss for )<ZDV`7KHLQFUHDVHLQORVVIRUWKH¿QDQFLDO\HDUHQGHG0DUFKLVSULPDULO\GXHWRDSURYLVLRQRI `1,018 crore made against the delinquent accounts from the corporate loan book of a subsidiary. We reported basic earnings per equity share of (` LQ)<DVDJDLQVWEDVLFHDUQLQJVSHUHTXLW\VKDUHRI ` LQ)<7KHFRQVROLGDWHG ¿QDQFLDOUHVXOWVDUHDUHÀHFWLRQRIWKHXQGHUO\LQJSHUIRUPDQFHRIWKHYDULRXVVHJPHQWVZKLFKKDYHEHHQDQDO\VHGEHORZ Segment-wise Performance Our income from operations is comprised of income from lending activities, income from insurance premium, income from EURNLQJRSHUDWLRQVLQWHUHVWLQFRPHIURP¿[HGGHSRVLWVZLWKEDQNVLQFRPHIURPQRQFXUUHQWLQYHVWPHQWVLQFRPHIURPFXUUHQW LQYHVWPHQWVLQWHUHVWLQFRPHIURPGHOD\HGSD\PHQWVSUR¿WRQDVVLJQPHQWRIORDQVLQFRPHIURPDGYLVRU\VHUYLFHVLQYHVWPHQW management and advisory fees and income from arbitrage and trading of securities and derivatives. $FRPSDULVRQRIWKHLQFRPHIURPRXURSHUDWLRQVLQ)<DQGLQ)<LVWDEXODWHGEHORZDQGDQDQDO\VLVRIWKH variance under the major heads between the two years follows thereafter. Particulars FY2017-18 )< Amount % of Total Amount % of Total (` crore) Income (` crore) Income Income from Lending Activities 1,358.58 50.45 2,415.94 62.90 ,QFRPHIURP,QVXUDQFH3UHPLXP 1HWRI3UHPLXPRQUHLQVXUDQFH 678.42 25.19 479.29 12.48 ceded) Income from Broking Operations 267.19 9.92 289.47 7.54 ,QWHUHVW,QFRPHIURP)L[HG'HSRVLWVZLWK%DQNV 76.48 2.84 53.56 1.39 ,QFRPHIURP1RQ&XUUHQW,QYHVWPHQWV 69.19 2.57 63.75 1.66 Income from Current Investments 57.35 2.13 70.92 1.85 Interest Income from Delayed Payments 53.69 1.99 72.15 1.88 3UR¿WRQ$VVLJQPHQWRI/RDQV 19.72 0.73 33.36 0.87 Income from Advisory Services 3.29 0.12 10.01 0.26 ,QYHVWPHQW0DQDJHPHQWDQG$GYLVRU\)HHV 2.55 0.09 272.26 7.09 Income from Arbitrage and Trading of Securities and Derivatives 0.29 0.01 7.80 0.20 1HW Total 2,586.76 96.05 3,771.76 98.20 Income from Lending Activities 2XU VXEVLGLDU\ 5)/ EHLQJ DQ 1%)& RIIHUV OHQGLQJ SURGXFWV 7KH LQWHUHVW LQFRPH IURP RXU OHQGLQJ RSHUDWLRQV GHFUHDVHG by 43.77% to `FURUHIRU)<FRQVWLWXWLQJRIRXUWRWDOLQFRPHIURP` FURUHIRU)< FRQVWLWXWLQJ RIRXUWRWDOLQFRPH%HORZLVDFRPSDULVRQRIWKHFRQVWLWXHQWVRILQFRPHIURP¿QDQFLQJDFWLYLW\ Particulars FY2017-18 )< Amount % of Total Amount % of Total (` crore) Income (` crore) Income 60()LQDQFLQJ - SME-Secured 962.90 35.75 1,560.65 40.63 - SME-Unsecured 122.96 4.57 262.01 6.82 - Others 0.18 0.01 1.56 0.04 Annual Report 2017-18 59 Particulars FY2017-18 )< Amount % of Total Amount % of Total (` crore) Income (` crore) Income &DSLWDO0DUNHW)LQDQFLQJ - Loan Against Securities 20.86 0.77 76.69 2.00 ,32)XQGLQJ 0.01 0.01 2.26 0.06 Housing Loan 132.83 4.93 138.14 3.60 Other Loans 118.84 4.41 374.63 9.75 Total 1,358.58 50.45 2,415.94 62.90 SME Financing SME-Secured: Interest income from SME-Secured portfolio decreased by 38% to ` FURUHIRU)<DVFRPSDUHG to `FURUHIRU)<PDLQO\GXHWRGHFUHDVHLQDYHUDJHERRNVL]HDQGUHYHUVDORILQWHUHVWLQFRPHGXHWRORDQV EHFRPLQJ QRQSHUIRUPLQJ7RWDO%RRN 6L]H QHW RI UHSD\PHQWV DVVLJQPHQWV DV DW 0DUFK ZDV `6,495 crore as compared to `FURUHDVDW0DUFK60(6HFXUHGLVDZHOOGLYHUVL¿HGSRUWIROLRFRYHULQJFXVWRPHUVIURPRYHU different industries. The product is well secured with asset coverage of around 2x. SME-Unsecured 7KHUHYHQXHJHQHUDWHGWKURXJKWKLVDFWLYLW\GHFUHDVHGWR`123 crore constituting 4.57% of our total income IRU)<IURP`FURUHFRQVWLWXWLQJRIRXUWRWDOLQFRPHIRU)<7RWDOERRNVL]H QHWRIUHSD\PHQWV assignments) as at March 31, 2018 was `530 crore. Others µ2WKHUV¶UHSUHVHQWVWKHHUVWZKLOH60(&RPPHUFLDO$VVHWVEXVLQHVVOLQHZKLFKKDVEHHQGLVFRQWLQXHG,QWHUHVWLQFRPH IURPµ2WKHUV¶ZDV`FURUHIRU)<DVFRPSDUHGWR`FURUHIRU)<,QWHUHVWLQFRPHGHFUHDVHGLQ)< DVWKHSURGXFWKDVEHHQGLVFRQWLQXHGDQGERRNVL]H QHWRIUHSD\PHQWV DVVLJQPHQWV GHFUHDVHGIURP`5 crore as at March 31, 2017 to `0.1 crore as at March 31, 2018. Capital Market Financing:,QWHUHVWLQFRPHIURPRXUFDSLWDOPDUNHWV¿QDQFLQJDFWLYLWLHVZDV` FURUHIRU)<DV compared to ` FURUHIRU)<SULPDULO\GXHWRGHFUHDVHLQWKHDYHUDJHERRNVL]H Income from Insurance Premium Income from Insurance Business was `FURUHIRU)<DVFRPSDUHGWR` FURUHIRU)<5+,&/¶V1HW Earned Premium increased by 41.55% to `FURUHIRU)<DVFRPSDUHGWR` FURUHIRU)<SULPDULO\ on account of increase in scale of operations. Broking Related Operations Our brokerage business receives commissions for equities, derivatives and commodities traded on the exchanges on behalf of clients; earns fees from distribution of third party products such as mutual funds and insurance; generates income from depository operations; and recovers transactions fees from clients. The income arising out of our broking activities was ` FURUHIRU)<FRQVWLWXWLQJ RIRXUWRWDOLQFRPHDV compared to ` FURUHIRU)<FRQVWLWXWLQJRIRXUWRWDOLQFRPH7DEXODWHGEHORZDUHWKHGHWDLOVRIFRQVWLWXHQWV of our broking income. Particulars FY2017-18 )< Amount % of Total Amount % of Total (` crore) Income (` crore) Income Equities & Currencies 175.05 6.50 180.89 4.71 Others 34.54 1.28 45.20 1.18 5HFRYHU\RI7UDQVDFWLRQ)HHVIURP&OLHQWV 31.36 1.16 31.11 0.81 Commodities 15.62 0.58 20.24 0.53 Income from Depository Operations 10.61 0.39 12.03 0.31 Total 267.19 9.92 289.47 7.54 60 Religare Enterprises Limited (TXLWLHV &XUUHQFLHV Our income from equity & currency broking operations decreased by 3.23% to `175.05 crore for )<IURP` FURUHIRU)<SULPDULO\GXHWRDGHFUHDVHLQUHWDLODYHUDJHGDLO\WXUQRYHU Commodities: The revenue from our commodities broking activities decreased from `FURUHIRU)<WR`15.62 crore IRU)<SULPDULO\GXHWRDGHFUHDVHLQDYHUDJHGDLO\YROXPHRIWUDGHVH[HFXWHGRQWKHH[FKDQJHV Other Income Other income primarily includes balances written back/bad debts and loans written off recovered, reversal of earlier years’ SURYLVLRQIRUGRXEWIXOGHEWVH[SHQVHV13$VLQWHUHVWLQFRPHRQORDQVDQG¿[HGGHSRVLWVZLWKEDQNVHWF2XURWKHULQFRPH increased to `FURUHGXULQJ)<FRQVWLWXWLQJ RIRXUWRWDOLQFRPHIRUVXFKSHULRGDVFRPSDUHGWR`69.26 crore IRU)<FRQVWLWXWLQJRIRXUWRWDOLQFRPHIRUVXFKSHULRG%HORZLVDFRPSDULVRQRIWKHFRPSRQHQWVRIRXU2WKHU ,QFRPHGXULQJ)<ZLWKWKDWLQ)< Particulars FY2017-18 )< Amount % of Total Amount % of Total (` crore) Income (` crore) Income %DODQFHV:ULWWHQ%DFN 1HW %DG'HEWVDQG/RDQVZULWWHQRII 55.84 2.07 20.45 0.53 recovered Interest Income On- Inter Corporate Loans 9.05 0.34 11.99 0.31 )L[HG'HSRVLWVZLWK%DQNV 5.40 0.20 7.57 0.20 Others 0.08 0.003 0.46 0.01 Miscellaneous Income 15.07 0.56 12.14 0.32 5HYHUVDORI(DUOLHU 3UR¿WRQ6DOHRI$VVHWV$FTXLUHG,Q6DWLVIDFWLRQ2I'HEW 1HW - - 0.16 0.01 3UR¿WRQ6DOHRI)L[HG$VVHWV 0.39 0.01 - - 3UR¿WRQ6DOHRI&DSLWDO:RUN,Q3URJUHVV 0.37 0.01 - - Total 106.38 3.95 69.26 1.80 Key Ratios ` crore FY2017-18 )< Total Revenue 2,693.14 3,841.02 EBITDA (279.22) 2,172.79 Margin (%) (10.37) 56.57 3UR¿W%HIRUH([FHSWLRQDO,WHPVDQG7D[ (1,577.85) 305.52 Margin (%) (58.59) 7.95 PAT (1,192.50) (174.27) Margin (%) (44.28) (4.54) Annual Report 2017-18 61 4. Human Resources – Contribution to Business Success Human Resource function focused on employee communication, enhancing productivity and optimisation of people resources across group companies. Our continued belief in people being key differentiators has guided our key initiatives towards leveraging SRWHQWLDORINH\HPSOR\HHVWRWDNHDGGLWLRQDOUHVSRQVLELOLWLHVDQGKHOSWKHRUJDQL]DWLRQDFKLHYHLWVEXVLQHVVJRDOV2XUOHDGHUVKLS and senior management team focused on employee communication and participated in several employee communication initiatives through multiple town halls, social media and e-channels and one on one meeting to ensure that employees are aligned to the group’s business strategy. Our group wide Human Resource initiatives including employee engagement activities, talent management initiatives and employee reward and recognition initiatives have been the key delivery areas along with reviewing and aligning group wide HR practices in line with group’s philosophy. In our continuous effort to provide improved employee experience and support to business we have been continuously investing in Human Resource technology platforms. The Human Resource function has been a strategic enabler for the business and is committed to promote a high performing culture and protect the interest of all stakeholders. 62 Religare Enterprises Limited 5HSRUWRQ&RUSRUDWH*RYHUQDQFHIRU)< In compliance with Regulation 34(3) read with schedule V of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing Regulations”), the Company submits the Corporate Governance Report for the year ended 31st March, 2018: 1. COMPANY’S PHILOSOPHY ON CORPORATE GOVERNANCE The Company is committed to ensure that all stakeholders’ interests are protected, by continuously striving to increase the HI¿FLHQF\RIWKHRSHUDWLRQVDVZHOODVWKHV\VWHPVDQGSURFHVVHVIRUXVHRIFRUSRUDWHUHVRXUFHV7KH&RPSDQ\DLPVDW DFKLHYLQJQRWRQO\WKHKLJKHVWSRVVLEOHVWDQGDUGVRIOHJDODQGUHJXODWRU\FRPSOLDQFHVEXWDOVRRIHIIHFWLYHPDQDJHPHQW While working to enhance the corporate value of the group in the medium to long term, we place the highest importance on VWUHQJWKHQLQJDQGIXUWKHUGHYHORSLQJ\RXUFRPSDQ\¶VFRUSRUDWHJRYHUQDQFHLQLWLDWLYHV7KHFRUSRUDWHVWUXFWXUHEXVLQHVV and disclosure practices have been aligned to Corporate Governance Philosophy, transparency, accountability, fairness and LQWHQVLYHFRPPXQLFDWLRQZLWKVWDNHKROGHUVZKLFKDUHLQWHJUDOWR\RXUFRPSDQ\¶VIXQFWLRQLQJ:HEHOLHYHLQSHUIRUPDQFH RULHQWHGV\VWHPV:HDFFRUGKLJKHVWSULRULW\WRWKHVHV\VWHPVDQGSURWHFWWKHLQWHUHVWVRIDOOVKDUHKROGHUVSDUWLFXODUO\WKH PLQRULW\VKDUHKROGHUV The Board of Directors, guided by above philosophy, formulate strategies and policies having focus on optimizing value IRUYDULRXVVWDNHKROGHUVOLNHFRQVXPHUVVKDUHKROGHUVDQGWKHVRFLHW\DWODUJH S. No. Category No. of Directors 1 Executive Director (Whole Time Director in the capacity of Director - Finance) 1 2 Non-Executive, Independent Director ( including Woman Director)* 7 3 Other Non- Executive Director (including Nominee Director)* Nil Total 8 1RQHRIWKH1RQ([HFXWLYH'LUHFWRUVDUHUHVSRQVLEOHIRUWKHGD\WRGD\DIIDLUVRIWKH&RPSDQ\ The details relating to Composition & Category of Directors, Directorships held by them in other companies and their membership and chairmanship on various Committees of Board of other companies, as on March 31, 2018 are as follows: S. Name of the Director DIN Category No. of Directorships No. of Memberships/ No. held in other Chairmanships Companies in various other (other than Board Committees in Religare (other than Religare Enterprises Enterprises Limited) Limited) Member Chairman 1 0U9LNUDP7DOZDU1 00416236 Independent Non- 110 Executive Director 2 0U39LMD\D%KDVNDU2 06629884 Independent Non- 822 Executive Director Annual Report 2017-18 63 S. Name of the Director DIN Category No. of Directorships No. of Memberships/ No. held in other Chairmanships Companies in various other (other than Board Committees in Religare (other than Religare Enterprises Enterprises Limited) Limited) Member Chairman 3 0U3DGDP1DUDLQ 01314395 Independent Non- 521 Bahl3 Executive Director 4 0U'HHSDN 01312836 Independent Non- 000 Ramchand Sabnani4 Executive Director 5 0U5DPD.ULVKQD 01521858 Independent Non- 530 Shetty5 Executive Director 6 0UV6DELQD9DLVRKD6 00207306 Independent Non- 720 Executive Director 7 0U$VKRN0HKWD7 00199165 Independent Non- 12 0 0 Executive Director 8 0U.ULVKQDQ 08038047 Executive Director 4 0 0 Subramanian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otes: , 7KH ,QGHSHQGHQFH RI D 'LUHFWRU LV GHWHUPLQHG E\ WKH FULWHULD VWLSXODWHG XQGHU 5HJXODWLRQ E RI WKH 6(%, /LVWLQJ 5HJXODWLRQV 6HFWLRQ RI WKH$FW$OO WKH ,QGHSHQGHQW 'LUHFWRUV KDYH FRQ¿UPHG WKDW WKH\ PHHW WKH FULWHULD RI LQGHSHQGHQFHDVPHQWLRQHGXQGHUWKH5HJXODWLRQ E RIWKH6(%,/LVWLQJ5HJXODWLRQV ,, 1RQH RI WKH GLUHFWRUV RI WKH &RPSDQ\ KROGV RI¿FH RI GLUHFWRUVKLS LQ PRUH WKDQ FRPSDQLHV7KLV LQFOXGHV DOWHUQDWH directorship but does not include the directorships held in Foreign Companies, dormant companies and companies under 6HFWLRQRIWKH$FW ,,, 7KH&RPPLWWHHVFRQVLGHUHGIRUWKHSXUSRVHDUHWKRVHSUHVFULEHGXQGHU5HJXODWLRQRIWKH6(%,/LVWLQJ5HJXODWLRQVYL] $XGLW&RPPLWWHHDQG6WDNHKROGHUV¶5HODWLRQVKLS&RPPLWWHHRI,QGLDQ3XEOLF/LPLWHG&RPSDQLHV ,9 1RQHRIWKH1RQ([HFXWLYH'LUHFWRUVKDYHDQ\PDWHULDOSHFXQLDU\UHODWLRQVKLSRUWUDQVDFWLRQVZLWKWKH&RPSDQ\ 9 1RQHRIWKH'LUHFWRUVRQWKH%RDUGLVD0HPEHURIPRUHWKDQ&RPPLWWHHVRU&KDLUPDQRIPRUHWKDQ&RPPLWWHHV DV VSHFL¿HGLQ5HJXODWLRQRIWKH6(%,/LVWLQJ5HJXODWLRQV DFURVVDOOWKHSXEOLFFRPSDQLHVLQZKLFKWKHSHUVRQLVD'LUHFWRU Necessary disclosures regarding Committee positions in other Public Limited Companies as on March 31, 2018 have been PDGHE\WKH'LUHFWRUV 9, 1RGLUHFWRUVRIWKH&RPSDQ\DUHKROGLQJSRVLWLRQRI,QGHSHQGHQW'LUHFWRULQPRUHWKDQVHYHQOLVWHGFRPSDQLHV 9,, $VUHTXLUHGXQGHUVHFRQGSURYLVRWR6HFWLRQ RIWKH$FW0UV6DELQD9DLVRKDD:RPDQ'LUHFWRUKDVEHHQDSSRLQWHG DVDQ,QGHSHQGHQW'LUHFWRURQWKH%RDUGRIWKH&RPSDQ\ 9,,, :KROH7LPH'LUHFWRURIWKH&RPSDQ\LVQRWKROGLQJSRVLWLRQRI,QGHSHQGHQW'LUHFWRULQPRUHWKDQWKUHHOLVWHGHQWLWLHV 64 Religare Enterprises Limited B. BOARD MEETINGS & ATTENDANCE 0LQLPXPIRXUSUHVFKHGXOHG%RDUGPHHWLQJVDUHKHOGDQQXDOO\$GGLWLRQDO%RDUGPHHWLQJVDUHFRQYHQHGE\JLYLQJ DSSURSULDWH QRWLFH WR DGGUHVV WKH &RPSDQ\¶V VSHFL¿F QHHGV 'DWHV RI %RDUG 0HHWLQJV DUH ¿[HG LQ DGYDQFH DQG agenda papers are circulated to Directors generally one week before the meeting except in cases where meetings are KHOGRQVKRUWHUQRWLFHSHULRG(DFKDJHQGDLWHPLVSURYLGHGZLWKVXI¿FLHQWEDFNJURXQGDQGDOOPDWHULDOLQIRUPDWLRQ LVLQFRUSRUDWHGLQWKHDJHQGDSDSHUVIRUIDFLOLWDWLQJPHDQLQJIXODQGIRFXVHGGLVFXVVLRQVDWWKHPHHWLQJ:KHUHLWLV QRWSUDFWLFDEOHWRDWWDFKDQ\GRFXPHQWWRWKHDJHQGDLWLVWDEOHGEHIRUHWKHPHHWLQJZLWKVSHFL¿FUHIHUHQFHWRWKLV HIIHFWLQWKHDJHQGD,QVSHFLDODQGH[FHSWLRQDOFLUFXPVWDQFHVDGGLWLRQDORUVXSSOHPHQWDU\LWHP V RQWKHDJHQGDDUH SHUPLWWHG9LGHRFRQIHUHQFLQJRURWKHUDXGLRYLVXDOIDFLOLWLHVDUHXVHGWRIDFLOLWDWH'LUHFWRUVUHVLGLQJDEURDGRUZKRDUH QRWDEOHWRDWWHQGPHHWLQJVSK\VLFDOO\LQ,QGLDDQGSUHVHQWDWRWKHUORFDWLRQVWRSDUWLFLSDWHLQWKHPHHWLQJV,QFDVHRI H[LJHQFLHVRUXUJHQFLHVUHVROXWLRQVDUHFRQVLGHUHGE\&LUFXODWLRQDVZHOO 7KH%RDUGLVJLYHQSUHVHQWDWLRQVFRYHULQJWKH&RPSDQ\¶VPDMRUEXVLQHVVVHJPHQWVDQGWKHLURSHUDWLRQVRYHUYLHZ RIEXVLQHVVRSHUDWLRQVRIPDMRUVXEVLGLDU\FRPSDQLHVJOREDOEXVLQHVVHQYLURQPHQWWKH&RPSDQ\¶VEXVLQHVVDUHDV including business opportunities and strategy and risk management practices before taking on record the Company’s TXDUWHUO\DQQXDO¿QDQFLDOUHVXOWV 1HZ GLUHFWRUV WR EH LQGXFWHG DUH LGHQWL¿HG E\ 1RPLQDWLRQ DQG 5HPXQHUDWLRQ &RPPLWWHH DQG XSGDWHG E\ VHQLRU management regarding the Company’s business and operations, governing documents, detailed business strategy for YDULRXVEXVLQHVVHVLQIRUPDWLRQRQNH\SHUVRQQHODQG¿QDQFLDOLQIRUPDWLRQWKURXJKSHUVRQDORULHQWDWLRQLQVHSDUDWH PHHWLQJV 'XULQJWKH¿QDQFLDO\HDUeight (8) %RDUGPHHWLQJVZHUHKHOG -XQH $XJXVW1RYHPEHU 1RYHPEHU-DQXDU\)HEUXDU\)HEUXDU\DQG0DUFK7LPHJDS EHWZHHQWZRFRQVHFXWLYHERDUGPHHWLQJVZDVQRWPRUHWKDQGD\V1RWLFHVRIWKH%RDUGPHHWLQJDUHJHQHUDOO\ JLYHQDWOHDVWGD\VEHIRUHWKHPHHWLQJH[FHSWIHZPHHWLQJVZKLFKZHUHKHOGDWVKRUWHUQRWLFHSHULRG 7KHODVW$QQXDO*HQHUDO0HHWLQJRIWKH&RPSDQ\ZDVKHOGRQ6HSWHPEHU Details of attendance of Directors at various Board Meetings and at the Annual General Meeting held during the ¿QDQFLDO\HDUDUHDVXQGHU S. No. Name of Director No. of Board meetings Whether attended last attended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nnual Report 2017-18 65 S. No. Name of Director No. of Board meetings Whether attended last attended AGM 19 0U$VKRN0HKWD17 3/3 NA 20 0U.ULVKQDQ6XEUDPDQLDQ18 3/3 NA 15HVLJQHGDV'LUHFWRUZHI)HEUXDU\ 25HVLJQHGDV'LUHFWRUZHI-DQXDU\ 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 45HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 55HVLJQHGDV'LUHFWRUZHI-DQXDU\ 65HVLJQHGDV'LUHFWRUZHI1RYHPEHU 75HVLJQHGDV'LUHFWRUZHI-XO\ 8$SSRLQWHGDV'LUHFWRUZHI1RYHPEHU5HVLJQHGDV'LUHFWRURQ'HFHPEHU ZKLFKJRWHIIHFWLYHRQ -DQXDU\XSRQFRQ¿UPDWLRQIURPWKH5HVHUYH%DQNRI,QGLD ³5%,´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nformation available to the Board During the year 2017-18, minimum information as mentioned in Schedule II of the SEBI Listing Regulations, wherever DSSOLFDEOHKDVEHHQSODFHGEHIRUHWKH%RDUGIRULWVFRQVLGHUDWLRQ The aforesaid information is generally provided as a part of the agenda of the board meeting and/or is placed at the WDEOHGXULQJWKHFRXUVHRIWKHPHHWLQJ.H\0DQDJHULDO3HUVRQQHODQGRWKHUVHQLRUPDQDJHPHQWVWDIIDUHDOVRLQYLWHG WRWKH%RDUG0HHWLQJVWRSUHVHQWUHSRUWVRQWKH&RPSDQ\¶VRSHUDWLRQVDQGLQWHUQDOFRQWUROV\VWHPV7KH&RPSDQ\ 6HFUHWDU\ LQ FRQVXOWDWLRQ ZLWK WKH &KDLUPDQ SUHSDUHV WKH DJHQGD ,Q VSHFLDO DQG H[FHSWLRQDO FLUFXPVWDQFHV DGGLWLRQDORUVXSSOHPHQWDU\LWHP V RQWKHDJHQGDDUHSHUPLWWHGWREHWDNHQXSDVµDQ\RWKHULWHP¶)XUWKHUWKH%RDUG SHULRGLFDOO\UHYLHZV&RPSOLDQFH5HSRUWVLQUHVSHFWRIODZVDQGUHJXODWLRQVDSSOLFDEOHWRWKH&RPSDQ\ Separate Meeting of Independent Directors & Familiarization Programme for Independent Directors 'XULQJ)LQDQFLDO 66 Religare Enterprises Limited 3. COMMITTEES OF THE BOARD 7KH%RDUGKDVFRQVWLWXWHG&RPPLWWHHVYL]$XGLWDQG*RYHUQDQFH&RPPLWWHH1RPLQDWLRQDQG5HPXQHUDWLRQ&RPPLWWHH Stakeholders Relationship Committee, Corporate Social Responsibility Committee, Investment, Borrowing and Share $OORWPHQW&RPPLWWHH5LVN0DQDJHPHQW&RPPLWWHH$VVHW/LDELOLW\&RPPLWWHHDQG5376XE&RPPLWWHH Details of the role and composition of Board Committees constituted as per requirements of the Act and SEBI Listing 5HJXODWLRQVLQFOXGLQJQXPEHURIPHHWLQJVKHOGGXULQJWKH¿QDQFLDO\HDUDQGDWWHQGDQFHWKHUHDWDUHSURYLGHGEHORZ A. Audit and Governance Committee (i) Composition The Composition of the Audit and Governance Committee as at March 31, 2018 is as under: S. No. Name of Member/Chairman Position 1 0U39LMD\D%KDVNDU Chairman 2 0U9LNUDP7DOZDU Member 3 0U3DGDP1DUDLQ%DKO Member The Composition of the Committee and terms of reference are in compliance with Section 177 of the Act and 5HJXODWLRQRI6(%,/LVWLQJ5HJXODWLRQV7KH&KDLUPDQRIWKH&RPPLWWHHLVDQ,QGHSHQGHQW'LUHFWRU7KH &RPSDQ\6HFUHWDU\RIWKH&RPSDQ\DFWVDVWKH6HFUHWDU\RIWKH&RPPLWWHH$OOWKHPHPEHUVRIWKH&RPPLWWHH KDYHWKHDELOLW\WRUHDGDQGXQGHUVWDQGWKH)LQDQFLDO6WDWHPHQWV (ii) Terms of Reference: Primarily, the Audit and Governance Committee is responsible for: 2YHUVLJKW RI WKH &RPSDQ\¶V ¿QDQFLDO UHSRUWLQJ SURFHVV DQG WKH GLVFORVXUH RI LWV ¿QDQFLDO LQIRUPDWLRQ WR HQVXUHWKDWWKH¿QDQFLDOVWDWHPHQWLVFRUUHFWVXI¿FLHQWDQGFUHGLEOH 2) Recommending to the Board, the appointment, re-appointment and, if required, the replacement or removal RIWKHVWDWXWRU\DXGLWRUDQGWKH¿[DWLRQRIDXGLWIHHV $SSURYDORISD\PHQWWRVWDWXWRU\DXGLWRUVIRUDQ\RWKHUVHUYLFHVUHQGHUHGE\WKHVWDWXWRU\DXGLWRUV 5HYLHZLQJ ZLWK WKH PDQDJHPHQW WKH DQQXDO ¿QDQFLDO VWDWHPHQWV EHIRUH VXEPLVVLRQ WR WKH %RDUG IRU approval, with particular reference to: D 0DWWHUVUHTXLUHGEHLQJLQFOXGHGLQWKH'LUHFWRU¶V5HVSRQVLELOLW\6WDWHPHQWWREHLQFOXGHGLQWKH%RDUG¶V 5HSRUWLQWHUPVRIFODXVH F RIVXEVHFWLRQRI6HFWLRQRIWKH$FW E &KDQJHVLIDQ\LQDFFRXQWLQJSROLFLHVDQGSUDFWLFHVDQGUHDVRQVIRUWKHVDPH F 0DMRUDFFRXQWLQJHQWULHVLQYROYLQJHVWLPDWHVEDVHGRQWKHH[HUFLVHRIMXGJPHQWE\PDQDJHPHQW G 6LJQL¿FDQWDGMXVWPHQWVPDGHLQWKH¿QDQFLDOVWDWHPHQWVDULVLQJRXWRIDXGLW¿QGLQJV H &RPSOLDQFHZLWKOLVWLQJDQGRWKHUOHJDOUHTXLUHPHQWVUHODWLQJWR¿QDQFLDOVWDWHPHQWV I 'LVFORVXUHRIDQ\UHODWHGSDUW\WUDQVDFWLRQV J 4XDOL¿FDWLRQVLQWKHGUDIWDXGLWUHSRUW 5HYLHZLQJZLWKWKHPDQDJHPHQWWKHTXDUWHUO\¿QDQFLDOVWDWHPHQWVEHIRUHVXEPLVVLRQWRWKH%RDUGIRU DSSURYDO 6) Reviewing, with the management, the statement of uses / application of funds raised through an issue SXEOLFLVVXHULJKWVLVVXHSUHIHUHQWLDOLVVXHHWF WKHVWDWHPHQWRIIXQGVXWLOL]HGIRUSXUSRVHVRWKHUWKDQ those stated in the offer document/prospectus/notice and the report submitted by the monitoring agency monitoring the utilisation of proceeds of a public or rights issue, and making appropriate recommendations WRWKH%RDUGWRWDNHXSVWHSVLQWKLVPDWWHU 5HYLHZLQJLQGHSHQGHQFHDQGSHUIRUPDQFHRIDXGLWRUVHIIHFWLYHQHVVRIDXGLWSURFHVV Annual Report 2017-18 67 8) Reviewing the adequacy of internal audit function, if any, including the structure of the internal audit GHSDUWPHQWVWDI¿QJDQGVHQLRULW\RIWKHRI¿FLDOKHDGLQJWKHGHSDUWPHQWUHSRUWLQJVWUXFWXUHFRYHUDJHDQG IUHTXHQF\RILQWHUQDODXGLW 'LVFXVVLRQZLWKLQWHUQDODXGLWRUVDQ\VLJQL¿FDQW¿QGLQJVDQGIROORZXSWKHUHRQ 5HYLHZLQJWKH¿QGLQJVRIDQ\LQWHUQDOLQYHVWLJDWLRQVE\WKHLQWHUQDODXGLWRUVLQWRPDWWHUVZKHUHWKHUHLV suspected fraud or irregularity or a failure of internal control systems of a material nature and reporting the PDWWHUWRWKH%RDUG 11) Discussion with statutory auditors before the audit commences, about the nature and scope of audit as well DVSRVWDXGLWGLVFXVVLRQWRDVFHUWDLQDQ\DUHDRIFRQFHUQ 12) To look into the reasons for substantial defaults in the payment to the depositors, debenture holders, VKDUHKROGHUV LQFDVHRIQRQSD\PHQWRIGHFODUHGGLYLGHQGV DQGFUHGLWRUV $SSURYDORIDSSRLQWPHQWRI&)2 LHWKH:KROH7LPH)LQDQFH'LUHFWRURUDQ\RWKHUSHUVRQKHDGLQJWKH ¿QDQFHIXQFWLRQRUGLVFKDUJLQJWKDWIXQFWLRQ DIWHUDVVHVVLQJWKHTXDOL¿FDWLRQVH[SHULHQFH EDFNJURXQG HWFRIWKHFDQGLGDWH $SSURYDORUDQ\VXEVHTXHQWPRGL¿FDWLRQRIWUDQVDFWLRQVRIWKHFRPSDQ\ZLWKUHODWHGSDUWLHV 6FUXWLQ\RILQWHUFRUSRUDWHORDQVDQGLQYHVWPHQWV 9DOXDWLRQRIXQGHUWDNLQJVRUDVVHWVRIWKHFRPSDQ\ZKHUHYHULWLVQHFHVVDU\ (YDOXDWLRQRILQWHUQDO¿QDQFLDOFRQWUROVDQGULVNPDQDJHPHQWV\VWHPV 18) Reviewing, with the management, performance of statutory and internal auditors, adequacy of the internal FRQWUROV\VWHPV 7RUHYLHZWKHIXQFWLRQLQJRIWKH:KLVWOH%ORZHUPHFKDQLVP 6XFKRWKHUUROHIXQFWLRQVDVPD\EHVSHFL¿FDOO\UHIHUUHGWRWKH&RPPLWWHHE\WKH%RDUGRI'LUHFWRUVDQGRU RWKHUFRPPLWWHHVRI'LUHFWRUVRIWKH&RPSDQ\DQGVSHFL¿HGLQ6(%,/LVWLQJ5HJXODWLRQV (iii) Meetings and attendance during the year 'XULQJWKH¿QDQFLDO\HDUseven (7)PHHWLQJVRIWKH$XGLW&RPPLWWHHZHUHKHOG 0D\-XQH -XQH $XJXVW1RYHPEHU)HEUXDU\DQG0DUFK The attendances of Members at the meetings of the Committee held during the year are as follows: S. No. Name of the Member/Chairman No. of Meetings Attended 1 0U3DGDPNarain Bahl1 6/7 2 0U5DPD.ULVKQD6KHWW\2 6/6 3 0U5DVKL'KLU3 3/5 4 0U39LMD\D%KDVNDU4 1/1 5 0U9LNUDP7DOZDU5 1/1 6 0U.ULVKQDQ6XEUDPDQLDQ6 1/1 15HVLJQHG'LUHFWRUZHI-XQH 25HVLJQHG'LUHFWRUZHI-XQH 35HVLJQHG'LUHFWRUZHI1RYHPEHU 4$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\IXUWKHUKHSDVVHGDZD\RQ0D\DQGWKHUHIRUHKH FHDVHGWREHD'LUHFWRUZHI0D\ 5$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\ 5$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ &KLHI ([HFXWLYH 2I¿FHU &KLHI )LQDQFLDO 2I¿FHU 3UHVLGHQW 7UHDVXU\ DQG UHSUHVHQWDWLYHV RI WKH 6WDWXWRU\ DQG ,QWHUQDO$XGLWRUVQRUPDOO\DWWHQGWKH$XGLW&RPPLWWHHPHHWLQJVE\LQYLWDWLRQ Separate Meeting with Statutory Auditors: As a good governance practice and in order to get the inputs and 68 Religare Enterprises Limited opinion of the Statutory Auditors, the Committee used to hold one separate one-to-one meeting with Statutory $XGLWRUVZLWKRXWWKHSUHVHQFHRIWKH0DQDJHPHQW B. Nomination and Remuneration Committee (i) Composition The Nomination and Remuneration Committee’s composition and terms of reference are in compliance with the SURYLVLRQVRIWKHVHFWLRQRIWKH$FWDQG5HJXODWLRQ RIWKH6(%,/LVWLQJ5HJXODWLRQV7KHFRPSRVLWLRQRI the Nomination and Remuneration Committee as at March 31, 2018 is as under:- S. No. Name of Member/Chairman Position 1 0U9LNUDP7DOZDU Chairman 2 0U5DPD.ULVKQD6KHWW\ Member 3 0U'HHSDN5DPFKDQG6DEQDQL Member &KDLUPDQRIWKH&RPPLWWHHLVDQ,QGHSHQGHQW'LUHFWRU7KH&RPSDQ\6HFUHWDU\RIWKH&RPSDQ\DFWVDVWKH 6HFUHWDU\RIWKH&RPPLWWHH (ii) Terms of Reference The role of the Nomination and Remuneration Committee includes: , )RUPXODWLRQVXSHULQWHQGHQFHDQGDGPLQLVWUDWLRQRI'LUHFWRU¶VDSSRLQWPHQW UHPXQHUDWLRQSROLF\ ,, )RUPXODWLRQ VXSHULQWHQGHQFH DQG DGPLQLVWUDWLRQ RI .H\ 0DQDJHULDO 3HUVRQQHO¶V DSSRLQWPHQW DQG UHPXQHUDWLRQSROLF\ ,,, )RUPXODWLRQVXSHULQWHQGHQFHDQGDGPLQLVWUDWLRQRI(PSOR\HHVUHPXQHUDWLRQSROLF\ ,9 )RUPXODWLRQVXSHULQWHQGHQFHDQGDGPLQLVWUDWLRQRI$QQXDO3HUIRUPDQFH(YDOXDWLRQ3ROLF\RIWKH%RDUG 9 2YHUVHHWKH&RPSDQ\¶VQRPLQDWLRQSURFHVVIRUWKHWRSOHYHOPDQDJHPHQWDQGVSHFL¿FDOO\WRLGHQWLI\VFUHHQ DQGUHYLHZLQGLYLGXDOVTXDOL¿HGWRVHUYHDVH[HFXWLYHGLUHFWRUVQRQH[HFXWLYHGLUHFWRUVDQGLQGHSHQGHQW directors consistent with the criteria approved by the Board and to recommend for approval by the Board QRPLQHHVIRUHOHFWLRQDWWKH$QQXDO*HQHUDO0HHWLQJRIWKH&RPSDQ\ 9, 6XSHULQWHQGHQFHDQGDGPLQLVWUDWLRQRIWKH(PSOR\HH6WRFN2SWLRQ6FKHPHVRIWKH&RPSDQ\ 9,, 6XFKRWKHUUROHIXQFWLRQVDVPD\EHVSHFL¿FDOO\UHIHUUHGWRWKH&RPPLWWHHE\WKH%RDUGRI'LUHFWRUVDQG RURWKHUFRPPLWWHHVRI'LUHFWRUVRIWKH&RPSDQ\RUPHQWLRQHGLQWKH6(%,/LVWLQJ5HJXODWLRQV (iii) Meetings and attendance during the year 'XULQJWKH¿QDQFLDO\HDU¿YH PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG -XQH 1RYHPEHU 1RYHPEHU-DQXDU\DQG)HEUXDU\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U0DOYLQGHU0RKDQ6LQJK1 4/4 2 0U3DGDPNarain Bahl2 5/5 3 0U'HHSDNRamchand Sabnani3 1/1 4 0U5DPD.ULVKQD6KHWW\4 5/5 5 0U9LUHQGUD.XPDU0DGDQ5 1/1 6 0U7HMSUHHW6LQJK&KRSUD6 1/4 15HVLJQHG'LUHFWRUZHI)HEUXDU\ 25HVLJQHGDV'LUHFWRUZHI-XQH 35HVLJQHGDV'LUHFWRUZHI0D\ 45HVLJQHGDV'LUHFWRUZHI-XQH 55HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 65HVLJQHGDV'LUHFWRUZHI-DQXDU\ Annual Report 2017-18 69 C. Stakeholders Relationship Committee (i) Composition 7KH 6WDNHKROGHUV 5HODWLRQVKLS &RPPLWWHH KDV EHHQ FRQVWLWXWHG WR VSHFL¿FDOO\ ORRN LQWR WKH UHGUHVVDO RI 6KDUHKROGHUVDQG,QYHVWRUVFRPSODLQWVDQGRWKHUVKDUHKROGHUVUHODWHGLVVXHV The composition of Stakeholders Relationship Committee as at March 31, 2018 is as under:- S. No. Name of the Member/Chairman Position 1 0UV6DELQD9DLVRKD Chairman 2 0U5DPD.ULVKQD6KHWW\ Member 3 0U.ULVKQDQ6XEUDPDQLDQ Member &KDLUPDQRIWKH&RPPLWWHHLVD1RQ±([HFXWLYH'LUHFWRU7KH&RPSDQ\6HFUHWDU\RIWKH&RPSDQ\DFWVDVWKH 6HFUHWDU\WRWKH&RPPLWWHH (ii) Terms of Reference The role of the Stakeholders Relationship Committee includes: 2YHUVHHLQJDQGUHYLHZLQJDOOPDWWHUVFRQQHFWHGZLWKVHFXULWLHVRIWKH&RPSDQ\ 5HGUHVVDORI6KDUHKROGHUV¶,QYHVWRUV¶'HEHQWXUHKROGHUV¶RWKHUVHFXULW\KROGHUVFRPSODLQWVTXHULHVUHODWHG WRWUDQVIHUWUDQVPLVVLRQFRQVROLGDWLRQVSOLWWLQJRIVKDUHVQRQUHFHLSWRI%DODQFH6KHHWGLYLGHQGHWF 2YHUVHHLQJ WKH SHUIRUPDQFH RI WKH 5HJLVWUDU DQG 7UDQVIHU $JHQW RI WKH &RPSDQ\ DQG UHFRPPHQGV PHDVXUHVIRURYHUDOOLPSURYHPHQWLQWKHTXDOLW\RI,QYHVWRUVHUYLFHV 6XFKRWKHUUROHIXQFWLRQVDVPD\EHVSHFL¿FDOO\UHIHUUHGWRWKH&RPPLWWHHE\WKH%RDUGRI'LUHFWRUVDQGRU RWKHUFRPPLWWHHVRI'LUHFWRUVRIWKH&RPSDQ\RUPHQWLRQHGLQWKH6(%,/LVWLQJ5HJXODWLRQV (iii) Meetings and attendance during the year During the year ended March 31, 2018, two (2)PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG±-XQH )HEUXDU\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U+DUSDO6LQJK1 0/1 2 0U5DPD.ULVKQD6KHWW\2 0/1 3 0U9LUHQGUD.XPDU0DGDQ3 1/1 4 0U$YLQDVK&KDQGHU0DKDMDQ4 1/1 5 0UV6DQJHHWD7DOZDU5 1/1 6 0UV6DELQD9DLVRKD6 1/1 7 0U.ULVKQDQ6XEUDPDQLDQ7 1/1 15HVLJQHGDV'LUHFWRUZHI-DQXDU\ 25HVLJQHGDV'LUHFWRUZHI-XQH 35HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 45HVLJQHGDV'LUHFWRUZHI1RYHPEHU 55HVLJQHGDV'LUHFWRUZHI-XO\ 6$SSRLQWHGDV'LUHFWRUZHI2FWREHU 7$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ 70 Religare Enterprises Limited The details of investor complaints received and resolved during the period April 1, 2017 to March 31, 2018 is as under: No. of Investor No. of Investor No. of Investor No. of Investor Complaints pending at the Complaints received Complaints resolved Complaints pending beginning of April 1, 2017 from April 1, 2017 to from April 1, 2017 to at the end of March March 31, 2018 March 31, 2018 31, 2018 021210 The Company addresses all complaints/grievances, suggestions and grievances expeditiously and replies have EHHQVHQWLVVXHVUHVROYHGZLWKLQGD\VIURPWKHGDWHRIORGJHPHQWRIFRPSODLQW¶VJULHYDQFHV 0UV5HHQD-D\DUD&RPSDQ\6HFUHWDU\LVWKH&RPSOLDQFH2I¿FHURIWKH&RPSDQ\ D. Corporate Social Responsibility Committee (i) Composition The Corporate Social Responsibility Committee of the Board (“CSR Committee”) has been constituted to oversee the CSR Policy of the Company and recommend and monitor the amount of expenditure to be incurred on the DFWLYLWLHVPHQWLRQHGLQWKH6FKHGXOH9,,RIWKH$FW7KHFRPSRVLWLRQRI&65&RPPLWWHHDVDW0DUFKLV as under:- S. No. Name of the Member/Chairman Position 1 0UV6DELQD9DLVRKD Member 2 0U5DPD.ULVKQD6KHWW\ Member 3 0U.ULVKQDQ6XEUDPDQLDQ Member (ii) Meetings and attendance during the year During the year ended March 31, 2018, two (2)PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG±-XQH DQG$XJXVW The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U+DUSDO6LQJK1 1/2 2 0U5DPD.ULVKQD6KHWW\2 2/2 3 0U$YLQDVK&KDQGHU0DKDMDQ3 2/2 4 0U5DVKL'KLU4 1/2 5 0UV6DQJHHWD7DOZDU5 1/1 15HVLJQHGDV'LUHFWRUZHI-DQXDU\ 25HVLJQHGDV'LUHFWRUZHI-XQH 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 45HVLJQHGDV'LUHFWRUZHI1RYHPEHU 55HVLJQHGDV'LUHFWRUZHI-XO\ E. Investment, Borrowing and Share Allotment Committee (i) Composition The Board of Directors decided to merge the Investment and Borrowing Committee and Share Allotment &RPPLWWHHDQGDFFRUGLQJO\UHQDPHGWKHVDPHDV,QYHVWPHQW%RUURZLQJDQG6KDUH$OORWPHQW&RPPLWWHHZHI -DQXDU\ The composition of Investment, Borrowing and Share Allotment Committee as at March 31, 2018 is as under:- S. No. Name of the Member/Chairman Position 1 0U9LNUDP7DOZDU Chairman 2 0U39LMD\D%KDVNDU Member 3 0U$VKRN0HKWD Member Annual Report 2017-18 71 (ii) Terms of Reference The amended Terms of Reference of the Committee are as under: L 7RLQYHVWWKHIXQGVRIWKH&RPSDQ\ ERUURZPRQLHVDQGPDNHORDQVLQWKHIRUPRIVXEVFULSWLRQDFTXLVLWLRQ purchase of securities, loans, Guarantees, (including Corporate and Counter Guarantee), Inter Corporate 'HSRVLWV>,&'V@LQ6XEVLGLDULHV-RLQW9HQWXUHVRURWKHUZLVHDQGSURYLGLQJVHFXULW\RQEHKDOIRIVXEVLGLDULHV DVPD\GHFLGHGE\WKH&RPPLWWHHIURPWLPHWRWLPHXSWR5V&URUHV DQGWRERUURZPRQLHVIURP Banks, other Bodies Corporate or Individuals in the form of term loan, ICD’s, Working Capital Loan or otherwise as may be decided by the members of the Committee from time to time up to `&URUHV LL 7R ORRN DIWHUWKH PDWWHUVSHUWDLQLQJ WR WKH LVVXH RIIHUDOORWPHQW DQG FDQFHOODWLRQ RI VHFXULWLHV LQFOXGLQJ ESOP/SAR/ Equity / Preference shares / instruments convertible into Equity Shares, whether optionally or otherwise and GDRs, of the Company, to make call on securities, to invite & accept further subscription PRQH\RQVHFXULWLHVWRLVVXHVKDUHFHUWL¿FDWHVUHFHLSWVWRUHGHHPFRQYHUWVHFXULWLHVDQGWRGRDOOVXFK DFWVGHHGVDQGWKLQJVDVPD\EHFRQVLGHUHGQHFHVVDU\DQGLQFLGHQWDOWKHUHWR (iii) Meetings and attendance during the year Share Allotment Committee (Till January 24, 2018) During the year ended March 31, 2018, one (1)PHHWLQJRIWKH&RPPLWWHHZDVKHOG±0D\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U+DUSDO6LQJK1 1/1 2 0U9LUHQGUD.XPDU0DGDQ2 1/1 3 0U5DVKL'KLU3 0/0 4 0UV6DELQD9DLVRKD4 0/0 15HVLJQHGDV'LUHFWRUZHI-DQXDU\ 25HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 4$SSRLQWHGDV'LUHFWRUZHI2FWREHU Investment, Borrowing & Share Allotment Committee During the year ended March 31, 2018, three (3)PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG±-XQH $XJXVW DQG)HEUXDU\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U+DUSDO6LQJK1 1/2 2 0U3DGDPNarain Bahl2 1/2 3 0U9LUHQGUD.XPDU0DGDQ3 2/2 4 0U5DVKL'KLU4 0/1 5 0U$VKRN0HKWD5 1/1 6 0U9LNUDP7DOZDU6 1/1 7 0U39LMD\D%KDVNDU7 0/1 8 0UV6DELQD9DLVRKD8 0/0 9 0U5DPDNULVKQD6KHWW\9 0/0 10 0U.ULVKQDQ6XEUDQDQLDQ10 0/0 15HVLJQHGDV'LUHFWRUZHI-DQXDU\ 25HVLJQHGDV'LUHFWRU-XQH 35HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 45HVLJQHGDV'LUHFWRUZHI1RYHPEHU 5$SSRLQWHGDV'LUHFWRUZHI-DQXDU\6XEVHTXHQWO\KHZDVUHGHVLJQDWHGDV:KROH7LPH'LUHFWRU DQG,QWHULP&(2RQ)HEUXDU\WRJHWHIIHFWLYHIURPGDWHRI5%,DSSURYDO+RZHYHUKHUHVLJQHGDV ,QGHSHQGHQW'LUHFWRURQ$SULODQGDSSRLQWHGDV,QWHULP&(2 ZLWKRXWEHLQJRQ%RDUG ZHI$SULO 2018 72 Religare Enterprises Limited 6$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\ 7$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\IXUWKHUSDVVHGDZD\RQ0D\DQGWKHUHIRUHKHFHDVHG WREH'LUHFWRUZHI0D\ 8$SSRLQWHGDV'LUHFWRUZHI2FWREHU 95HVLJQHGDV'LUHFWRUZHI-XQH 10$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ ) Risk Management Committee (i) Composition The Risk Management Committee has been constituted to review integrated risk of the company and to provide RSHUDWLRQDODQGSROLF\JXLGDQFHWRWKH&RPSDQ\ZKLFKSDYHVWKHZD\IRUDQHIIHFWLYHULVNPDQDJHPHQW7KH composition of Risk Management Committee as at March 31, 2018 is as under:- S. No. Name of the Member/Chairman Position 1 0U39LMD\D%KDVNDU Chairman 2 0U9LNUDP7DOZDU Member 3 0U3DGDPNarain Bahl Member (ii) Meetings and attendance during the year During the year ended March 31, 2018, two (2)PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG±-XQH DQG )HEUXDU\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U0DOYLQGHU0RKDQ6LQJK1 1/2 2 0U3DGDPNarain Bahl2 1/1 3 0U$YLQDVK&KDQGHU0DKDMDQ3 1/1 4 0UV6DQJHHWD7DOZDU4 1/1 5 0U.ULVKQDQ6XEUDPDQLDQ5 1/1 6 0U9LNUDP7DOZDU6 0/0 7 0U39LMD\D%KDVNDU7 0/0 15HVLJQHGDV'LUHFWRUZHI)HEUXDU\ 25HVLJQHGDV'LUHFWRUZHI-XQH 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 45HVLJQHGDV'LUHFWRUZHI-XO\ 5$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ 6$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\ 7$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\IXUWKHUSDVVHGDZD\RQ0D\DQGWKHUHIRUHKHFHDVHG WREH'LUHFWRUZHI0D\ G. Asset Liability Committee (i) Composition The Asset Liability Committee has been constituted to manage liquidity and interest rate risk and to put in place WKH$/0V\VWHPDQGWRGHFLGHWKHSURGXFWSULFLQJIRUWKHORDQVPDWXULW\SUR¿OHDQGPL[RIWKHLQFUHPHQWDODVVHWV DQGOLDELOLWLHV7KHFRPSRVLWLRQRI$VVHWV/LDELOLW\&RPPLWWHHDVDW0DUFKLVDVXQGHU S. No. Name of the Member/Chairman Position 1 0U9LNUDP7DOZDU Member 2 0U$VKRN0HKWD Member 3 0U5DPD.ULVKQD6KHWW\ Member 4 0U.ULVKQDQ6XEUDPDQLDQ Member Annual Report 2017-18 73 (ii) Meetings and attendance during the year During the year ended March 31, 2018, two (2)PHHWLQJVRIWKH&RPPLWWHHZHUHKHOG±-XQH DQG )HEUXDU\ The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name No. of Meetings attended 1 0U6KLYLQGHU0RKDQ6LQJK1 0/2 2 0U5DPD.ULVKQD6KHWW\2 1/1 3 0U$YLQDVK&KDQGHU0DKDMDQ3 1/1 4 0UV6DQJHHWD7DOZDU4 1/1 5 0U.ULVKQDQ6XEUDPDQLDQ5 1/1 6 0U9LNUDP7DOZDU6 0/0 7 0U39LMD\D%KDVNDU7 0/0 15HVLJQHGDV'LUHFWRUZHI)HEUXDU\ 25HVLJQHGDV'LUHFWRUZHI-XQH 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 45HVLJQHGDV'LUHFWRUZHI-XO\ 5$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ 6$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\ 7$SSRLQWHGDV'LUHFWRUZHI)HEUXDU\IXUWKHUSDVVHGDZD\RQ0D\DQGWKHUHIRUHKHFHDVHG WREH'LUHFWRUZHI0D\ H. RPT Sub-Committee (i) Composition RPT Sub-Committee has been constituted to monitor and regulate transactions between the Company and its 5HODWHG3DUWLHVLQWHUPVRIVKDUHKROGHUDJUHHPHQWZLWK,QWHUQDWLRQDO)LQDQFH&RUSRUDWLRQ7KHFRPSRVLWLRQRI RPT Sub-committee as at March 31, 2018 is as under:- S. No. Name of the Member/Chairman Position 1 0U3DGDPNarain Bahl Member 2 0U5DPD.ULVKQD6KHWW\ Member 3 0U.ULVKQDQ6XEUDPDQLDQ Member (ii) Meetings and attendance during the year During the year ended March 31, 2018, Two (2) meetings of the Committee were held –August 10, 2017 and 1RYHPEHU The attendances of Members at the meetings of the Committee held during the year are as follows:- S. No. Name of the Member/Chairman No. of Meetings attended 1 0U+DUSDO6LQJK1 2/2 2 0U$YLQDVK&KDQGHU0DKDMDQ2 1/2 3 0U5DVKL'KLU3 2/2 4 0U3DGDPNarain Bahl4 0/0 5 0U5DPD.ULVKQD6KHWW\5 0/0 6 0U.ULVKQDQ6XEUDPDQLDQ6 0/0 15HVLJQHGDV'LUHFWRUZHI-DQXDU\ 25HVLJQHGDV'LUHFWRUZHI1RYHPEHU 35HVLJQHGDV'LUHFWRUZHI1RYHPEHU 45HVLJQHGDV'LUHFWRUZHI-XQH 55HVLJQHGDV'LUHFWRUZHI-XQH 6$SSRLQWHGDV'LUHFWRUZHI-DQXDU\ 74 Religare Enterprises Limited 4. POLICIES ON APPOINTMENT & REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL AND OTHER EMPLOYEES 7KH 1RPLQDWLRQ DQG 5HPXQHUDWLRQ &RPPLWWHH ³15&´ KDV GHWHUPLQHG WKH FULWHULD WR LGHQWLI\ WKH 'LUHFWRUV DQG .H\ 0DQDJHULDO3HUVRQQHO .03 LQDFFRUGDQFHZLWKWKHFULWHULDODLGGRZQDQGUHFRPPHQGHGWRWKH%RDUGIROORZLQJSROLFLHV UHODWLQJWRWKHDSSRLQWPHQWDQGUHPXQHUDWLRQIRUWKH'LUHFWRUV.H\0DQDJHULDO3HUVRQQHODQGRWKHUHPSOR\HHVZKLFKZHUH approved by the Board: (PSOR\HH5HPXQHUDWLRQ3ROLF\ 'LUHFWRU¶V)LW 3URSHU3ROLF\ 'LUHFWRU¶V$SSRLQWPHQW 5HPXQHUDWLRQ3ROLF\ .03¶V$SSRLQWPHQW 5HPXQHUDWLRQ3ROLF\ Appointment NRC determines the criteria of appointment to the Board and is vested with the authority to identify candidates for appointment WRWKH%RDUGRI'LUHFWRUV,QHYDOXDWLQJWKHVXLWDELOLW\RIDSHUVRQIRUDSSRLQWPHQWFRQWLQXLQJWRKROGDSSRLQWPHQWDVD 'LUHFWRUWKH15&WDNHVLQWRDFFRXQWDSDUWIURPRWKHUV%RDUGGLYHUVLW\SHUVRQ¶VHOLJLELOLW\TXDOL¿FDWLRQH[SHUWLVHWUDFN UHFRUG JHQHUDO XQGHUVWDQGLQJ RI WKH EXVLQHVV SURIHVVLRQDO HWKLFV LQWHJULW\ YDOXHV DQG RWKHU ¿W DQG SURSHU FULWHULD¶V Based on recommendation of the NRC, the Board evaluates the candidate(s) and decide on the selection of the appropriate PHPEHU,QFDVHRIUHDSSRLQWPHQWRIDQ\%RDUGPHPEHU15&EDVLVHYDOXDWLRQVFRUHVRIWKHFRQFHUQHG%RDUGPHPEHU pursuant to performance evaluation, recommends its decision to the Board to extend or continue the term of appointment RIWKH%RDUGPHPEHU 7KHDXWKRULW\WRLGHQWLI\ULJKWFDQGLGDWHVIRUDSSRLQWPHQWRI.03¶VLVYHVWHGZLWKWKH*URXS&(27KH*URXS&(2DORQJ ZLWK+5+HDGLGHQWL¿HVFDQGLGDWHVLQWHUQDOO\RUH[WHUQDOO\DQGSURSRVHVWR15&IRULWVDSSURYDOIRUDSSRLQWPHQWDORQJZLWK SURSRVHGUHPXQHUDWLRQ7KHUHPXQHUDWLRQSURSRVHGXVHGWREHFRQVLVWHQWZLWKWKHVWUDWHJ\RIWKHFRPSDQ\DQGLQOLQHZLWK WKHFRPSDUDEOHPDUNHW LQWHUQDOUHPXQHUDWLRQEHQFKPDUNV ,QFDVHRI&(2¶VDSSRLQWPHQW UHPXQHUDWLRQ15&LQLWLDWHVWKHSURFHVVRILGHQWLI\LQJWKH&(2$IWHULGHQWL¿FDWLRQRIWKH FDQGLGDWH15&SURSRVHVWKHFDQGLGDWXUHWR%RDUGIRULWVDSSURYDOIRUDSSRLQWPHQW Remuneration 7KHUHPXQHUDWLRQRI([HFXWLYH1RQ([HFXWLYH'LUHFWRUVDQG.03VLVJRYHUQHGE\WKHH[WHUQDOFRPSHWLWLYHHQYLURQPHQW track record, potential, individual performance and performance of the Company as well as industry standards and decided E\15&LQDFFRUGDQFHRIDERYHPHQWLRQHGSROLFLHV15&FRQGXFWVDUHYLHZRIGLUHFWRUFRPSHQVDWLRQRQDSHULRGLFEDVLV to ensure directors of the Company are compensated effectively in a manner consistent with the strategy of the Company and to further ensure that the Company will be able to attract, retain and reward those who contribute to the success of the &RPSDQ\&(2¶VUHPXQHUDWLRQLVGHWHUPLQHGNHHSLQJLQYLHZWKHLQGXVWU\EHQFKPDUN WKHUHODWLYHSHUIRUPDQFHRIWKH FRPSDQ\WRWKHLQGXVWU\SHUIRUPDQFH,WLVSURSRVHGE\15&DQGVXEVHTXHQWO\DSSURYHGE\WKH%RDUG (a) Remuneration of Executive Directors Remuneration of Executive Directors is decided by the Board based on recommendation of Nomination and 5HPXQHUDWLRQ&RPPLWWHHZLWKLQWKHFHLOLQJ¿[HGE\WKH6KDUHKROGHUVDQGSHUPLVVLEOHXQGHUWKH$FW5HPXQHUDWLRQ paid to the Executive Directors for the year ended March 31, 2018 and the disclosure as per the requirement of Schedule V of the Act and SEBI Listing Regulations, are as follows: (Amount in Rs) Name of the Director Salary & Commission Perquisite Retiral Total Stock Options Allowances payable %HQH¿WV Granted 0U6XQLO*RGKZDQL1 65,00,000 Nil Nil Nil 65,00,000 *120,750 REL ESOS 2006 & 1,350,000 REL ESOS 2012 0U6XEUDPDQLDQ 82,61,290 Nil Nil Nil 82,61,290 Nil Lakshminarayanan2 0U)UDQFLV'DQLHO 4,35,555 Nil Nil Nil 4,35,555 Nil Lee3 0U.ULVKQDQ 33,48,164 Nil Nil Nil 33,48,164 Nil Subramanian4 15HVLJQHGDV:KROH7LPH'LUHFWRUZHI6HSWHPEHU Annual Report 2017-18 75 2$SSRLQWHGDV([HFXWLYH&KDLUPDQZHI1RYHPEHU)XUWKHUKHUHVLJQHGRQ'HFHPEHU ZKLFK EHFDPHHIIHFWLYHXSRQUHFHLSWRI5%,DSSURYDORQ-DQXDU\ 3$SSRLQWHGDV([HFXWLYH'LUHFWRUZHI1RYHPEHUUHGHVLJQDWHGDV1RQ([HFXWLYH'LUHFWRURQ-DQXDU\ DQGIXUWKHUKHUHVLJQHGZHI)HEUXDU\ 4$SSRLQWHGDV:KROH7LPH'LUHFWRU LQWKHFDSDFLW\RI'LUHFWRU)LQDQFH ZHI-DQXDU\ *As per the Religare Enterprises Limited Employees Stock Options Scheme, 2006, 120,750 Stock Options at the price RI5VSHUVKDUHDQGDVSHU5HOLJDUH(PSOR\HH6WRFN2SWLRQ6FKHPH6WRFN2SWLRQVDWWKHSULFH RI5VSHUVKDUHKDYHEHHQJUDQWHG3UHVHQWO\QR6WRFN2SWLRQLVH[HUFLVHGXQGHU(6266FKHPHDQG DFFRUGLQJWRWKHDIRUHVDLG6FKHPHWKHVDPHFDQEHH[HUFLVHGRYHUDSHULRGRIQLQH\HDUVIURPWKHGDWHRIYHVWLQJ 120,750 stock options granted under ESOS Scheme 2006 were exercised and accordingly 120,750 Equity Shares ZHUHDOORWWHGRQ0D\ 7KH&RPSDQ\KDVQRWJUDQWHGDQ\IUHVKVWRFNRSWLRQVWRDQ\RILWV([HFXWLYH'LUHFWRUIRUWKH¿QDQFLDO\HDUXQGHUWKH UHYLHZ (b) Remuneration of Non-Executive Directors Non-Executive Directors including Independent Directors do not have any pecuniary relationship or transactions with WKH&RPSDQ\7KH\DUHSDLGRQO\WKHVLWWLQJIHHVIRUDWWHQGLQJWKHPHHWLQJVRIWKH%RDUGRI'LUHFWRUVDQG&RPPLWWHH PHHWLQJVZLWKLQWKHOLPLWVDVSUHVFULEHGXQGHUWKH$FW,QGHSHQGHQW'LUHFWRUVDUHSDLGVLWWLQJIHHVRI` 100,000/- per PHHWLQJIRUDWWHQGLQJWKH%RDUGDQG&RPPLWWHHPHHWLQJV1RQ,QGHSHQGHQW1RQ([HFXWLYH'LUHFWRUVDUHSDLGVLWWLQJ fees of `SHUPHHWLQJIRUDWWHQGLQJWKH%RDUGDQG&RPPLWWHHPHHWLQJV 'HWDLOVRIUHPXQHUDWLRQSDLGWR1RQ([HFXWLYH'LUHFWRUVGXULQJ)<DQGWKHLUVKDUHKROGLQJLQWKH&RPSDQ\ as at 31st March 2018 are as follows: S. Name of Director Sitting Salary %HQH¿WVRU Stock Shareholding No Fees (Rs.) Bonuses Options (Number of (Rs.) Share) 1 0U$YLQDVK&KDQGHU0DKDMDQ1 9,00,000 Nil Nil Nil Nil 2 0U'HHSDN5DPFKDQG6DEQDQL2 5,00,000 Nil Nil Nil Nil 3 0U+DUSDO6LQJK3 2,25,000 Nil Nil Nil Nil 4 0U3DGDPNarain Bahl4 21,00,000 Nil Nil Nil 500 5 0U5DPD.ULVKQD6KHWW\5 22,00,000 Nil Nil Nil 100 6 0UV6DQJHHWD7DOZDU6 5,00,000 Nil Nil Nil Nil 7 0U9LUHQGUD.XPDU0DGDQ7 1,75,000 Nil Nil Nil Nil 8 0U0DOYLQGHU0RKDQ6LQJK8 2,50,000 Nil Nil Nil 1,023,525 9 0U6KLYLQGHU0RKDQ6LQJK8 1,00,000 Nil Nil Nil 926,602 10 0U5DVKL'KLU9 8,00,000 Nil Nil Nil Nil 11 0U7HMSUHHW6LQJK&KRSUD10 2,00,000 Nil Nil Nil Nil 12 0UV6DELQD9DLVRKD11 7,00,000 Nil Nil Nil Nil 13 0UV.LVKRUH8GHVKL12 1,00,000 Nil Nil Nil Nil 14 0U$VKRN0HKWD13 1,00,000 Nil Nil Nil Nil 15 0U9LNUDP7DOZDU14 3,00,000 Nil Nil Nil Nil 16 0U39LMD\D%KDVNDU15 2,00,000 Nil Nil Nil Nil 15HVLJQHGDV'LUHFWRUZHI1RYHPEHU 25HVLJQHGDV'LUHFWRUZHI0D\ 35HVLJQHGDV'LUHFWRUZHI-DQXDU\ 45HVLJQHGDV'LUHFWRUVZHI-XQH 55HVLJQHGDV'LUHFWRUZHI-XQH 65HVLJQHGDV'LUHFWRUZHI-XO\ 75HVLJQHGDV'LUHFWRUZHI6HSWHPEHU 76 Religare Enterprises Limited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¿[HG FRPSRQHQW SHUIRUPDQFHOLQNHGLQFHQWLYHVIURPWKH&RPSDQ\GXULQJWKHSHULRGXQGHUUHYLHZ Further, there were no other pecuniary relationships or transactions of the Non-Executive Directors vis-à-vis the &RPSDQ\7KH&RPSDQ\KDVQRWJUDQWHGDQ\VWRFNRSWLRQVWRDQ\RILWV1RQ([HFXWLYH,QGHSHQGHQW'LUHFWRUV 5. ANNUAL PERFORMANCE EVALUATION Pursuant to the provisions of the Act and SEBI Listing Regulations, the Board is required to carry out an annual performance evaluation of its own performance, the performance of the directors individually as well as the evaluation of the working of LWV&RPPLWWHHV +RZHYHUGXULQJWKH\HDUXQGHUUHYLHZWKHUHKDYHEHHQPDQ\FKDQJHVLQWKHFRPSRVLWLRQRIWKH%RDUGRI'LUHFWRUVRIWKH &RPSDQ\VRPXFKVRWKDWWKHPDMRULW\RIWKH'LUHFWRUVRQWKH%RDUGDWWKHWLPHRIFDUU\LQJWKHHYDOXDWLRQH[HUFLVHZHUH QHZO\DSSRLQWHG7KHHYDOXDWLRQH[HUFLVHIRU)<ZDVLQLWLDWHGE\WKH&RPSDQ\EXWVDPHFRXOGQRWEHFRPSOHWHG as the Board decided that considering the short span of the current directors on the Board of the Company, they are not in DSRVLWLRQWRFRPSOHWHWKHHYDOXDWLRQH[HUFLVHIRUIXQFWLRQLQJWKH&RPPLWWHHV%RDUGDVDZKROHDQGLQGLYLGXDOGLUHFWRUV $FFRUGLQJO\WKHSHUIRUPDQFHHYDOXDWLRQH[HUFLVHZDVGHIHUUHGZKLFKZLOOEHGRQHLQFXUUHQW\HDU7KH%RDUGKDVDOVR UHYLHZHGWKHFXUUHQW%RDUG(YDOXDWLRQ3ROLF\RIWKH&RPSDQ\ 6. GENERAL BODY MEETINGS (A) Annual General Meetings Details of the Annual General Meetings held in the last three years: Year Date Day Time Venue Special Resolutions Passed 2014-2015 Monday 30 Air Force Auditorium, Subroto Park, *3 Special Resolutions New Delhi – 110010 were passed 2015-2016 Monday 30 Air Force Auditorium, Subroto Park, **2 Special Resolutions New Delhi – 110010 were passed 2016-2017 Thursday 30 Sri Sathya Sai International Centre, ***1 Special Resolution Pragati Vihar, Lodhi Road, New which was not passed Delhi- 110003 * Resolutions pertaining to the following matters were passed as Special Resolutions: $GRSWLRQRIQHZVHWRI$UWLFOHVRI$VVRFLDWLRQLQFRQIRUPLW\ZLWKWKH$FW 5DLVLQJRIIXQGVXSWR` 1500 Crores through further issue of Capital 5DLVLQJRIIXQGVXSWR` 1000 Crores through further issue of Non-Convertible Debentures on private placement EDVLV **Resolutions pertaining to the following matters were passed as Special Resolutions: 5DLVLQJ RI IXQGV WKURXJK LVVXH RI 1RQFRQYHUWLEOH 'HEHQWXUHV DJJUHJDWLQJ XSWR ` 1,250 crores on private placement basis &KDQJHLQGHVLJQDWLRQRI0U6XQLO*RGKZDQL ',1 IURP³&KDLUPDQ 0DQDJLQJ'LUHFWRU´WR³:KROH Annual Report 2017-18 77 7LPH'LUHFWRU &KLHI([HFXWLYH2I¿FHU´ 7KHDERYH5HVROXWLRQVZHUHSDVVHGZLWKUHTXLVLWHPDMRULW\ ***Resolutions pertaining to the following matter was proposed to be passed as Special Resolution: 5DLVLQJRIIXQGVWKURXJKLVVXHRIQRQFRQYHUWLEOHGHEHQWXUHVRQSULYDWHSODFHPHQWEDVLV 7KHDERYH5HVROXWLRQIDLOHGWRUHFHLYHUHTXLVLWHDSSURYDODQGKHQFHZDVQRWSDVVHG No Special Resolution was put through Postal Ballot at the last Annual General Meeting nor is proposed at the HQVXLQJ$QQXDO*HQHUDO0HHWLQJ (B) Extra-ordinary General Meeting 'XULQJWKHSHULRGXQGHUUHYLHZDQ([WUDRUGLQDU\*HQHUDO0HHWLQJZDVKHOGRQ0DUFK Year Date Day Time Venue Special Resolutions Passed 2017-2018 Monday $0 Air Force Auditorium, Subroto *1 Special Resolution was Park, New Delhi – 110010 passed *Resolution pertaining to the following matter was passed as Special Resolution: ,VVXHRIFRQYHUWLEOHZDUUDQWVRQSULYDWHSODFHPHQWEDVLV 7KHDERYH5HVROXWLRQZDVSDVVHGZLWKUHTXLVLWHPDMRULW\ (C) Postal Ballot 'XULQJWKH¿QDQFLDO\HDUWKH&RPSDQ\KDVFRQGXFWHGWZR3RVWDO%DOORWVLQFRPSOLDQFHZLWK5HJXODWLRQ of SEBI Listing Regulations and in pursuance of Section 108 read with Section 110 and other applicable provisions of the Act read with Companies (Management and Administration) Rules, 2014: Postal Ballot 1 Postal Ballot 2 6DOH RI HQWLUH LQYHVWPHQW RI WKH &RPSDQ\ LQ 5HOLJDUH $SSURYDORI5HODWHG3DUW\7UDQVDFWLRQLQIRUPRI +HDOWK,QVXUDQFH&RPSDQ\/LPLWHGDVXEVLGLDU\FRPSDQ\ investment upto ` 500,00,00, 000/- (Rupees Five (Special Resolution). +XQGUHG &URUHV LQ 5HOLJDUH &DSLWDO 0DUNHWV Withdrawal of earlier special resolution passed for shifting Limited, a subsidiary company (Ordinary RI 5HJLVWHUHG 2I¿FH DGGUHVV RI WKH &RPSDQ\ IURP Resolution) “National Capital Territory (NCT) of Delhi” to the State of Maharashtra (Special Resolution). 5HVROXWLRQV ZHUH SDVVHG RQ -XQH UHVXOWV RI Resolution was passed on September 09, 2017 ZKLFKZHUHGHFODUHGRQ-XQH results of which were declared on September 11, Persons responsible for the postal ballot 1 and postal ballot 2 exercises: 0U0DOYLQGHU0RKDQ6LQJK&KDLUPDQRIWKH&RPSDQ\0U0DQLQGHU6LQJK*URXS&(20U$QLO6D[HQD*URXS &)2 DQG 0U 0RKLW 0DKHVKZDUL &RPSDQ\ 6HFUHWDU\ RI WKH &RPSDQ\ ZHUH DSSRLQWHG DV SHUVRQV UHVSRQVLEOH IRUFRQGXFWLQJSRVWDOEDOORWSURFHVVLQDIDLUDQGWUDQVSDUHQWPDQQHU0U1LWHVK/DWZDO3DUWQHU3, $VVRFLDWHV 3UDFWLFLQJ &RPSDQ\ 6HFUHWDU\ZDV DSSRLQWHG DV 6FUXWLQL]HU IRU FRQGXFWLQJ WKH 3RVWDO %DOORW SURFHVV 0U 1LWHVK /DWZDOFRQGXFWHGWKHSURFHVVDQGVXEPLWWHGKLVUHSRUWWRWKH&KDLUPDQ A detailed procedure followed by the Company for conducting the Postal Ballot process is provided hereunder: Procedure followed for postal ballot 1: 7KH&RPSDQ\LVVXHGWKH3RVWDO%DOORW1RWLFHGDWHG0D\IRUWKHDERYHPHQWLRQHGUHVROXWLRQV7KHGUDIW resolutions together with the explanatory statement, the Postal Ballot forms and self-addressed postage pre-paid HQYHORSHZHUHVHQWWRWKH0HPEHUVWKURXJKHPDLODQGFRXULHU$VSHUUHTXLUHPHQWVRI6(%,/LVWLQJ5HJXODWLRQV HYRWLQJIDFLOLW\ZDVDOVRSURYLGHGWR6KDUHKROGHUVRIWKH&RPSDQ\ 0HPEHUVZHUHDGYLVHGWRUHDGFDUHIXOO\WKHLQVWUXFWLRQVSULQWHGRQWKH3RVWDO%DOORWIRUPDQGUHWXUQWKHGXO\ completed form in the attached self-addressed postage pre-paid envelope, so as to reach the Scrutinizer on or EHIRUHFORVHRIZRUNLQJKRXUVRQ-XQH 78 Religare Enterprises Limited $IWHUGXHVFUXWLQ\RIDOOWKH3RVWDO%DOORWIRUPVUHFHLYHG FRQVLGHULQJWKHYRWLQJWKURXJKHOHFWURQLFPRGHXSWR WKHFORVHRIZRUNLQJKRXUVRQ-XQH0U1LWHVK/DWZDOVXEPLWWHGKLVUHSRUWRQ-XQH 7KHUHVXOWVRIWKH3RVWDO%DOORWZHUHGHFODUHGRQ-XQHDWWKHUHJLVWHUHGRI¿FHE\SODFLQJRQWKHQRWLFH ERDUGRIWKH&RPSDQ\7KHGDWHRIUHFHLSWRIWKHUHTXLVLWHPDMRULW\RISRVWDOEDOORWLH-XQHKDVEHHQ WDNHQDVWKHGDWHRISDVVLQJRIWKHUHVROXWLRQV 7KHUHVXOWVRIWKHSRVWDOEDOORWZHUHSXEOLVKHGLQ)LQDQFLDO([SUHVV (QJOLVKHGLWLRQ DQG-DQVDWWD +LQGLHGLWLRQ DQGDOVRSODFHGDWWKHZHEVLWHRIWKH&RPSDQ\ Procedure followed for postal ballot 2: 7KH&RPSDQ\LVVXHGWKH3RVWDO%DOORW1RWLFHGDWHG-XO\IRUWKHDERYHPHQWLRQHGUHVROXWLRQV7KHGUDIW resolutions together with the explanatory statement, the Postal Ballot forms and self-addressed postage pre-paid HQYHORSHZHUHVHQWWRWKH0HPEHUVWKURXJKHPDLODQGFRXULHU$VSHUUHTXLUHPHQWVRI6(%,/LVWLQJ5HJXODWLRQV HYRWLQJIDFLOLW\ZDVDOVRSURYLGHGWR6KDUHKROGHUVRIWKH&RPSDQ\ 0HPEHUVZHUHDGYLVHGWRUHDGFDUHIXOO\WKHLQVWUXFWLRQVSULQWHGRQWKH3RVWDO%DOORWIRUPDQGUHWXUQWKHGXO\ completed form in the attached self-addressed postage pre-paid envelope, so as to reach the Scrutinizer on or EHIRUHFORVHRIZRUNLQJKRXUVRQ6HSWHPEHU $IWHUGXHVFUXWLQ\RIDOOWKH3RVWDO%DOORWIRUPVUHFHLYHG FRQVLGHULQJWKHYRWLQJWKURXJKHOHFWURQLFPRGHXSWRWKH FORVHRIZRUNLQJKRXUVRQ6HSWHPEHU 0U1LWHVK/DWZDOVXEPLWWHGKLVUHSRUWRQ6HSWHPEHU 7KHUHVXOWVRIWKH3RVWDO%DOORWZHUHGHFODUHGRQ6HSWHPEHUDWWKHUHJLVWHUHGRI¿FHE\SODFLQJRQWKH QRWLFHERDUGRIWKH&RPSDQ\7KHGDWHRIUHFHLSWRIWKHUHTXLVLWHPDMRULW\RISRVWDOEDOORWLH6HSWHPEHU KDVEHHQWDNHQDVWKHGDWHRISDVVLQJRIWKHUHVROXWLRQV 7KHUHVXOWVRIWKHSRVWDOEDOORWZHUHSXEOLVKHGLQ)LQDQFLDO([SUHVV (QJOLVKHGLWLRQ DQG-DQVDWWD +LQGLHGLWLRQ DQGDOVRSODFHGDWWKHZHEVLWHRIWKH&RPSDQ\ Details of Voting Pattern of Postal Ballot 1: After scrutinizing all the postal ballot forms received, the scrutinizer reported as under: RESOLUTION NO. 1 - 6DOHRIHQWLUHLQYHVWPHQWRIWKH&RPSDQ\LQ5HOLJDUH+HDOWK,QVXUDQFH&RPSDQ\/LPLWHGD subsidiary company Details of voting through e-voting and postal ballot forms on the resolution are given below in A1 and A2, respectively: A1. VOTING THROUGH E-VOTING: Particulars No. of No. of Equity Paid-up value of % of Total Paid- shareholders Shares the Equity Shares up Equity Capital (In `) (a) Total votes received 36 122,072,013 1,220,720,130 (b) Less: Invalid Votes 1 7 70 Negligible (c) Net Valid votes received 35 122,072,006 1,220,720,060 (d)Votes with Assent 35 122,072,006 1,220,720,060 (e)Votes with Dissent 0 0 0 0 A2. VOTING THROUGH PHYSICAL POSTAL BALLOT FORM: Particulars No. of Share- No. of Equity Paid-up value of % of Total Paid- Holders Shares the Equity Shares up (In `) Equity Capital (a) Total votes received 15 60 600 (b) Less : Invalid Votes 0 0 0 (c) Net Valid votes received 15 60 600 (d) Votes with Assent 15 60 600 (e)Votes with Dissent 0 0 0 RESOLUTION NO. 2 - :LWKGUDZDORIHDUOLHUVSHFLDOUHVROXWLRQSDVVHGIRUVKLIWLQJRI5HJLVWHUHG2I¿FHDGGUHVVRIWKH &RPSDQ\IURP³1DWLRQDO&DSLWDO7HUULWRU\ 1&7 RI'HOKL´WRWKH6WDWHRI0DKDUDVKWUD Details of voting through e-voting and postal ballot forms on the resolution are given below in A1 and A2, respectively: Annual Report 2017-18 79 A1. VOTING THROUGH E-VOTING: Particulars No. of No. of Equity Paid-up value of % of Total Paid-up shareholders Shares the Equity Shares Equity Capital (In `) (a) Total votes received 36 122,072,013 1,220,720,130 (b) Less: Invalid Votes 1 7 70 Negligible (c) Net Valid votes received 35 122,072,006 1,220,720,060 (d)Votes with Assent 35 122,072,006 1,220,720,060 (e)Votes with Dissent 0 0 0 0 A2. VOTING THROUGH PHYSICAL POSTAL BALLOT FORM: Particulars No. of Share- No. of Equity Paid-up value of % of Total Paid-up Holders Shares the Equity Shares Equity Capital (In `) (a) Total votes received 15 60 600 (b) Less : Invalid Votes 0 0 0 (c) Net Valid votes received 15 60 600 (d) Votes with Assent 15 60 600 (e)Votes with Dissent 0 0 0 Details of Voting Pattern of Postal Ballot 2: After scrutinizing all the postal ballot forms received, the scrutinizer reported as under: RESOLUTION NO. 1 - Approval of Related Party Transaction in form of investment upto `500,00,00,000/- (Rupees )LYH+XQGUHG&URUHV LQ5HOLJDUH&DSLWDO0DUNHWV/LPLWHGDVXEVLGLDU\FRPSDQ\ Details of voting through e-voting and postal ballot forms on the resolution are given below in A1 and A2, respectively: A1. VOTING THROUGH E-VOTING: Particulars No. of No. of Equity Paid-up value of % of Total Paid-up shareholders Shares the Equity Shares Equity Capital (In `) (a) Total votes received 55 22,688,130 226,881,300 (b) Less: Invalid Votes 0 0 0 0 (c) Net Valid votes received 55 22,688,130 226,881,300 (d) Votes with Assent 48 12,592,863 125,928,630 (e) Votes with Dissent 6 10,095,261 100,952,610 (e) Votes Abstained 1 6 60 Negligible A2. VOTING THROUGH PHYSICAL POSTAL BALLOT FORM: Particulars No. of No. of Equity Paid-up value of % of Total Paid-up Shareholders Shares the Equity Shares Equity Capital (In `) (a) Total votes received 1 65,833 658,330 (b) Less : Invalid Votes 0 0 0 (c) Net Valid votes received 1 65,833 658,330 (d) Votes with Assent 1 65,833 658,330 (e) Votes with Dissent 0 0 0 80 Religare Enterprises Limited (D) Unclaimed Shares 3XUVXDQWWR5HJXODWLRQ UHDGZLWK6FKHGXOH9,RIWKH6(%,/LVWLQJ5HJXODWLRQVXQFODLPHGVKDUHVLHVKDUHV issued pursuant to the Public Issues but remaining unclaimed despite of the best efforts of the Registrar to Issue or WKH&RPSDQ\VXFKVKDUHVDQGDQ\RWKHUFRUSRUDWHEHQH¿WUHODWHGWRWKHVHVKDUHVDUHUHTXLUHGWREHWUDQVIHUUHGWRD VHSDUDWH'HPDW6XVSHQVH$FFRXQW Therefore, the Company opened a separate Demat Suspense Account in the name and style of “Religare Enterprises Limited – IPO Suspense Account” and the shares lying unclaimed as on that date were transferred to the above said VXVSHQVHDFFRXQWRQ-XO\ The details of such equity shares as on 31st March 2018 are as follows: S. Description Number of Shares / No. Shareholders 1 Total number of Shareholders in the Suspense Account at the beginning of the 14 Shareholders year 2 Total number of outstanding equity shares in the Suspense Account lying at the 490 Equity Shares beginning of the year 3 Number of Shareholders who approached the Company for transfer of shares 0 and to whom shares were transferred from Suspense Account during the year 4 1XPEHURIVKDUHVWUDQVIHUUHGIURP6XVSHQVH$FFRXQWWR%HQH¿FLDU\$FFRXQW 0 during the year 5 Total number of Shareholders in the Suspense Account at the end of the year 14 Shareholders 6 Total number of outstanding equity shares in the Suspense Account lying at 490 Equity Shares the end of the year )XUWKHUWKHYRWLQJULJKWVRQWKHVHVKDUHVVKDOOUHPDLQIUR]HQWLOOWKHULJKWIXORZQHURIVXFKVKDUHVFODLPVWKHVKDUHV 7. DISCLOSURES A. Related Party Transactions All the transactions entered into with Related Parties as per the Act and Regulation 23 of the SEBI Listing Regulations GXULQJ WKH )LQDQFLDO Annual Report 2017-18 81 C. Management Discussion and Analysis Report 7KH0DQDJHPHQW'LVFXVVLRQDQG$QDO\VLVUHSRUWIRUPVSDUWRIWKH$QQXDO5HSRUW D. Details of non-compliance by the Company Neither any penalty nor any stricture has been imposed by SEBI or any other Statutory Authority on any matter relating WRFDSLWDOPDUNHWVGXULQJWKHODVWWKUHH\HDUV +RZHYHU PHPEHUV PD\ SOHDVH QRWH WKDW IRU ¿QDQFLDO \HDU HQGHG 0DUFK ¿QDOLVDWLRQ RI DQQXDO DXGLWHG DFFRXQWVKDVWDNHQPRUHWKDQDQWLFLSDWHGWLPH+HQFHWKH&RPSDQ\ZDVQRWDEOHWRGHFODUHLWVDXGLWHG¿QDQFLDO UHVXOWVZLWKLQWKHSUHVFULEHGWLPHOLQHVXQGHU6(%,/LVWLQJ5HJXODWLRQV7KH&RPSDQ\GHFODUHGLWVDXGLWHG¿QDQFLDO UHVXOWVRQ-XQH )XUWKHU%6( 16(YLGHWKHLUOHWWHUGDWHG-XQHKDGOHYLHGD¿QHRI` 2,142,841 and ` 1,863,345 respectively DV RQ -XQH RQ WKH &RPSDQ\ IRU QRQFRPSOLDQFH RI 5HJXODWLRQ RI 6(%, /LVWLQJ 5HJXODWLRQV E\ QRW VXEPLWWLQJLWDXGLWHG¿QDQFLDOUHVXOWVZLWKLQGD\VIURPHQGRI¿QDQFLDO\HDUHQGHG0DUFK7KH&RPSDQ\ KDVSDLGWKH¿QH 16(IXUWKHUYLGHLWVOHWWHUGDWHG2FWREHUUDLVHGWKHGHPDQGIRUEDODQFH¿QHRI5VZKLFKZDVSDLGRQ 2FWREHU )XUWKHUPRUHWKHPHPEHUVPD\SOHDVHEHDSSULVHGWKDW16( %6(YLGHWKHLUFRPPXQLFDWLRQVGDWHG-XQH -XQHUHVSHFWLYHO\OHYLHGD¿QHRI5VDQG UHVSHFWLYHO\IRUGHOD\HGVXEPLVVLRQRI¿QDQFLDOV IRUWKHSHULRGHQGHG0DUFKE\RQHGD\,QYLHZRIWKHIDFWWKDWWKHPHHWLQJRIWKH%RDUGRI'LUHFWRUVWR FRQVLGHUDQGDSSURYHWKH$XGLWHG)LQDQFLDO5HVXOWVIRUWKH)<KHOGRQ0D\FRPPHQFHGDW DPRQ0D\DQGHQGHGDWDPRQ7KXUVGD\0D\WKH&RPSDQ\KDVUHTXHVWHGWRZDLYHRII WKH¿QHLPSRVHGRQWKH&RPSDQ\E\FRQGRQLQJWKHPDUJLQDOGHOD\RIDSSUR[LPDWHO\WKUHHKRXUVLQVXEPLVVLRQRIWKH $XGLWHG$QQXDO)LQDQFLDOVIRU)<7KH&RPSDQ\LV\HWWRUHFHLYHDQ\IXUWKHUFRPPXQLFDWLRQVIURPWKHH[FKDQJHV LQWKHPDWWHU The members may also note that the Board of Directors of the Company had formulated and approved a Dividend Distribution Policy (“the Policy”) pursuant to the requirement under the SEBI (Listing Obligations and Disclosure 5HTXLUHPHQW 6HFRQG$PHQGPHQW 5HJXODWLRQVDWLWVPHHWLQJKHOGRQ2FWREHU6DPHZDVXSORDGHG RQWKHZHEVLWHRIWKH&RPSDQ\LHKWWS ZZZUHOLJDUHFRPSGI5HOB'LYLGHQGB3ROLF\1RYSGI+RZHYHU&RPSDQ\ LQDGYHUWHQWO\ PLVVHG WR PDNH D UHIHUHQFH RI WKH 3ROLF\ LQ LWV$QQXDO 5HSRUW IRU WKH \HDU HQGHG 0DUFK Accordingly, the Company is issuing a corrigendum to the Annual Report 2017 giving intimations to the shareholders DERXWWKHSODFHPHQWRIWKH3ROLF\RQWKHZHEVLWHRIWKH&RPSDQ\DORQJZLWKDGGUHVV E. Details of Compliance with mandatory requirements 7KH&RPSDQ\KDVFRPSOLHGZLWKWKHPDQGDWRU\UHTXLUHPHQWVRI6(%,/LVWLQJ5HJXODWLRQVH[FHSWPHQWLRQHGDVDERYH 0V6DQMD\*URYHU $VVRFLDWHV3UDFWLFLQJ&RPSDQ\6HFUHWDULHVKDYHFHUWL¿HGWKDWWKH&RPSDQ\KDVFRPSOLHGZLWK WKHPDQGDWRU\UHTXLUHPHQWVRIFRUSRUDWHJRYHUQDQFHDVVWLSXODWHGLQ6(%,/LVWLQJ5HJXODWLRQV F. Whistle-Blower Policy/ Vigil Mechanism The Company promotes ethical behaviour in all its business activities and has put in place a mechanism in form of Whistle Blower Policy (“Policy or Mechanism”) of reporting illegal or unethical behaviour for directors and employees to report concerns about unethical behaviour, actual or suspected fraud or violation of the Company’s code of conduct RUHWKLFVSROLF\3ROLF\LVDSSOLFDEOHWRDOOWKH'LUHFWRUVRIWKH&RPSDQ\3HUPDQHQW FRQWUDFWXDOHPSOR\HHVRIWKH Company based in India or outside, Employees of other agencies deployed for the Company, Contractors, vendors, suppliers or agencies (or any of their employees), Customers of the Company and any other person having an DVVRFLDWLRQZLWKWKH&RPSDQ\0HFKDQLVPDOVRSURYLGHIRUDGHTXDWHVDIHJXDUGVDJDLQVWYLFWLPL]DWLRQRIGLUHFWRU V HPSOR\HH V ZKRDYDLORIWKHPHFKDQLVPDQGDOVRSURYLGHIRUGLUHFWDFFHVVWRWKH&KDLUPDQRIWKH$XGLW&RPPLWWHH The detail of establishment of such Policy/Mechanism is also uploaded on the website of the Company & can be accessed through the link KWWS ZZZUHOLJDUHFRPSGI5HOLJDUHB:KLVWOHB%ORZHUB3ROLF\BSGI ,W LV KHUHE\ FRQ¿UPHGWKDWQRSHUVRQQHOKDVEHHQGHQLHGDFFHVVWRWKH$XGLW&RPPLWWHH 82 Religare Enterprises Limited G. Details of Adoption of Non-Mandatory requirements The Company has complied with and adopted the following non-mandatory requirements of Regulation 27 read with 3DUW(RI6FKHGXOH,,RIWKH6(%,/LVWLQJ5HJXODWLRQV i. Shareholders’ Rights 7KH TXDUWHUO\ UHVXOWV RI WKH &RPSDQ\ DUH SXEOLVKHG LQ (QJOLVK )LQDQFLDO ([SUHVV DQG D +LQGL QHZVSDSHU -DQVDWWD KDYLQJZLGHFLUFXODWLRQLQ'HOKL)XUWKHUWKHTXDUWHUO\UHVXOWVDUHDOVRSRVWHGRQWKHZHEVLWHRIWKH Company – KWWS ZZZUHOLJDUHFRP4$5)<DVS[,QYLHZRIWKHIRUJRLQJWKHKDOI\HDUO\UHVXOWVRIWKH &RPSDQ\DUHQRWVHQWWRWKH6KDUHKROGHUVLQGLYLGXDOO\ LL 0RGL¿HG2SLQLRQ V LQ$XGLW5HSRUW 7KH&RPSDQ\EHOLHYHVLQPDLQWDLQLQJLWVDFFRXQWVLQDWUDQVSDUHQWPDQQHUDQGDLPVDWUHFHLYLQJXQTXDOL¿HG UHSRUWRIDXGLWRUVRQWKH¿QDQFLDOVWDWHPHQWVRIWKH&RPSDQ\+RZHYHUWKHDXGLWRUVKDYHTXDOL¿HGWKHLUDXGLWRU UHSRUWLQ¿QDQFLDO\HDUDQG0DQDJHPHQWUHVSRQVHRQWKHTXDOL¿HGRSLQLRQKDVEHHQSURYLGHG LQUHVSHFWLYH'LUHFWRUV5HSRUWDVRQ0DUFKDQG0DUFK iii. Separate Posts of Chairman and CEO $VRQ0DUFKWKH&RPSDQ\GRHVQRWKDYHDGHVLJQDWHG&KDLUPDQ7KH&RPSDQ\KDVDSSRLQWHG0U $VKRN0HKWDDV,QWHULP&(2ZLWKRXWEHLQJRQ%RDUGRI'LUHFWRUVZHI$SULO iv. Reporting of Internal Auditor 7KH,QWHUQDO$XGLWRUVRIWKH&RPSDQ\LH0V.30*UHSRUWWRWKH$XGLW&RPPLWWHHRIWKH&RPSDQ\ + &(2&)2&HUWL¿FDWLRQ 7KHFHUWL¿FDWHGXO\VLJQHGE\WKH,QWHULP&(2DQG'LUHFWRU±)LQDQFHZDVSODFHGEHIRUHWKH%RDUGDWLWVPHHWLQJDQG WKHVDPHLVDQQH[HGDQGIRUPVSDUWRIWKLV$QQXDO5HSRUW I. Code of Conduct In compliance with Regulation 17 of the SEBI Listing Regulations, the Company has formulated and adopted a Code of Conduct applicable to the Board Members as well as the Senior Management and the same has been placed on WKHZHEVLWHRIWKH&RPSDQ\LHKWWS ZZZUHOLJDUHFRPSGI5(/B&RGHRI&RQGXFWIRU%RDUG0HPEHUVB0D\SGI The &RGHRI&RQGXFWLQWHUDOLDLQFOXGHVWKHGXWLHVRIWKH,QGHSHQGHQW'LUHFWRUVDVSUHVFULEHGXQGHUWKH$FW$OOWKH%RDUG 0HPEHUVDQGWKH6HQLRU0DQDJHPHQW3HUVRQQHORIWKH&RPSDQ\KDYHDI¿UPHGFRPSOLDQFHZLWKWKH&RGHRI&RQGXFW DVRQ0DUFK $GHFODUDWLRQWRWKLVHIIHFWGXO\VLJQHGE\,QWHULP&KLHI([HFXWLYH2I¿FHULVDQQH[HGDQGIRUPVSDUWRIWKLV$QQXDO 5HSRUW J. Procedures for fair disclosure of Unpublished Price Sensitive Information and Prevention of Insider Trading 7KH&RPSDQ\KDVDGRSWHGWKH&RGHRI3UDFWLFHVDQG3URFHGXUHVIRU)DLU'LVFORVXUHRI8QSXEOLVKHG3ULFH6HQVLWLYH Information (“Fair Disclosure Code”) and Code of Conduct for Prevention of Insider Trading (“Insider Code”) with a view WRGHDOZLWK8QSXEOLVKHG3ULFH6HQVLWLYH,QIRUPDWLRQDQGWUDGLQJLQVHFXULWLHVE\'LUHFWRUVHPSOR\HHVRIWKH&RPSDQ\ 'HVLJQDWHG(PSOR\HHVDQG&RQQHFWHG3HUVRQV7KH&RPSDQ\6HFUHWDU\LV&RPSOLDQFH2I¿FHUIRUWKHSXUSRVHRI ,QVLGHU&RGH0U.LVKRUH%HODL'LUHFWRU±&RUSRUDWH6WUDWHJ\ ,QYHVWRU5HODWLRQVLVWKH&KLHI,QYHVWRU5HODWLRQV 2I¿FHUIRUWKHSXUSRVHVRI)DLU'LVFORVXUH&RGH%RWK)DLU'LVFORVXUH&RGHDQG,QVLGHU&RGHKDYHEHHQSRVWHGRQ WKHZHEVLWHRIWKH&RPSDQ\LHKWWS ZZZUHOLJDUHFRPSGI)DLUB'LVFORVXUHBRIB3ULFHB6HQVLWLYHB,QIRUPDWLRQ0D\ pdf and KWWS ZZZUHOLJDUHFRPSGI5(/B,QVLGHUB&RGHB0D\SGIUHVSHFWLYHO\ K. Risk Management Framework The Company has in place a mechanism to inform the Board members about the Risk assessment and mitigation plans and periodical reviews through Risk Management Committee to ensure that critical risks are controlled by the PDQDJHPHQW7KHGHWDLOVRIWKH5LVN0DQDJHPHQW&RPPLWWHHDUHSURYLGHGHOVHZKHUHLQWKLV5HSRUWDQGGHWDLOVRI 5LVN0DQDJHPHQW)UDPHZRUNDUHSURYLGHGLQ'LUHFWRU¶V5HSRUW L. Compliance with Corporate Governance Requirements 'XULQJWKH¿QDQFLDO\HDUWKH&RPSDQ\KDVFRPSOLHGZLWK&RUSRUDWH*RYHUQDQFHUHTXLUHPHQWVVSHFL¿HGLQ5HJXODWLRQ WRDQGFODXVHV E WR L RI6XEUHJXODWLRQ RI5HJXODWLRQRIWKH6(%,/LVWLQJ5HJXODWLRQV Annual Report 2017-18 83 M. Dividend Distribution Policy: In pursuant to introduction of Regulation 43A of the SEBI Listing Regulations, the Company had adopted a Dividend 3ROLF\RQ2FWREHUZKLFKGH¿QHVWKH¿QDQFLDOSDUDPHWHUVDQGIDFWRUVWKDWZHUHFRQVLGHUHGIRUGHFODUDWLRQ DQGSD\PHQWRIGLYLGHQGWRLWVVKDUHKROGHUV7KHGHFODUDWLRQDQGGLVWULEXWLRQRIGLYLGHQGVZKHWKHULQWHULPRU¿QDO will, at all times, be in accordance with the Act and SEBI Listing Regulations, such other applicable laws and Article of $VVRFLDWLRQRIWKH&RPSDQ\DVDPHQGHG 7KH'LYLGHQG3ROLF\RIWKH&RPSDQ\LVSRVWHGRQWKHZHEVLWHRIWKH&RPSDQ\LHKWWS ZZZUHOLJDUHFRPSGI5HOB 'LYLGHQGB3ROLF\1RYSGI 7KHUHKDVEHHQQRFKDQJHLQWKHVDLG3ROLF\IRUWKH)LQDQFLDO During the period under review, Religare Finvest Limited (RFL), Religare Securities Limited (RSL) and RGAM Investment $GYLVHUV 3ULYDWH /LPLWHG 5*$0 ZHUH µPDWHULDO QRQOLVWHG ,QGLDQ VXEVLGLDULHV¶ DV GH¿QHG XQGHU 5HJXODWLRQ RI WKH 6(%,/LVWLQJ5HJXODWLRQV)XUWKHU56/DQG5*$0ZHUHPHUJHGZLWKWKH&RPSDQ\ZHI'HFHPEHU LQSXUVXDQW to the order dated December 08, 2017 passed by National Company Law Tribunal approving the Composite Scheme of $UUDQJHPHQWEHWZHHQWKH&RPSDQ\DQGLWVZKROO\RZQHGVXEVLGLDULHV The Company has formulated a policy for determining ‘material’ subsidiaries and such policy is uploaded on the Company’s website and can be accessed through the link KWWS ZZZUHOLJDUHFRPSGI5HOB3ROLF\BRQB6XEVLGDULHVB0D\SGI As a holding company, the performance of subsidiaries is monitored by the following means: 7KH$XGLWFRPPLWWHH%RDUGRIWKH&RPSDQ\TXDUWHUO\UHYLHZVWKH¿QDQFLDOVWDWHPHQWVRIWKHXQOLVWHGVXEVLGLDU\ FRPSDQLHVLQSDUWLFXODUWKHLQYHVWPHQWVPDGHE\WKHVHFRPSDQLHV 0LQXWHVRIDOO%RDUGPHHWLQJVRIWKHXQOLVWHGVXEVLGLDU\FRPSDQLHVDUHSODFHGEHIRUHDWWKH%RDUGPHHWLQJRIWKH &RPSDQ\SHULRGLFDOO\ $VWDWHPHQWFRQWDLQLQJDOOVLJQL¿FDQWWUDQVDFWLRQVDQGDUUDQJHPHQWVHQWHUHGLQWRE\WKHPDWHULDOXQOLVWHGVXEVLGLDU\ FRPSDQLHVLVSODFHGDWWKH%RDUGPHHWLQJRIWKH&RPSDQ\SHULRGLFDOO\ 9. MEANS OF COMMUNICATION In accordance to Regulation 46 of SEBI Listing Regulations, the Company has maintained a functional website at ZZZ UHOLJDUHFRP7KH&RPSDQ\UHJXODUO\LQWLPDWHVXQDXGLWHG)LQDQFLDO5HVXOWVDVZHOODV$XGLWHG)LQDQFLDO6WDWHPHQWVWR the Stock Exchanges immediately after these are approved by the Board in accordance with the requirements of the SEBI /LVWLQJ5HJXODWLRQV7KHVH¿QDQFLDOUHVXOWVDUHJHQHUDOO\SXEOLVKHGLQRQHRIWKHOHDGLQJQHZVSDSHUVRIFRXQWU\WKDWLV )LQDQFLDO([SUHVVLQ(QJOLVKDQG-DQVDWWDLQ+LQGLDQGDUHGLVSOD\HGRQWKHZHEVLWHRIWKH&RPSDQ\LHZZZUHOLJDUHFRP Press Releases are sent to NSE and BSE before sending the same to media and are also displayed on the Company’s ZHEVLWHLHZZZUHOLJDUHFRP7KH$QQXDO5HSRUWRIWKH&RPSDQ\WKHTXDUWHUO\DQGWKHDQQXDOUHVXOWVRIWKH&RPSDQ\ DUHDOVRSODFHGRQWKH&RPSDQ\¶VZHEVLWHLHZZZUHOLJDUHFRPDQGFDQEHGRZQORDGHG7KHUHLVDVHSDUDWHGHGLFDWHG section under ‘’Investors Relations” on the Company’s website which gives information on unclaimed dividends, quarterly compliance reports / communications with the Stock Exchanges and other relevant information of interest to the investors SXEOLF $OOWKHFRUSRUDWHFRPPXQLFDWLRQWRWKH6WRFN([FKDQJHVYL]%6(/LPLWHGDQG1DWLRQDO6WRFN([FKDQJHRI,QGLD/LPLWHGDUH ¿OHGHOHFWURQLFDOO\RQ%6(¶VRQOLQHSRUWDOLH%6(/LVWLQJ&HQWUH/LNHZLVHWKHVDLGLQIRUPDWLRQLVDOVR¿OHGHOHFWURQLFDOO\ ZLWK16(WKURXJK16(¶V16((OHFWURQLF$SSOLFDWLRQ3URFHVVLQJ6\VWHP 1($36 SRUWDO7KH6WRFN([FKDQJH¿OLQJVDUH also made available on the website of the Company ZZZUHOLJDUHFRP The Company has designated an e-mail ID called LQYHVWRUVHUYLFHV#UHOLJDUHFRP exclusively for redressal of Shareholders/ ,QYHVWRUVFRPSODLQWVJULHYDQFHV The Company’s website (www.religare.com) contains a separate dedicated section ‘Investor Relations’ where shareholders’ LQIRUPDWLRQLVDYDLODEOH7KHSUHVHQWDWLRQVPDGHWRWKH,QYHVWRUVDUHDYDLODEOHRQWKHZHEVLWH 84 Religare Enterprises Limited 10. SHAREHOLDERS INFORMATION (i) Annual General Meeting Date : September 20, 2018 7LPH $0 Venue : Sri Sathya Sai International Centre, Pragati Vihar, Lodhi Road, New Delhi - 110003 (ii) Financial Calendar (tentative) 7KH¿QDQFLDO\HDUFRYHUVWKHSHULRGVWDUWLQJIURPst April and ending on 31st0DUFK $GRSWLRQRI4XDUWHUO\5HVXOWV For the Quarter ended on or before (tentative) -XQH 6HSWHPEHU 6XEMHFWWR/LPLWHG5HYLHZ 6HSWHPEHU 'HFHPEHU 6XEMHFWWR/LPLWHG5HYLHZ 'HFHPEHU )HEUXDU\ 6XEMHFWWR/LPLWHG5HYLHZ March 31, 2019 May 30, 2019 (Audited) (iv) Dividend Payment Date 7KH&RPSDQ\KDVQRWUHFRPPHQGHGSDLGDQ\GLYLGHQGIRUWKHSHULRGXQGHUUHYLHZ (v) Listing Equity Shares of the Company are currently listed at the BSE Limited (BSE) and the National Stock Exchange of ,QGLD/LPLWHG 16( 1DWLRQDO6HFXULWLHV'HSRVLWRU\/LPLWHG 16'/ DQG&HQWUDO'HSRVLWRU\6HUYLFHV ,QGLD /LPLWHG &'6/ DUHWKHGHSRVLWRULHVIRUWKHHTXLW\VKDUHVRIWKH&RPSDQ\7KHDQQXDOOLVWLQJIHHVIRUWKH\HDU KDYHEHHQSDLGWRERWK16(DQG%6(ZKHUHWKH&RPSDQ\¶VHTXLW\VKDUHVDUHOLVWHG7KHHTXLW\VKDUHVRIWKH &RPSDQ\KDYHQRWEHHQVXVSHQGHGIURPWUDGLQJRQWKH6WRFN([FKDQJHVRUE\DQ\5HJXODWRU\6WDWXWRU\$XWKRULW\ Payment of Depository Fees $QQXDO&XVWRG\,VVXHUIHHIRUWKH\HDU KDVEHHQSDLGE\WKH&RPSDQ\WR16'/DQG&'6/ (vi) Scrip Symbol / Code NSE RELIGARE BSE 532915 &RUSRUDWH,GHQWL¿FDWLRQ1XPEHU &,1 L74899DL1984PLC146935 (vii) Market Price Data ,Q5V Month Bombay Stock Exchange (BSE) National Stock Exchange (NSE) High Low Volume High Low Volume ( Number of ( Number of Shares) Shares) April 2017 3,55,361 27,91,869 May 2017 3,14,429 10,81,739 -XQH 4,32,649 4,29,444 -XO\ 54,40,977 2,37,71,634 August 2017 45,46,967 2,02,80,166 September 2017 1,36,43,745 5,89,38,348 October 2017 1,15,26,415 4,03,38,502 November 2017 2,03,23,702 8,90,62,226 December 2017 3,42,71,776 11,59,63,937 -DQXDU\ 2,07,84,053 8,89,03,854 February 2018 1,96,76,936 7,71,67,897 March 2018 87,31,669 3,04,47,914 Annual Report 2017-18 85 (viii) Registrar & Transfer Agent (RTA) Karvy Computershare Private Limited .DUY\6HOHQLXP7RZHU% Plot 31-32, Gachibowli, Financial District, 1DQDNUDPJXGD+\GHUDEDG Telephone: +91 40 4465 5000, Fax: +91 40 2342 0814 Email: HLQZDUGULV#NDUY\FRP Website: ZZZNDUY\FRPSXWHUVKDUHFRP 86 Religare Enterprises Limited (ix) Share Transfer System 7KH&RPSDQ\KDVDSSRLQWHG.DUY\&RPSXWHUVKDUH3ULYDWH/LPLWHGDVWKH5HJLVWUDUDQG6KDUH7UDQVIHU$JHQW7KH &RPSDQ\¶V(TXLW\VKDUHEHLQJLQFRPSXOVRU\'HPDWOLVWDUHWUDQVIHUDEOHWKURXJKWKHGHSRVLWRU\V\VWHP+RZHYHU shares in the physical form are processed by the Registrar & Transfer Agent and approved by the Stakeholders 5HODWLRQVKLS&RPPLWWHHRIWKH&RPSDQ\7KHVKDUHWUDQVIHUSURFHVVLVUHYLHZHGE\WKHVDLG&RPPLWWHH6KDUH WUDQVIHUVLQSK\VLFDOIRUPDUHSURFHVVHGDQGWKHVKDUHFHUWL¿FDWHVDUHJHQHUDOO\LVVXHGWRWKHWUDQVIHUHHVZLWKLQD SHULRGRI¿IWHHQGD\VIURPWKHGDWHRIUHFHLSWRIWUDQVIHUSURYLGHGWKHWUDQVIHUGRFXPHQWVORGJHGZLWKWKH&RPSDQ\ DUHFRPSOHWHLQDOOUHVSHFWV0HPEHUVZKRKROGVKDUHVLQSK\VLFDOIRUPDUHDGYLVHGWKDW6(%,KDVPDGHLWPDQGDWRU\ WKDWDFRS\RIWKH3$1FDUGRIWKHWUDQVIHUHHVPHPEHUVVXUYLYLQJMRLQWKROGHUVOHJDOKHLUVEHIXUQLVKHGWRWKH &RPSDQ\ZKLOHREWDLQLQJWKHVHUYLFHVRIWUDQVIHUWUDQVSRVLWLRQWUDQVPLVVLRQDQGLVVXHRIGXSOLFDWHVKDUHFHUWL¿FDWHV Further, SEBI vide its circular dated 20th April, 2018, has mandated to submit the PAN and Bank Account details E\DOOVKDUHKROGHUVWRWKH5HJLVWUDUDQG7UDQVIHU$JHQWRIWKH&RPSDQ\,QWKLVUHJDUGWKH&RPSDQ\WKURXJKLWV 5HJLVWUDUDQG7UDQVIHU$JHQWKDVDOUHDG\VHQWQRWLFHVRQ-XO\ WRWKHVKDUHKROGHUVIRUVXEPLVVLRQRIWKHLU 3$1DQG%DQN$FFRXQWGHWDLOVIRUUHJLVWUDWLRQXSGDWLRQ SEBI has also made an amendment to Regulation 40 of SEBI Listing Regulations with respect to mandatory GHPDWHULDOL]DWLRQIRUWUDQVIHURIVHFXULWLHV3XUVXDQWWRWKHDIRUHVDLGDPHQGPHQWWR6(%,/LVWLQJ5HJXODWLRQV/LVWHG Companies and their Registrars and Transfer Agents (RTAs) are advised to ensure that shares which are lodged IRUWUDQVIHUDUHPDQGDWRU\LQGHPDWHULDOL]HGIRUPZLWKHIIHFWIURP'HFHPEHU7KHUHIRUHVKDUHKROGHUVDUH UHTXHVWHGWRJHWWKHLUSK\VLFDOVKDUHKROGLQJGHPDWHULDOL]HGIRUDQ\IXUWKHUWUDQVIHUV As per the provisions of the Act, facility for making nomination is available for Members in respect of shares held E\ WKHP 0HPEHUV KROGLQJ VKDUHV LQ SK\VLFDO IRUP PD\ REWDLQ QRPLQDWLRQ IRUP IURP WKH 6KDUH 'HSDUWPHQW RI WKH&RPSDQ\RU5HJLVWUDURIWKH&RPSDQ\0HPEHUVKROGLQJVKDUHVLQGHPDWHULDOL]HGIRUPVKRXOGFRQWDFWWKHLU 'HSRVLWRU\3DUWLFLSDQWV '3 LQWKLVUHJDUG 7KH&RPSDQ\REWDLQVKDOI\HDUO\FHUWL¿FDWHRIFRPSOLDQFHUHODWHGWRWKHVKDUHWUDQVIHUIRUPDOLWLHVIURPD&RPSDQ\ 6HFUHWDU\LQSUDFWLFHDVUHTXLUHGXQGHU5HJXODWLRQ RIWKH6(%,/LVWLQJ5HJXODWLRQVDQG¿OHVDFRS\RIWKH FHUWL¿FDWHVLPXOWDQHRXVO\ZLWKWKH6WRFN([FKDQJHVXQGHU5HJXODWLRQ RIWKH6(%,/LVWLQJ5HJXODWLRQV (x) Shareholding Pattern as on March 31, 2018 Category No. of Percentage of Shares held Shareholding (%) (A) Shareholding of Promoter and Promoter Group1 1 Indian 5,496,349 2 Foreign 50 Total Shareholding of Promoter and Promoter Group 5,496,399 3.08 (B) Public Shareholding2 1 Institutions Mutual Funds/Trusts 95 Financial Institutions/Banks 17,423,614 Foreign Portfolio Investors 42,126,217 2 Non-institutions Bodies Corporate 33,655,791 NBFC’s 1,639,919 Indian Public and Others 78,113,213 Total Public Shareholding 17,29,58,849 96.92 (C) Shares held by Custodians and against which Depository Receipts have been issued 1 Promoter and Promoter Group - - 2 Public -- TOTAL (A) + (B) + (C) 178,455,248 100.00 1)RUGH¿QLWLRQVRI³3URPRWHU´DQG³3URPRWHU*URXS´UHIHUWR5HJXODWLRQ Z RI6(%,/LVWLQJ5HJXODWLRQV 2)RUGH¿QLWLRQRI³3XEOLF6KDUHKROGLQJ´UHIHUWR5HJXODWLRQ \ RIWKH6(%,/LVWLQJ5HJXODWLRQV Annual Report 2017-18 87 List of Public Shareholders holding more than 1% shareholding the Company as on March 31, 2018 Sr. Name of the shareholder No. of Percentage of No. Shares held Shareholding (%) 1 ,QGLD+RUL]RQ)XQG/WG 17,838,467 2 Resilient India Growth Fund 17,638,579 3 Axis Bank Limited 15,789,000 4 International Finance Corporation 12,818,331 5 Naina Mahesh Buxani 5,833,584 6 IL And FS Securities Services Limited 4,375,647 7 Dilipkumar Lakhi 4,747,161 8 CB Green Ventures Pte Limited 3,841,875 9 0DKHVK8GKDY%X[DQL 3,408,441 10 $5&+)LQDQFH/LPLWHG 3,468,268 11 Bay Capital Advisors Private Limited 2,125,294 12 Samco Securities Limited 2,281,922 13 Manish Lakhi 1,815,806 14 5+&)LQDQFH3ULYDWH/LPLWHG 1,815,134 TOTAL : 97,797,509 54.79 (xii) Distribution of Shareholding as on March 31, 2018 From – To No. of Shareholders No. of Shares Number % Total Number %Total 1-5000 41,785 4,414,654 5001-10000 3198 2,705,260 10001-20000 1775 2,832,328 20001-30000 654 1,713,665 30001-40000 302 1,104,749 40001-50000 375 1,811,216 50001-100000 524 4,223,098 100001 & Above 665 159,650,278 Total 49,278 100% 178,455,248 100% (xiii) Dematerialization of Shares and Liquidity The Company’s Equity Shares are in compulsory demat segment and are available for trading under dematerialized form with both National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited &'6/ $VRQ0DUFK (TXLW\6KDUHVRIWKH&RPSDQ\IRUPLQJ RIWKHWRWDOLVVXHGDQG SDLGXS(TXLW\6KDUH&DSLWDORIWKH&RPSDQ\ZHUHLQGHPDWHULDOL]HGIRUP The ISIN of the Company is INE621H01010 ZLWK16'/DQG&'6/ (xiv) Outstanding Global Depository Receipts (GDRs) / American Depository Receipts (ADRs) / Warrants or any other Convertible instruments, conversion date and likely impact on equity Details of outstanding Stock Options are being uploaded on the website of the Company and same can be accessed through web link KWWS ZZZUHOLJDUHFRP(PSOR\HH6WRFN2SWLRQ6FKHPHVDVS[ Other than above, the Company has no outstanding ADR/GDR, options or rights to convert debentures, loans or RWKHULQVWUXPHQWVLQWRWKH(TXLW\6KDUHVDVRQ0DUFK 88 Religare Enterprises Limited In pursuant to Special Resolution passed by the shareholders of the Company on March 19, 2018, the Company allotted 111,497,914 convertible warrants at offer price of ` HDFK WR YDULRXV LQYHVWRUV RQ$SULO H[HUFLVDEOHLQWRHTXDOQXPEHURI(TXLW\6KDUHVRIWKH&RPSDQ\)XUWKHUWKH&RPSDQ\DOORWWHGHTXLW\VKDUHVWR certain warrant holders upon exercise of their rights on conversion of warrants as per details provided elsewhere in WKH$QQXDO5HSRUW (xv) Plant Locations: Not Applicable (xvi) Transfer of unclaimed/unpaid amounts to the Investor Education and Protection Fund (IEPF) Pursuant to the provisions of Section 124 and Section 125 of the Act, and pursuant to the provisions of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016, dividend, if not FODLPHGIRUDFRQVHFXWLYHSHULRGRI\HDUVIURPWKHGDWHRIWUDQVIHUWRWKH8QSDLG'LYLGHQG$FFRXQWRIWKH&RPSDQ\ DUHOLDEOHWREHWUDQVIHUUHGWR,QYHVWRU(GXFDWLRQDQG3URWHFWLRQ)XQG ,(3) )XUWKHUWKHUHLVQLOXQSDLGDQGXQFODLPHG DPRXQWVO\LQJZLWKWKH&RPSDQ\DVRQ6HSWHPEHU GDWHRIODVW$QQXDO*HQHUDO0HHWLQJ $PRXQWO\LQJXQSDLGLQWKH8QSDLG'LYLGHQG$FFRXQWRIWKH&RPSDQ\LQUHVSHFWRIGLYLGHQGGHFODUHGLQ\HDU DQGQRWFODLPHGZLWKLQVHYHQ\HDUVIURPWKHGDWHRIWUDQVIHUWRWKH&RPSDQ\¶V8QSDLG'LYLGHQG$FFRXQWZKLFKZDV due to be transferred to the fund on April 08, 2017, has been transferred to the Investor Education and Protection )XQGSXUVXDQWWR6HFWLRQRIWKH$FWZLWKLQWKHSUHVFULEHGWLPHOLQHV (xvii) Address for Correspondence with the Company For Securities held in Physical form Karvy Computershare Private Limited .DUY\6HOHQLXP7RZHU% Plot 31-32, Gachibowli, Financial District, 1DQDNUDPJXGD+\GHUDEDG Telephone: +91 40 4465 5000, Fax: +91 40 2342 0814 Email: HLQZDUGULV#NDUY\FRP Website: ZZZNDUY\FRPSXWHUVKDUHFRP For Securities held in Demat form 7RWKH,QYHVWRUV¶'HSRVLWRU\3DUWLFLSDQW V DQGRU.DUY\&RPSXWHUVKDUH3ULYDWH/LPLWHG Any query on Annual Report 0UV5HHQD-D\DUD Company Secretary 3ORW1R$3ULXV*OREDO7RZHUµ$¶6HFWRU1RLGD E-mail: LQYHVWRUVHUYLFHV#UHOLJDUHFRP For retail investors E-mail: LQYHVWRUVHUYLFHV#UHOLJDUHFRP and / or HLQZDUGULV#NDUY\FRP For institutional investors’ / analysts’ queries E-mail: LQYHVWRUUHODWLRQV#UHOLJDUHFRP Annual Report 2017-18 89 CEO /CFO CERTIFICATION :H$VKRN0HKWD,QWHULP&(2DQG.ULVKQDQ6XEUDPDQLDQ'LUHFWRU±)LQDQFHRI5HOLJDUH(QWHUSULVHV/LPLWHGKHUHE\FHUWLI\ that: D :HKDYHUHYLHZHG¿QDQFLDOVWDWHPHQWVDQGWKHFDVKÀRZVWDWHPHQWIRUWKH\HDUHQGHG0DUFKDQGWKDWWRWKHEHVW of our knowledge and belief: (i) these statements do not contain any materially untrue statement or omit any material fact or contain statements that PLJKWEHPLVOHDGLQJ (ii) these statements together present a true and fair view of the Company’s affairs and are in compliance with the H[LVWLQJ$FFRXQWLQJ6WDQGDUGVDSSOLFDEOHODZVDQGUHJXODWLRQV b) There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year which are IUDXGXOHQWLOOHJDORUYLRODWLYHRIWKH&RPSDQ\¶V&RGHRI&RQGXFW F :HDFFHSWUHVSRQVLELOLW\IRUHVWDEOLVKLQJDQGPDLQWDLQLQJLQWHUQDOFRQWUROVIRU¿QDQFLDOUHSRUWLQJDQGKDYHHYDOXDWHGWKH HIIHFWLYHQHVVRILQWHUQDOFRQWUROV\VWHPVRIWKH&RPSDQ\SHUWDLQLQJWR¿QDQFLDOUHSRUWLQJDQGZHKDYHGLVFORVHGWRWKH $XGLWRUVDQGWKH$XGLW&RPPLWWHHGH¿FLHQFLHVLQWKHGHVLJQRURSHUDWLRQRIVXFKLQWHUQDOFRQWUROVLIDQ\RIZKLFKZHDUH DZDUHDQGWKHVWHSVZHKDYHWDNHQRUSURSRVHWRWDNHWRUHFWLI\WKHVHGH¿FLHQFLHV d) We have indicated to the Auditors and the Audit Committee that – L WKHUHKDVQRWEHHQDQ\VLJQL¿FDQWFKDQJHVLQLQWHUQDOFRQWURORYHU¿QDQFLDOUHSRUWLQJGXULQJWKH\HDUXQGHUUHIHUHQFH LL WKHUHKDVQRWEHHQDQ\VLJQL¿FDQWFKDQJHVLQDFFRXQWLQJSROLFLHVGXULQJWKH\HDUXQGHUUHYLHZ DQG LLL WKHUH KDV QRW EHHQ DQ\ LQVWDQFHV GXULQJ WKH \HDU RI VLJQL¿FDQW IUDXG RI ZKLFK ZH KDG EHFRPH DZDUH DQG WKH LQYROYHPHQWWKHUHLQLIDQ\RIWKHPDQDJHPHQWRUDQHPSOR\HHKDYLQJDVLJQL¿FDQWUROHLQWKH&RPSDQ\¶VLQWHUQDO FRQWUROV\VWHPRYHU¿QDQFLDOUHSRUWLQJ Sd/- Sd/- Place : Gurugram Ashok Mehta Krishnan Subramanian Date : May 30, 2018 Interim CEO Director-Finance DECLARATION BY CEO This is to certify that the Company has laid down a Code of Conduct (the Code) for all Board Members and Senior Management 3HUVRQQHORIWKH&RPSDQ\DQGDFRS\RIWKH&RGHLVSXWRQWKHZHEVLWHRIWKH&RPSDQ\YL]ZZZUHOLJDUHFRP ,WLVIXUWKHUFHUWL¿HGWKDWWKH'LUHFWRUVDQG6HQLRU0DQDJHPHQWKDYHDI¿UPHGWKHLUFRPSOLDQFHZLWKWKH&RGHIRUWKH\HDUHQGHG 31st0DUFK Place : Gurugram Sd/- Date : May 16, 2018 Ashok Mehta Interim CEO 90 Religare Enterprises Limited CORPORATE GOVERNANCE CERTIFICATE To The Members Religare Enterprises Limited We have examined the compliance of conditions of Corporate Governance by Religare Enterprises Limited (“the Company”), IRUWKH¿QDQFLDO\HDUHQGHG0DUFKDVVWLSXODWHGXQGHU5HJXODWLRQVWRDQGFODXVHV E WR L RI5HJXODWLRQ and Para C, D and E of Schedule V to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing 5HJXODWLRQV´ 7KHFRPSOLDQFHRIFRQGLWLRQVRI&RUSRUDWH*RYHUQDQFHLVWKHUHVSRQVLELOLW\RIWKHPDQDJHPHQWRIWKH&RPSDQ\2XUH[DPLQDWLRQ was limited to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of &RUSRUDWH*RYHUQDQFH,WLVQHLWKHUDQDXGLWQRUDQH[SUHVVLRQRIRSLQLRQRQWKH¿QDQFLDOVWDWHPHQWVRIWKH&RPSDQ\ In our opinion and to the best of our information and according to the explanations given to us, we certify that the Company has complied with the conditions of Corporate Governance as stipulated under Regulations 17 to 27 and clauses (b) to (i) of 5HJXODWLRQ DQG3DUD&'DQG(RI6FKHGXOH9WRWKH/LVWLQJ5HJXODWLRQV :HIXUWKHUVWDWHWKDWVXFKFRPSOLDQFHLVQHLWKHUDQDVVXUDQFHDVWRWKHIXWXUHYLDELOLW\RIWKH&RPSDQ\QRUWKHHI¿FLHQF\RU HIIHFWLYHQHVVZLWKZKLFKWKHPDQDJHPHQWKDVFRQGXFWHGWKHDIIDLUVRIWKH&RPSDQ\ For Sanjay Grover & Associates Company Secretaries )LUP5HJLVWUDWLRQ1R P2001DE052900 Sd/- Sanjay Grover Date : -XO\ Managing Partner Place : New Delhi C.P. 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ADVANCES $GYDQFHVRI1%)&FRPSDQLHVLQWKHJURXSDUHFODVVL¿HGDVSHUIRUPLQJDQGQRQSHUIRUPLQJDVVHWVEDVHGRQWKHLQWHUQDO ULVNPDQDJHPHQWSROLF\RUWKHUHOHYDQW1%)&'LUHFWLRQVZKLFKHYHULVFRQVHUYDWLYH 118 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 3. Share Capital As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW(`) Authorised Capital*: 0DUFK (TXLW\6KDUHVRI`HDFK 6,544,500,000 0DUFK 5HGHHPDEOH3UHIHUHQFH 1,620,000,000 VKDUHVRI`HDFK Total 8,164,500,000 ,VVXHG6XEVFULEHG )XOO\SDLGXSVKDUHV 0DUFK (TXLW\6KDUHVRI`HDFK 1,784,552,480 0DUFK &XPXODWLYH5HGHHPDEOH 15,000,000 3UHIHUHQFHVKDUHVRI`HDFK 0DUFK 1LO 1RQ&XPXODWLYH1RQ&RQYHUWLEOH 250,000,000 5HGHHPDEOH3UHIHUHQFHVKDUHVRI`HDFK 7RWDO,VVXHG6XEVFULEHGDQG)XOO\3DLG8S6KDUHV 2,049,552,480 7KH$XWKRULVHGHTXLW\VKDUHFDSLWDOZDVLQFUHDVHGWR HTXLW\ VKDUHV RI ` HDFK DQG UHGHHPDEOH SUHIHUHQFH VKDUHV RI ` HDFK SXUVXDQW WR WKH DPDOJDPDWLRQ RI LWV VXEVLGLDULHV YLGH WKH 2UGHU GDWHG 'HFHPEHURI+RQ¶EOH1DWLRQDO&RPSDQ\/DZ7ULEXQDO ³1&/7´ 5HIHU1RWH 3.1 Reconciliation of the shares outstanding at the beginning and at the end of reporting period As at $VDW Particulars March 31, 2018 0DUFK Number Amount (`) 1XPEHU $PRXQW `) ,VVXHGVXEVFULEHGDQGIXOO\SDLGXS (TXLW\6KDUHVRI`HDFK %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 178,334,498 1,783,344,980 $GG 6KDUHVLVVXHGGXULQJWKH\HDUWKURXJK(623 120,750 1,207,500 Balance as at the end of the year 178,455,248 1,784,552,480 13.66% Cumulative Redeemable Preference Shares of `HDFK)XOO\3DLG8S %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 1,500,000 15,000,000 /HVV 5HGHHPHGGXULQJWKH\HDU - - Balance as at the end of the year 1,500,000 15,000,000 0.01% Non Convertible Non Cumulative Redeem- able Preference shares of `HDFK)XOO\3DLG Up %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 25,000,000 250,000,000 $GG 6KDUHVLVVXHGGXULQJWKH\HDU - - Balance as at the end of the year 25,000,000 250,000,000 Total 204,955,248 2,049,552,480 Annual Report 2017-18 119 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 D 7KHULJKWVSUHIHUHQFHVDQGUHVWULFWLRQVDWWDFKLQJWRHTXLW\VKDUHVLQFOXGLQJUHVWULFWLRQVRQWKHGLVWULEXWLRQ of dividends and the repayment of capital is as under: 7KH&RPSDQ\KDVRQO\RQHFODVVRIHTXLW\VKDUHVKDYLQJDIDFHYDOXHRI`SHUVKDUH(DFKVKDUHKROGHULV HQWLWOHGWRRQHYRWHSHUVKDUH7KH&RPSDQ\GHFODUHVDQGSD\VGLYLGHQGLQ,QGLDQ5XSHH7KHGLYLGHQGSURSRVHG E\WKH%RDUGRIWKH'LUHFWRUVLVVXEMHFWWRWKHDSSURYDORIWKHVKDUHKROGHUVLQWKHHQVXLQJ$QQXDO*HQHUDO0HHWLQJ H[FHSWLQFDVHRI,QWHULP'LYLGHQG,QWKHHYHQWRIWKHOLTXLGDWLRQRIWKH&RPSDQ\WKHKROGHURIWKHHTXLW\VKDUHVZLOO EHHQWLWOHGWRUHFHLYHDQ\RIWKHUHPDLQLQJDVVHWVRIWKH&RPSDQ\DIWHUGLVWULEXWLRQRIDOOSUHIHUHQWLDODPRXQWV7KH GLVWULEXWLRQZLOOEHLQSURSRUWLRQRIWKHQXPEHURIWKHHTXLW\VKDUHVKHOGE\WKHHTXLW\VKDUHKROGHUV (b) The rights, preferences and restrictions attaching to Preference Shares including restrictions on the distribution of dividends and the repayment of capital is as under: 7KH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\RQ6HSWHPEHUSURSRVHGWKHIROORZLQJFKDQJHVLQDOORXWVWDQGLQJ SUHIHUHQFHVKDUHVRI` D $OO WKH SUHIHUHQFH VKDUHV DUH WR EH PDQGDWRULO\ UHGHHPDEOH RQ EHIRUH 2FWREHU EHLQJ WKH ¿QDO UHGHPSWLRQGDWHDQG E WRUHSULFHWKHUHGHPSWLRQSUHPLXP 7KHVDLGSURSRVDOKDVEHHQDSSURYHGE\DOOFODVVHVRISUHIHUHQFHVKDUHKROGHUVRQ2FWREHU F 7KH&RPSDQ\KDVIROORZLQJFODVVHVRI3UHIHUHQFH6KDUHV 13.66% Cumulative Redeemable Preference Shares 7KH IDFH YDOXH RI HDFK 3UHIHUHQFH VKDUH LV ` 7KH VKDUHV VKDOO KDYH VDPH YRWLQJ ULJKWV DSSOLFDEOH WR WKH SUHIHUHQFHVKDUHVXQGHUWKH&RPSDQLHV$FW(DFKSUHIHUHQFHVKDUHHQWLWOHVWKHKROGHUDULJKWWRUHFHLYH LQ SULRULW\ WR (TXLW\ VKDUHKROGHU SUHIHUHQFH GLYLGHQG RQ FXPXODWLYH EDVLV DW D UDWH QRW H[FHHGLQJ SHU ¿QDQFLDO \HDU ,Q WKH HYHQW RI OLTXLGDWLRQ RI WKH &RPSDQ\ WKH KROGHU LV HQWLWOHG WR UHFHLYH LQ SULRULW\ WR DOO HTXLW\ VKDUHV DPRXQW HTXDO WR WKH WRWDO RI SDLG XS FDSLWDO SOXV WKH UHGHPSWLRQ SUHPLXP DQ\ XQSDLG GLYLGHQG DVSHUWKHWHUPVRILVVXH7KHVKDUHVZHUHDOORWWHGLQWKUHHWUDQFKHVRQ2FWREHU'HFHPEHU DQG $SULO KDYLQJ IDFH YDOXH RI ` ` DQG ` UHVSHFWLYHO\ DW `HDFK LQFOXGLQJSUHPLXPRI` SHUVKDUH 7KH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\LQLWVPHHWLQJKHOG RQ 0D\ DSSURYHG WKH SURSRVDO WR UHGHHP WKH DERYHPHQWLRQHG FODVV RI SUHIHUHQFH VKDUHV RXW RI IXQGV UDLVHG WKURXJK SUHIHUHQFH DOORWPHQW RI (TXLW\ VKDUHV RI WKH &RPSDQ\ 2Q -XQH WKH &RPSDQ\ UHGHHPHG VKDUHV DW D SUHPLXP RI ` SHU VKDUH DQG VKDUHV DW D SUHPLXP RI `SHUVKDUH 'XULQJWKHSUHYLRXV\HDUHQGHG0DUFKWKH&RPSDQ\UHGHHPHGVKDUHVDW` DWD SUHPLXPRI` SHUVKDUH 5HGHPSWLRQZDVEHLQJPDGHRXWRIWKHSURFHHGVRIWKHIUHVKLVVXDQFHRI QR V RI1RQ&XPXODWLYH1RQ&RQYHUWLEOH5HGHHPDEOH3UHIHUHQFH6KDUHV ³1&536´ RQSULYDWHSODFHPHQW EDVLV 7KHUHGHPSWLRQRIDERYHVKDUHVKDGEHHQPDGHRXWRISURFHHGVRISUHIHUHQWLDODOORWPHQWRIVKDUHVDVVWDWHGDERYH LQDFFRUGDQFHZLWKSURYLVLRQVRI6HFWLRQRIWKH&RPSDQLHV$FW HUVWZKLOH6HFWLRQRIWKH&RPSDQLHV$FW 1RDPRXQWUHTXLUHGWREHWUDQVIHUUHGWR&DSLWDO5HGHPSWLRQ5HVHUYHVLQFHWKHUHGHPSWLRQRIWKHDIRUHVDLG SUHIHUHQFHVKDUHVKDVEHHQPDGHRXWRISURFHHGVRIWKHSUHIHUHQWLDODOORWPHQW 7KHUHSD\PHQWWHUPVRISUHIHUHQFHVKDUHVLVVXHGDUHDVEHORZ 7KHUHPDLQLQJDERYHVKDUHVDUHUHGHHPDEOHDWDQDPRXQW LQFOXGLQJSUHPLXP QRWH[FHHGLQJ` SHUVKDUH RQ2FWREHURUDWDQHDUOLHUGDWHDVPD\EHGHFLGHGE\WKH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\ 0.01% Cumulative Redeemable Preference Shares 7KH IDFH YDOXH RI HDFK SUHIHUHQFH VKDUH LV ` 7KH VKDUHV VKDOO KDYH VDPH YRWLQJ ULJKWV DSSOLFDEOH WR WKH SUHIHUHQFHVKDUHVXQGHUWKH&RPSDQLHV$FW(DFKSUHIHUHQFHVKDUHHQWLWOHVWKHKROGHUDULJKWWRUHFHLYH LQ SULRULW\ WR (TXLW\ VKDUHKROGHU SUHIHUHQFH GLYLGHQG RQ QRQ FXPXODWLYH EDVLV DW D UDWH QRW H[FHHGLQJ SHU ¿QDQFLDO \HDU ,Q WKH HYHQW RI OLTXLGDWLRQ RI WKH &RPSDQ\ WKH KROGHU LV HQWLWOHG WR UHFHLYH LQ SULRULW\ WR DOO HTXLW\ VKDUHV DPRXQW HTXDO WR WKH WRWDO RI SDLG XS FDSLWDO SOXV WKH UHGHPSWLRQ SUHPLXP DQ\ XQSDLG GLYLGHQG DV SHU WKH WHUPV RI LVVXH 7KH VKDUHV ZHUH DOORWWHG LQ RQH WUDQFKH RQ $XJXVW KDYLQJ IDFH YDOXH RI `DWSDU 120 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 7KHUHSD\PHQWWHUPVRISUHIHUHQFHVKDUHVLVVXHGDUHDVEHORZ 7KHUHGHPSWLRQRIDOORUSDUWRISUHIHUHQFHVKDUHVFDQWDNHSODFHDQ\WLPHSULRUWR¿QDOUHGHPSWLRQDWWKHRSWLRQRIWKH &RPSDQ\7KHDERYHVKDUHVDUHUHGHHPDEOHDWDQDPRXQW LQFOXGLQJSUHPLXP QRWH[FHHGLQJ`SHUVKDUHRQ $XJXVW 3.3 3UHIHUHQFH6KDUHKROGHUVRIWKH&RPSDQ\UHOLQTXLVKHGWKHLUYRWLQJULJKWVLQUHVSHFWRIWKHLUSUHIHUHQFHVKDUHVDULVLQJE\ YLUWXHRI6HFWLRQ RIWKH&RPSDQLHV$FW HUVWZKLOH6HFWLRQ E RIWKH&RPSDQLHV$FW 3.4 Details of the shareholders holding more than 5% of the aggregate shares in the Company: As at March 31, 2018 $VDW0DUFK Name of the Shareholder No. of Shares % of 1RRI6KDUHV RI+ROGLQJ held +ROGLQJ held a. (TXLW\6KDUHV 5+&)LQDQFH3ULYDWH/LPLWHG - - 0DOYLQGHU0RKDQ6LQJK - - 6KLYLQGHU0RKDQ6LQJK - - 5+&+ROGLQJ3ULYDWH/LPLWHG - - 6KDEQDP'KLOORQ - - ,QGLD+RUL]RQ)XQG/LPLWHG 17,838,467 9.99 ,QWHUQDWLRQDO)LQDQFH&RUSRUDWLRQ 12,818,331 7.18 $[LV%DQN/LPLWHG 15,789,000 8.85 5HVLOLHQW,QGLD*URZWK)XQG 17,638,579 9.88 b. Preference Shares 2VFDU,QYHVWPHQW/LPLWHG 1,500,000 5.66 5+&)LQDQFH3ULYDWH/LPLWHG 25,000,000 94.34 3.5 7KHUHDUHQRVKDUHVERXJKWEDFNE\WKH&RPSDQ\GXULQJWKHSHULRGRI¿YH\HDUVLPPHGLDWHO\SUHFHGLQJWKH%DODQFH 6KHHW'DWH7KHUHDUHQRVHFXULWLHVWKDWDUHFRQYHUWLEOHLQWRHTXLW\SUHIHUHQFHVKDUHVRWKHUWKDQHPSOR\HHVWRFNRSWLRQV LVVXHGE\WKH&RPSDQ\ 4. Reserves and Surplus As at $VDW March 31, 2018 Particulars 0DUFK Amount (`) $PRXQW `) a. Capital Reserve on Consolidation %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 122,519,890 /HVV $GMXVWPHQWGXHWRVDOHRILQYHVWPHQWLQDVXEVLGLDU\ - $GG $GMXVWPHQWGXHWR&RPSRVLWH6FKHPHRI$UUDQJHPHQW 5HIHU1RWH 765,714,524 Balance as at the end of the year 888,234,414 b. Securities Premium Account %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 35,305,385,735 $GG 6HFXULWLHVSUHPLXPFUHGLWHGRQLVVXHRI(TXLW\6KDUHVGXULQJWKH 15,697,500 \HDU /HVV $GMXVWPHQWRQUHGXFWLRQRIVKDUHKROGLQJLQDVXEVLGLDU\ - /HVV $GMXVWPHQWRQVDOHRIDVXEVLGLDU\ - /HVV 3UHPLXPRQUHGHPSWLRQRI3UHIHUHQFH6KDUHV - Balance as at the end of the year 35,321,083,235 Annual Report 2017-18 121 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at $VDW March 31, 2018 Particulars 0DUFK Amount (`) $PRXQW `) c. Capital Redemption Reserve %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 750,000 $GG $GMXVWPHQWGXHWR&RPSRVLWH6FKHPHRI$UUDQJHPHQW 5HIHU1RWH 11,563,700 Balance as at the end of the year 12,313,700 d. 6KDUH2SWLRQV2XWVWDQGLQJ$FFRXQW %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU - /HVV 7UDQVIHUWR*HQHUDO5HVHUYH - Balance as at the end of the year - e. Foreign Currency Translation Reserve %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 265,224,397 $GG $GGLWLRQ 'HGXFWLRQ GXULQJWKH\HDU 484,557 Balance as at the end of the year 265,708,954 f. General Reserve %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 73,797,008 $GG 7UDQVIHUIURP6KDUH2SWLRQV2XWVWDQGLQJ$FFRXQW - $GG $GMXVWPHQWGXHWR&RPSRVLWH6FKHPHRI$UUDQJHPHQW 5HIHU1RWH 191,616,770 Balance as at the end of the year 265,413,778 g. Capital Reserve arising out of Composite Scheme of Arrangement %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU - $GG $GMXVWPHQWGXHWR&RPSRVLWH6FKHPHRI$UUDQJHPHQW 5HIHU1RWH 652,564,987 Balance as at the end of the year 652,564,987 h. 6WDWXWRU\5HVHUYH8V,&RI5%,$FW %DODQFHDVDWWKHEHJLQQLQJRIWKH\HDU 177,852,075 $GG $GMXVWPHQWGXHWR&RPSRVLWH6FKHPHRI$UUDQJHPHQW 5HIHU1RWH 793,411,151 Balance as at the end of the year 971,263,226 i. 6XUSOXVLQ6WDWHPHQWRI3UR¿WDQG/RVVA %DODQFHRI3UR¿W /RVV DVDWWKHEHJLQQLQJRIWKH\HDU (10,476,888,716) $GG 3UR¿W /RVV IRUWKH\HDU (11,925,005,164) /HVV $GMXVWPHQWGXHWRFKDQJHLQVKDUHKROGLQJVLQVXEVLGLDULHV (22,155,131) $GG $GMXVWPHQWGXHWRFDSLWDOUHGXFWLRQE\DVXEVLGLDU\ - /HVV $GMXVWPHQW GXH WR &RPSRVLWH 6FKHPH RI $UUDQJHPHQW 5HIHU (1,155,645,148) 1RWH $GG $GMXVWPHQWGXHWRVWDNHSXUFKDVHLQDVXEVLGLDU\ - Amount available for appropriation (23,579,694,159) /HVV 7UDQVIHUWR6WDWXWRU\5HVHUYHVXV,&RI5%,$FW - %DODQFHRI3UR¿W /RVV DVDWWKHHQGRIWKH\HDU (23,579,694,159) Total 14,796,888,135 'XULQJWKHSUHYLRXV\HDUHQGHG0DUFKSXUVXDQWWRFRPSOHWLRQRIH[HUFLVHSHULRGZLWKLQZKLFKWKHYHVWHG RSWLRQVFDQEHH[HUFLVHGDVSHUWKH(PSOR\HH6WRFN2SWLRQ6FKHPH (623 WKH&RPSDQ\KDGWUDQVIHUUHGWKH 2XWVWDQGLQJ 6KDUH 2SWLRQ $FFRXQW %DODQFH WR *HQHUDO 5HVHUYH LQ DFFRUGDQFH ZLWK WKH 6HFXULWLHV DQG ([FKDQJH 122 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 %RDUGRI,QGLD (PSOR\HHV6WRFN2SWLRQ6FKHPHDQG(PSOR\HH6WRFN3XUFKDVH6FKHPH *XLGHOLQHVDQGDQ\ DPHQGPHQWVWKHUHRIIURPWLPHWRWLPH A6XUSOXVLQFOXGHVGLYLGHQGSURSRVHGE\D6XEVLGLDU\RQLWVHTXLW\VKDUHVDQGFRUSRUDWHGLYLGHQGWD[DJJUHJDWLQJWR `1LO 0DUFK `1LO 6WDWXWRU\5HVHUYHVKHOGE\FHUWDLQ1%)&¶V+RXVLQJ)LQDQFH6XEVLGLDULHVDVSHUUHVSHFWLYH VWDWXWRU\UHTXLUHPHQWRI` 0DUFK ` 'HEHQWXUH5HGHPSWLRQ5HVHUYHKHOGE\ D6XEVLGLDU\XQGHUVHFWLRQRIWKH&RPSDQLHV$FWRI` 0DUFK ` DQGRWKHU DSSURSULDWLRQLWHPVKHOGE\WKH6XEVLGLDULHVRI` 0DUFK ` $ 6KDUH$SSOLFDWLRQ0RQH\3HQGLQJIRU$OORWPHQWUHFHLYHGIURPHPSOR\HHVWRZDUGVH[HUFLVHRIVWRFNRSWLRQV As at March 31, 2018 $VDW0DUFK Particulars No of 1RRI Amount $PRXQW shares VKDUHV (TXLW\VKDUHVRIIDFHYDOXHRI`HDFKSURSRVHGWREHLVVXHG -- -- 'XULQJWKHSHUYLRXV\HDUHQGHG0DUFKWKH&RPSDQ\KDVUHFHLYHGVKDUHDSSOLFDWLRQPRQH\RI` IURPZKROHWLPHGLUHFWRU DVDQHPSOR\HH XQGHU(PSOR\HH6WRFN2SWLRQ6FKHPHZKLFKZDVSHQGLQJDOORWPHQWWLOO WKH\HDUHQG0DUFK7KHDERYHVKDUHDSSOLFDWLRQPRQH\KDVEHHQDOORWWHGWRQXPEHURIHTXLW\VKDUHV KDYLQJIDFHYDOXHRI`HDFKDJJUHJDWLQJWR`RQ0D\ 4B Share Warrents L 6XEVHTXHQW WR WKH \HDU HQGHG 0DUFK SXUVXDQW WR VKDUHKROGHUVDSSURYDOGDWHG0DUFK WKH µ,QYHVWPHQW%RUURZLQJDQG6KDUH$OORWPHQW&RPPLWWHH¶RIWKH%RDUGRI'LUHFWRUVRQ$SULO LVVXHGDQG DOORWWHG FRQYHUWLEOHZDUUDQWVDWDSULFHRI`SHUZDUUDQW LQFOXGLQJDSUHPLXPRI`SHU ZDUUDQW RQSUHIHUHQWLDOEDVLVXQGHUWKHSURYLVLRQVRI&KDSWHU9,,RI6HFXULWLHV([FKDQJHDQG%RDUGRI,QGLD ,VVXH RI&DSLWDODQG'LVFORVXUH5HTXLUHPHQWV 5HJXODWLRQV DVDPHQGHG ³,&'55HJXODWLRQV´ DQG6HFWLRQDQG RIWKH&RPSDQLHV$FW7KH&RPSDQ\KDVUHFHLYHGXSIURQWSD\PHQWRI`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` FRPSULVLQJRI HTXLW\VKDUHVRIWKHIDFHYDOXHRI`HDFK7KH&RPSDQ\LV\HWWRPDNHDOLVWLQJ DSSOLFDWLRQWRWKH6WRFN([FKDQJHV /RQJ7HUP%RUURZLQJV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) Secured Loans 'HEHQWXUHV 5HIHU1RWH , - 7HUP/RDQV)URP%DQNV 5HIHU1RWH , L 49,099,475,373 7HUP/RDQV)URP2WKHUV 5HIHU1RWH , LL 3,487,500,000 Sub Total 52,586,975,373 Unsecured Loans 'HEHQWXUHV 5HIHU1RWH ,, 2,200,000,000 7HUP/RDQV)URP%DQNV 5HIHU1RWH ,, 3,500,000,000 Sub Total 5,700,000,000 Grand Total 58,286,975,373 Annual Report 2017-18 123 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 5.1 Schedule of Debentures As at March 31, 2018 (Amount in `) $VDW0DUFK $PRXQWLQ`) Particulars Current Total Non Current Total Maturity &XUUHQW0DWXULW\ 1RQ&XUUHQW ,6HFXUHG Redeemable Non - Convertible Debentures L 3ULYDWHO\3ODFHG 2,040,000,000 2,040,000,000 - LL 3XEOLFO\3ODFHG 369,344,000 369,344,000 - 7RWDO , 2,409,344,000 2,409,344,000 - ,,8QVHFXUHG L 3ULYDWHO\3ODFHG1RQ 2,200,000,000 - 2,200,000,000 &RQYHUWLEOH'HEHQWXUHV 7RWDO ,, 2,200,000,000 - 2,200,000,000 *UDQG7RWDO ,,, 4,609,344,000 2,409,344,000 2,200,000,000 $GGLWLRQDOSDUWLFXODUVRIGHEHQWXUHVLQGHVFHQGLQJRUGHURIPDWXULW\DVSHUVXEFODXVH LY RIFODXVH&RI3DUW,RI 6FKHGXOH,,,WRWKH&RPSDQLHV$FW , 6HFXUHG'HEHQWXUHV (i) Details of Privately Placed Secured Debentures D 'HWDLOVRI3ULYDWHO\3ODFHG6HFXUHG5HGHHPDEOH1RQ&RQYHUWLEOH'HEHQWXUHV ³1&'V´ RXWVWDQGLQJ DVRQ0DUFKZKLFKDUHVHFXUHGE\5)/¶VLPPRYDEOHSURSHUW\DQG¿UVWSDULSDVVXFKDUJHRYHU VWDQGDUGEXVLQHVVUHFHLYDEOHVRIWKH&RPSDQ\ZLWK$VVHW&RYHURI;DVDSSOLFDEOH As at Coupon Rate $VDW Date of Redemption Put and Call S. No. March 31, 2018 0DUFK (% p.a.) Allotment 'XH2Q 2SWLRQ Amount (`) $PRXQW `) - $XJ 0D\ 1$ - $XJ $XJ 1$ 500,000,000 0D\ -XO 1$ 1,500,000,000 0D\ -XO 1$ - -XQ -XO 1$ - 0D\ -XO 1$ 2Q;,55 40,000,000 $SU -XO 1$ %DVLV - 0D\ 0D\ 1$ - -XQ 0DU 1$ 2Q;,55 - $SU 0DU 1$ %DVLV - -XQ $SU 1$ 2Q;,55 - $XJ -XO 1$ %DVLV 2Q;,55 - 1RY 1RY 1$ %DVLV 2Q;,55 - 'HF 2FW 1$ %DVLV - 'HF 'HF 1$ 124 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at Coupon Rate $VDW Date of Redemption Put and Call S. No. March 31, 2018 0DUFK (% p.a.) Allotment 'XH2Q 2SWLRQ Amount (`) $PRXQW `) 2Q;,55 - )HE )HE 1$ %DVLV - 0D\ 0D\ 1$ - 0DU 0DU 1$ - )HE )HE 1$ Total (a) 2,040,000,000 7KHDERYHGHEHQWXUHVDUHSULYDWHO\SODFHGZLWK0XWXDO)XQGV $0&V 3HQVLRQIXQGV3URYLGHQW)XQGV%DQNV,QGLYLGXDOV DQG&RUSRUDWHV 1RWH5HIHU1RWH 9 IRUEX\EDFNGHWDLOV E 'HWDLOVRI3ULYDWHO\3ODFHG6HFXUHG5HGHHPDEOH1&'¶VRXWVWDQGLQJDVRQ0DUFKLVDVXQGHU S. Coupon Rate As at March 31, $VDW0DUFK Date of Redemption Put and No. (% p.a.) 2018 Amount (`) $PRXQW `) Allotment 'XH2Q &DOO2SWLRQ - 0DU -XQ 1$ RQ;,55 - 0DU )HE 1R EDVLV RQ;,55 - 0DU 0DU 1R EDVLV Total (b) - Note:7KHDERYHGHEHQWXUHVDUHSULYDWHO\SODFHGZLWK),,V&RUSRUDWHV%DQNVDQG7UXVWVDQGDUHVHFXUHGE\ZD\RI¿UVW PRUWJDJHFKDUJHRQWKH&RPSDQ\¶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¿WRIWKH'HEHQWXUH+ROGHUVDQGWKHVXEVLGLDU\FRPSDQ\VKDOOPDLQWDLQWKHPLQLPXPDVVHWFRYHURIWLPHVDWDOO WLPHVGXULQJWKHFXUUHQF\RIWKH'HEHQWXUHV Total Privately Placed 2,040,000,000 6HFXUHG'HEHQWXUHV DE (ii) Details of Publicly Placed Secured Debentures 'HWDLOVRI3XEOLFO\3ODFHG6HFXUHG5HGHHPDEOH1&'VRXWVWDQGLQJDVRQ0DUFKZKLFKDUHVHFXUHGE\SDUL SDVVXPRUWJDJHRYHUWKH5)/¶VLPPRYDEOHSURSHUW\DQG¿UVWSDULSDVVXFKDUJHRYHUVWDQGDUGEXVLQHVVUHFHLYDEOHV RIWKH&RPSDQ\ZLWK$VVHW&RYHURI;DVDSSOLFDEOH S. Coupon Rate As at March 31, $VDW0DUFK Date of Allotment 5HGHPSWLRQ'XH2Q No. (% p.a.) 2018 Amount (`) $PRXQW `) 56,134,000 2FW 2FW 313,210,000 2FW $XJ - 2FW 2FW - 2FW 2FW - 2FW 2FW - 2FW 2FW Total 369,344,000 'HQRWHV(IIHFWLYH Annual Report 2017-18 125 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 Maturity Pattern of abovementioned Publicly Placed Secured Redeemable Non-Convertible Debentures:- Amount (`) Maturity Due Maturity Due Particulars 'XULQJ2QH\HDUIURP $IWHU2QH\HDUIURP Reporting Date Reporting Date 6HULHV 369,344,000 - Total 369,344,000 - ,, 8QVHFXUHG'HEHQWXUHV 'HWDLOVRI3ULYDWHO\3ODFHG8QVHFXUHG5HGHHPDEOH1RQ&RQYHUWLEOH'HEHQWXUHVRXWVWDQGLQJDVRQ0DUFK S. Coupon Rate As at March $VDW0DUFK Date of Allotment 5HGHPSWLRQ'XH2Q No. 31, 2018 Amount (`) $PRXQW `) 200,000,000 0DU 0DU 80,000,000 )HE )HE 420,000,000 -DQ -DQ 500,000,000 2FW 2FW - 2FW -XO 1,000,000,000 'HF -XQ - 1RY 0D\ - )HE 0D\ - $XJ 0D\ - -XO $SU - $XJ 0DU - 6HS $SU Total 2,200,000,000 ,,, ,QUHVSHFWRISULYDWHO\SODFHG1&'VE\5HOLJDUH)LQYHVW/LPLWHG ³5)/´ 1%)&VXEVLGLDU\RIWKH&RPSDQ\LQWHUPVRI WKHSURYLVLRQVRI6HFWLRQRIWKH&RPSDQLHV$FWUHDGZLWK&RPSDQLHV 6KDUH&DSLWDODQG'HEHQWXUHV 5XOHV GDWHG0DUFKDVDPHQGHGE\WKHQRWL¿FDWLRQ&RPSDQLHV 6KDUH&DSLWDODQG'HEHQWXUHV 7KLUG$PHQGPHQW 5XOHVGDWHG-XO\ LVVXHGE\WKH0LQLVWU\RI&RUSRUDWH$IIDLUVD1%)&&RPSDQ\UHJLVWHUHGZLWK5%,LVQRW UHTXLUHGWRFUHDWH'HEHQWXUH5HGHPSWLRQ5HVHUYH ³'55´ LQFDVHRISULYDWHO\SODFHGGHEHQWXUHV+HQFHQR'55KDV EHHQFUHDWHGRQSULYDWHO\SODFHGGHEHQWXUHV VHFXUHGDQGXQVHFXUHG )XUWKHULQUHVSHFWRISULYDWHO\SODFHG1&'VE\5HOLJDUH+RXVLQJ'HYHORSPHQW)LQDQFH&RUSRUDWLRQ/LPLWHG ³5+')&´ RQHRIWKHVXEVXEVLGLDULHVRIWKH&RPSDQ\QR'55LVUHTXLUHGLQWHUPVRIWKHSURYLVLRQVRI6HFWLRQRIWKH&RPSDQLHV $FW UHDG ZLWK &RPSDQLHV 6KDUH &DSLWDO DQG 'HEHQWXUHV 5XOHV GDWHG 0DUFK DV DPHQGHG E\ &RPSDQLHV 6KDUH &DSLWDO DQG 'HEHQWXUHV $PHQGPHQW 5XOHV GDWHG -XQH LVVXHG E\ WKH 0LQLVWU\ RI &RUSRUDWH$IIDLUVD+RXVLQJ)LQDQFH&RPSDQ\UHJLVWHUHGZLWK1DWLRQDO+RXVLQJ%DQN ,9 1RQHRIWKHDERYHGHEHQWXUHVKDYHEHHQJXDUDQWHHGE\WKHGLUHFWRUV 126 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 9 'HWDLOVRIEX\EDFNRI/RQJ7HUPDQG6KRUW7HUPERUURZLQJE\5)/GXULQJWKH\HDU As at /RQJ7HUP6KRUW $VDW Series March 31, 2018 0DUFK Particulars 7HUP%RUURZLQJ Number 6HFXUHG %X\%DFN %X\%DFN Unsecured) Amount (`) $PRXQW(`) Month 0RQWK 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 600,000,000 April’17 -XO\¶ 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG 6KRUW7HUP 6HULHV 1,500,000,000 August’17 -XQH¶ 'HEHQWXUHV %RUURZLQJ6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV - - -XO\¶ 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV - - -XO\¶ 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 1,000,000,000 July’17 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 1,000,000,000 August’17 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 1,000,000,000 2FWREHU¶ 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 500,000,000 'HEHQWXUHV 6HFXUHG November’17 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 500,000,000 February’18 'HEHQWXUHV 6HFXUHG 3ULYDWHO\3ODFHG /RQJ7HUP%RUURZLQJ 6HULHV 500,000,000 March’18 'HEHQWXUHV 6HFXUHG &RPPHUFLDO3DSHUV 6KRUW7HUP 1$ 600,000,000 July’17 0D\¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHUV 6KRUW7HUP 1$ - - $XJXVW¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHUV 6KRUW7HUP 1$ - - 6HSWHPEHU¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHU 6KRUW7HUP 1$ - - 2FWREHU¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHU 6KRUW7HUP 1$ - - 1RYHPEHU¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHU 6KRUW7HUP 1$ - - 'HFHPEHU¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHU 6KRUW7HUP 1$ - - -DQXDU\¶ %RUURZLQJ8QVHFXUHG &RPPHUFLDO3DSHU 6KRUW7HUP 1$ - - )HEUXDU\¶ %RUURZLQJ8QVHFXUHG Total 7,200,000,000 Annual Report 2017-18 127 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 6FKHGXOHRI7HUP/RDQVIURP%DQNV , 6HFXUHG7HUP/RDQV L 6HFXUHG7HUP/RDQV)URP%DQNV As at $VDW March 31, 2018 0DUFK Repayment Sanctioned Amount (`) $PRXQW(`) Term Tenure Current Non Current Total Total &XUUHQW 1RQ&XUUHQW Maturity Maturity 0DWXULW\ 0DWXULW\ $QQXDOO\ 2YHU0RQWKV 33,787,967,667 4,080,000,000 29,707,967,667 WR0RQWKV 3,374,681,744 937,500,000 2,437,181,744 WR0RQWKV - - - WR0RQWKV - - - 6HPL 2YHU0RQWKV 849,740,502 145,000,000 704,740,502 $QQXDOO\ WR0RQWKV 750,000,000 500,000,000 250,000,000 WR0RQWKV 2,674,999,794 2,550,000,000 124,999,794 WR0RQWKV - - - 4XDUWHUO\ 2YHU0RQWKV 5,937,496,458 1,450,000,003 4,487,496,455 WR0RQWKV 25,991,692,417 15,216,903,874 10,774,788,543 WR0RQWKV 1,249,927,311 1,249,927,311 - WR0RQWKV - - - 0RQWKO\ 2YHU0RQWKV 754,944,146 150,000,000 604,944,146 WR0RQWKV 12,277,960 4,921,438 7,356,522 WR0RQWKV - - - WR0RQWKV - - - %XOOHW 2YHU0RQWKV - - - WR0RQWKV - - - WR0RQWKV - - - WR0RQWKV - - - Total 75,383,727,999 26,284,252,626 49,099,475,373 $OO6HFXUHG7HUPORDQVIURP%DQNVDVRQ0DUFKDQG0DUFKDUHVHFXUHGDJDLQVW³ÀRDWLQJ¿UVWFKDUJH RQSDULSDVVXEDVLVRQDOOWKHSUHVHQWDQGIXWXUHVWDQGDUGEXVLQHVVUHFHLYDEOHVDQGFXUUHQWDVVHWVLQWKHIRUPRIFDVKDQG FDVKHTXLYDOHQW´RIWKHUHVSHFWLYHVXEVLGLDU\FRPSDQLHV 7KHSULFLQJRIWKHDERYHORDQVDYDLOHGIURPEDQNVDUHDWWKHUDWHRILQWHUHVWUHVSHFWLYHEDQN¶VEDVHUDWH0&/5SOXVD PDUJLQXSWR 0DUFK XSWR 128 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 LL 6HFXUHG7HUP/RDQV)URP2WKHUV As at March 31, 2018 Amount (`) $VDW0DUFK$PRXQW `) Repayment Sanctioned Current Non Current Term Tenure Total Total &XUUHQW 1RQ&XUUHQW Maturity Maturity 0DWXULW\ 0DWXULW\ 4XDUWHUO\ 2YHU0RQWKV 3,975,000,000 737,500,000 3,237,500,000 WR0RQWKV 750,000,000 500,000,000 250,000,000 WR0RQWKV - - - WR0RQWKV - - - 0RQWKO\ 2YHU0RQWKV - - - WR0RQWKV - - - WR0RQWKV - - - WR0RQWKV - - - %XOOHW 2YHU0RQWKV - - - WR0RQWKV - - - WR0RQWKV 25,493,332 25,493,332 - WR0RQWKV - - - Total 4,750,493,332 1,262,993,332 3,487,500,000 $OOWKHDERYH6HFXUHG7HUPORDQVIURP2WKHUVDVRQ0DUFKDUHVHFXUHGDJDLQVW³)ORDWLQJ)LUVWFKDUJHRQ3DUL 3DVVX EDVLV RQ DOO WKH SUHVHQW DQG IXWXUH VWDQGDUG EXVLQHVV UHFHLYDEOHV DQG FXUUHQW DVVHWV LQ WKH IRUP RI FDVK DQG FDVKHTXLYDOHQWRIWKHUHVSHFWLYHVXEVLGLDU\FRPSDQLHVDQGE\ZD\RISOHGJHRIVKDUHV´ 0DUFK DOOWKHDERYH 6HFXUHG7HUPORDQVIURP2WKHUVDVRQ0DUFKDUHVHFXUHGDJDLQVW³)ORDWLQJ)LUVWFKDUJHRQ3DUL3DVVXEDVLV RQDOOWKHSUHVHQWDQGIXWXUH%XVLQHVVUHFHLYDEOHVDQG&XUUHQW$VVHWVLQWKHIRUPRI&DVKDQG&DVK(TXLYDOHQWRIWKH UHVSHFWLYHVXEVLGLDU\FRPSDQLHVDQGE\ZD\RISOHGJHRIVKDUHVDQGPXWXDOIXQGV´ 7KHSULFLQJRIWKHDERYHORDQVDYDLOHGE\WKHFRPSDQ\DUHDWWKHUDWHRIUHVSHFWLYHOHQGHU¶V3/5OHVVDPDUJLQXSWR 0DUFK XSWR ,, 8QVHFXUHG7HUP/RDQV)URP%DQNV As at March 31, 2018 Amount (`) $VDW0DUFK$PRXQW `) Repayment Sanctioned Term Tenure Current Non Current 1RQ&XUUHQW Total Total &XUUHQW0DWXULW\ Maturity Maturity 0DWXULW\ %XOOHW 2YHU0RQWKV 3,500,000,000 - 3,500,000,000 WR0RQWKV - - - Total 3,500,000,000 - 3,500,000,000 7KHSULFLQJRIWKHDERYHORDQVDYDLOHGDUHDWWKHUDWHRIUHVSHFWLYH%DQN¶V%DVH5DWHSOXVDPDUJLQXSWR 0DUFK XSWR ,,, 7KHUHLVQRGHIDXOWDVRQWKHEDODQFHVKHHWGDWHLQUHSD\PHQWRIDERYHWHUPORDQVDQGLQWHUHVWWKHUHRQ ,9 1RQHRIWKHDERYHWHUPORDQVKDYHEHHQJXDUDQWHHGE\WKHGLUHFWRUV Annual Report 2017-18 129 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 2WKHU/RQJ7HUP/LDELOLWLHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW(`) (a) Trade Payables 47,286,395 (b) 2WKHUV/LDELOLWLHV ,QFRPH5HFHLYHGLQDGYDQFH 421,338 (PSOR\HH%HQH¿WV3D\DEOH - 6HFXULW\'HSRVLWV 309,649,232 2WKHUV 7,506,518 Total 364,863,483 7. Long Term Provisions As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW(`) (a) 3URYLVLRQIRUHPSOR\HHEHQH¿WV *UDWXLW\ 77,857 /HDYH(QFDVKPHQW 39,987,981 (b) Provisions as per NBFC Guidelines (Refer Note 11.1) 771,128,588 (c) 3URYLVLRQDVSHU1+%*XLGHOLQHV3URYLVLRQV 5HIHU1RWH 96,284,321 (d) 2WKHUV 3URYLVLRQIRUGLPLQXWLRQLQYDOXHRIORQJWHUP,QYHVWPHQWV 6,191,927,970 5HIHU1RWH Total 7,099,406,717 %UHDNXSRIWKHSURYLVLRQIRUGLPLQXWLRQLQYDOXHRIORQJWHUPLQYHVWPHQWVLVDVXQGHU As at $VDW March 31, 2018 0DUFK Description Amount (`) $PRXQW(`) 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 5,705,500,000 1HWDPELW,QIRVRXUFHDQG(6HUYLFHV3ULYDWH/LPLWHG 286,427,970 9LVWDDU5HOLJDUH0HGLD)XQG 200,000,000 Total 6,191,927,970 130 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 6KRUW7HUP%RUURZLQJV As at $VDW March 31, 2018 Particulars 0DUFK Amount (`) $PRXQW(`) Secured Loans /RDQ5HSD\DEOHRQ'HPDQG)URP%DQNV 5HIHU1RWH 7,810,243,982 'HEHQWXUHV 5HIHU1RWH 1,000,000,000 Sub Total 8,810,243,982 Unsecured Loans /RDQ5HSD\DEOHRQ'HPDQG)URP%DQNV 5HIHU1RWH 750,000,000 /RDQ5HSD\DEOHRQ'HPDQG)URP2WKHU3DUWLHV 5HIHU1RWH 15,400,000 &RPPHUFLDO3DSHUV 5HIHU1RWH 1,044,192,094 Sub Total 1,809,592,094 Grand Total 10,619,836,076 6KRUW7HUP6HFXUHG/RDQV5HSD\DEOHRQ'HPDQG)URP%DQNV As at $VDW March 31, 2018 Nature of Security ,QWHUHVW5DWH 0DUFK Amount (`) $PRXQW `) (a) )ORDWLQJ)LUVWFKDUJHRQSDUL 5HVSHFWLYH %DQN¶V %DVH 5DWH 0&/5 6,385,739,676 SDVVX EDVLV RQ DOO SUHVHQW SOXV D PDUJLQ XSWR 0DUFK DQGIXWXUHVWDQGDUGEXVLQHVV XSWR UHFHLYDEOHV DQG &XUUHQW $VVHWV LQ WKH IRUP RI &DVK DQG &DVK (TXLYDOHQW RI D VXEVLGLDU\FRPSDQ\ (b) %RRN'HEWV 0DUFK WR 486,985,222 (c) )L[HG'HSRVLWVZLWK%DQNV 5HVSHFWLYH ¿[HG GHSRVLW LQWHUHVW UDWH 937,519,084 SOXVDPDUJLQWR 0DUFK WRSD Total 7,810,243,982 8.2. Debentures-Secured 'HWDLOVRI3ULYDWHO\3ODFHG6HFXUHG5HGHHPDEOH1RQ&RQYHUWLEOH'HEHQWXUHV 1&'¶V RXWVWDQGLQJDVRQ0DUFK As at $VDW S. Redemption Due &RXSRQ Annual Report 2017-18 131 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 6HFXUHG/LVWHG5DWHG5HHGHPDEOHLVVXHGRQSULYDWHSODFHPHQWEDVLVZLWKSXWFDOORSWLRQ7KHVH1&'¶VDUHVHFXUHGE\ ZD\RI3DUL3DVXFKDUJHRYHUWKHORDQUHFHLYDEOHLQFOXGLQJLQWHUHVWLIDQ\RIWKH&RPSDQ\WKURXJKRXWWKHWHQXUHRI1&' ZLWKDQDVVHWFRYHURIWLPHSULQFLSDOSOXVLQWHUHVWLQDFFRUGDQFHZLWKWKHGHQWXUHWUXVWGHHG AA7KHVHDUHVHFXUHGE\DVXEVLGLDU\FRPSDQ\¶VLPPRYDEOHSURSHUW\DQG¿UVWSDULSDVVXFKDUJHRYHUVWDQGDUGEXVLQHVV UHFHLYDEOHVRIWKH&RPSDQ\ZLWK$VVHW&RYHURI;DVDSSOLFDEOH 8.3 3ULFLQJIRUORDQVUHSD\DEOHRQGHPDQGIURPEDQNVLVDWUDWHRILQWHUHVW SD 0DUFK WRSD 8.4 3ULFLQJIRUORDQVUHSD\DEOHRQGHPDQGIURPRWKHUSDUWLHVDUH As at $VDW March 31, 2018 0DUFK S.No. Pricing of Loans Amount (`) $PRXQW(`) 1$ 0DUFK SD - WRSD 0DUFK WRSD 15,400,000 Total 15,400,000 8.5 Commercial Papers (Unsecured) As at $VDW March 31, 2018 0DUFK Particulars Amount (`) $PRXQW(`) 'LVFRXQW5DWH 7.50% to 14.5% WR ,VVXHGGDWHWR5HGHPSWLRQ'DWH December, 2016 $SULOWR to May, 2018 1RYHPEHU 7RWDO2XWVWDQGLQJ%DODQFH 1,065,000,000 /HVV 8QDPRUWLVHG'LVFRXQW 20,807,906 1HW2XWVWDQGLQJ%DODQFH 1,044,192,094 9. Trade Payables As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW(`) 7RWDORXWVWDQGLQJGXHVRIPLFURHQWHUSULVHVDQGVPDOOHQWHUSULVHV - 7RWDORXWVWDQGLQJGXHVRIFUHGLWRUVRWKHUWKDQPLFURHQWHUSULVHVDQGVPDOO 2,293,252,929 HQWHUSULVHV Total 2,293,252,929 5HIHU1RWH F 132 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 2WKHU&XUUHQW/LDELOLWLHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW(`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laim Outstanding 1,161,492,048 2WKHUV 2,007,508,704 Total 43,869,951,752 10.1 'XULQJWKH\HDUHQGHG0DUFKXQSDLGGLYLGHQGRI` SHUWDLQLQJWRWKH\HDU KDVEHHQWUDQVIHUUHG WR,QYHVWRU(GXFDWLRQDQG3URWHFWLRQ)XQG ³,(3)´ DFFRXQWRI&HQWUDO*RYHUQPHQWIURPWKHUHVWULFWHGEDQNDFFRXQWV UHIHUUHGLQ1RWH 11. Short Term Provisions As at $VDW March 31, 2018 Particulars 0DUFK Amount (`) $PRXQW(`) (a) 3URYLVLRQIRU(PSOR\HH%HQH¿WV *UDWXLW\ 26,615,207 /HDYH(QFDVKPHQW 79,410,588 (b) Provisions as per NBFC Guidelines (Refer Note 11.1) 14,977,771,026 (c) 3URYLVLRQDVSHU1+%*XLGHOLQHV 5HIHU1RWH 96,903,910 Annual Report 2017-18 133 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at $VDW March 31, 2018 Particulars 0DUFK Amount (`) $PRXQW(`) (d) 2WKHUV ,QFRPH7D[3URYLVLRQ 56,803,732 1HWRI$GYDQFHSD\PHQWRI7D[HVDQG7D['HGXFWHGDW6RXUFHRI ` 0DUFK ` 3URYLVLRQIRU'LPLQXWLRQLQWKH9DOXHRI$VVHWV+HOGIRU6DOHDQG 82,265,087 )LQDQFLDO$VVHWV 3URYLVLRQIRU'LPLQXWLRQLQWKH9DOXHRI&XUUHQW,QYHVWPHQWV 600,000,000 3URYLVLRQIRU/RDQVDQG$GYDQFHV 48,420,112 Total 15,968,189,662 ,WLVSURYLVLRQDJDLQVWWKHLQYHVWPHQWLQGHEHWXUHVRI263/,QIUDGHDO3ULYDWH/LPLWHG 11.1 Provision as per NBFC Guidelines Particulars As at March 31, 2018 $VDW0DUFK Amount (`) $PRXQW(`) Provisions Against Total Long term Short term Total /RQJWHUP 6KRUWWHUP Provision Provision 3URYLVLRQ 3URYLVLRQ Standard Assets *HQHUDO3URYLVLRQRQ 967,480,847 549,526,420 417,954,427 6WDQGDUG$VVHWV 5HIHU1RWH 0 LLL E 3URYLVLRQRQ5HVWUXFWXUHG 8,847,886 7,798,355 1,049,531 $VVHWV 5HIHU1RWH 0 LLL (d)) &RQWLQJHQW3URYLVLRQRQ 260,333,745 197,906,541 62,427,204 6WDQGDUG$VVHWV 5HIHU1RWH 0 LLL F $GGLWLRQDO&RQWLJHQW 21,403,843 15,897,272 5,506,571 3URYLVLRQRQ060( 6WDQGDUG$VVHWV 5HIHU1RWH $ Sub Standard, Doubtful and Loss Assets 3URYLVLRQRQ1RQ 14,454,024,901 - 14,454,024,901 3HUIRUPLQJ$VVHWV 5HIHU 1RWH 0 LLL D 3URYLVLRQRQ5HVWUXFWXUHG 36,808,392 - 36,808,392 $VVHWV 5HIHU1RWH 0 LLL (d)) Total 15,748,899,614 771,128,588 14,977,771,026 11.1A$V SHU 5%, QRWL¿FDWLRQ 1XPEHU '%51R%3%& GDWHG )HEUXDU\ ³5HOLHI IRU 060( %RUURZHUVUHJLVWHUHGXQGHU*67´D1%)&VXEVLGLDU\FRPSDQ\KDVFUHDWHGSURYLVLRQRQHOLJLEOH060(ERUURZHUV DQGXSJUDGHGIURP1RQ3HUIRUPLQJ$VVHWVWR6WDQGDUG$VVHWVDVDUHVXOWRIWKHPHQWLRQHGQRWL¿FDWLRQ 134 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 3URYLVLRQDVSHU1+%*XLGHOLQHV LQFDVHRI5HOLJDUH+RXVLQJ'HYHORSPHQW)LQDQFH&RUSRUDWLRQ/LPLWHG As at March 31, 2018 $VDW0DUFK Particulars Amount (`) $PRXQW(`) Long term Short term /RQJWHUP 6KRUWWHUP Provisions Against Total Total Provision Provision 3URYLVLRQ 3URYLVLRQ Standard Assets* *HQHUDOSURYLVLRQIRUVWDQ 67,507,532 62,780,863 4,726,669 GDUGDVVHWV &RQWLQJHQWSURYLVLRQIRUVWDQ 36,107,139 33,503,458 2,603,681 GDUGDVVHWV Sub Standard Assets* +RXVLQJ/RDQV 56,777,170 - 56,777,170 1RQ+RXVLQJ/RDQV 13,330,111 - 13,330,111 Doubtful Assets * +RXVLQJ/RDQV 18,657,024 - 18,657,024 1RQ+RXVLQJ/RDQV 809,255 - 809,255 Loss Assets* +RXVLQJ/RDQV - - - 1RQ+RXVLQJ/RDQV - - - Total 193,188,231 96,284,321 96,903,910 7KHFODVVL¿FDWLRQRIKRXVLQJDQGRWKHUORDQVLQWRVWDQGDUGVXEVWDQGDUGGRXEWIXODQGORVVDVVHWVKDYHEHHQGLVFORVHG DWJURVVYDOXH DQG WKHFRUUHVSRQGLQJ SURYLVLRQ DJDLQVW QRQSHUIRUPLQJ DVVHWVKDV EHHQ LQFOXGHG XQGHU SURYLVLRQV LQ DFFRUGDQFHZLWKWKH+RXVLQJ)LQDQFH&RPSDQLHV 1+% 'LUHFWLRQVLVVXHGE\1DWLRQDO+RXVLQJ%DQN5HOLJDUH +RXVLQJ'HYHORSPHQW)LQDQFH&RUSRUDWLRQ/LPLWHG ³5+')&´ SURYLGHV&RQWLQJHQW3URYLVLRQDJDLQVWVWDQGDUGDVVHWVDV SHU1+%'LUHFWLRQV5+')&DOVRYROXQWDU\PDLQWDLQVWKHJHQHUDOSURYLVLRQRQVWDQGDUGDVVHWVWRPHHWDQ\IRUHVHHDEOH SRWHQWLDOORVVHV Annual Report 2017-18 135 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ) ) ` ` 40,224 ,045,164 2017 2018 1HW%ORFN 1HW%ORFN Balance as at March 31, Balance as at March 31, ) Amount ( ) Amount ( ` ` 2017 2018 Balance as at March 31, Balance as at March 31, ) Amount ( ` ) Amount ( FRVWRUUHYDOXHGDPRXQWDUH ` 'HOHWLRQV for the year Adjustments 'HOHWLRQV for the year Adjustments ) Amount ( ` ) Amount ( ` Depreciation Depreciation for the year Depreciation for the year Depreciation ) Amount ( ` ) Amount ( ` April 1, 2016 Balance as at April 1, 2017 Balance as at ) Amount ( ) Amount ( ` ` 2018 Balance as at March 31, Balance as at March 31, 2017 ) Amount ( ) Amount ( ` ` DULVLQJIURPGLVSRVDORIWDQJLEOHDVVHWVZKLFKDUHFDUULHGDW ERUURZLQJFRVWVGXULQJWKHFXUUHQW\HDUDQGSUHYLRXV\HDU 'HOHWLRQV for the year 'HOHWLRQV for the year Adjustments V Adjustments HQW\HDUDQGSUHYLRXV\HDU ) Amount ( ) Amount ( ` ` *URVV%ORFN *URVV%ORFN year year Additions during the Additions during the ) Amount ( ) Amount ( ` ` Amount ( Amount ( April 1, 2017 April 1, 2016 1,505,763,196 111,083,892 288,967,359 1,327,879,729 1,166,846,282 150,138,721 253,168,718 1,063,816,285 264,063,444 2,638,257,080 176,831,840 1,309,325,724 1,505,763,196 1,714,209,244 171,360,208 718,723,170 1,166,846,282 338,916,914 Balance as at Balance as at Particulars Particulars &XUUHQW 136 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ) ) ` ` 508 2017 2018 1HW%ORFN 1HW%ORFN Balance as Balance as at March 31, at March 31, ) Amount ( ) Amount ( ` ` 2017 2018 Balance as Balance as at March 31, at March 31, ) Amount ( WFRVWRUUHYDOXHGDPRXQWDUH ) Amount ( ` ` 'HOHWLRQV for the year 'HOHWLRQV for the year Adjustments Adjustments ) Amount ( ) Amount ( ` ` Amortisation Amortisation for the year for the year Amortisation Amortisation ) Amount ( ) Amount ( ` ` 2016 2017 at April 1, at April 1, Balance as Balance as ) Amount ( ) Amount ( ` ` 2017 2018 Balance as Balance as at March 31, at March 31, ) Amount ( ) Amount ( ` ` IERUURZLQJFRVWVGXULQJWKHFXUUHQW\HDUDQGSUHYLRXV\HDU 'HOHWLRQV DULVLQJIURPGLVSRVDORILQWDQJLEOHDVVHWVZKLFKDUHFDUULHGD for the year 'HOHWLRQV for the year Adjustments Adjustments UUHQW\HDUDQGSUHYLRXV\HDU ) Amount ( ) Amount ( ` ` *URVV%ORFN *URVV%ORFN year year Additions during the Additions during the ) Amount ( ) Amount ( ` ` Amount ( Amount ( April 1, 2016 April 1, 2017 Balance as at Balance as at Particulars Particulars 3UHYLRXV Annual Report 2017-18 137 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 &DSLWDO:RUNLQ3URJUHVV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) &DSLWDO:RUNLQ3URJUHVV ([FOXGLQJ&DSLWDO$GYDQFHV - Total - - &DSLWDOZRUNLQSURJUHVVLQFOXGHVERUURZLQJFRVWFDSLWDOLVHGDPRXQWLQJWR`1,/ 0DUFK 1,/ ,QWDQJLEOH$VVHWVXQGHU'HYHORSPHQW As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) 6RIWZDUHV 111,854,624 Total 111,854,624 ,QWDQJLEOH$VVHWVXQGHU'HYHORSPHQWLQFOXGHVERUURZLQJFRVWFDSLWDOLVHGDPRXQWLQJWR`1,/ 0DUFK 1,/ 1RQ&XUUHQW,QYHVWPHQWV As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) 2WKHUWKDQ7UDGH,QYHVWPHQWV DW cost) (a) ,QYHVWPHQWLQ6XEVLGLDU\ SDUWO\ SDLGHTXLW\VKDUHV 8QTXRWHG 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG ,15 81,550,000 3,855,500,000 5HIHU1RWH ,, ( (b) ,QYHVWPHQWLQ6XEVLGLDU\ IXOO\SDLG SUHIHUHQFHVKDUHV 8QTXRWHG 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG ,15 170,000,000 1,700,000,000 5HIHU1RWH ,, ( &XPXODWLYH1RQ&RQYHUWLEOH 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG ,15 5,000,000 50,000,000 5HIHU1RWH ,, ( &XPXODWLYH1RQ&RQYHUWLEOH 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG ,15 10,000,000 100,000,000 5HIHU1RWH ,, ( &XPXODWLYH1RQ&RQYHUWLEOH (c) ,QYHVWPHQWLQ(TXLW\,QVWUXPHQWV 8QTXRWHG (TXLID[&UHGLW,QIRUPDWLRQ6HUYLFHV ,15 13,500,000 135,000,000 3ULYDWH/LPLWHG 1HWDPELW,QIRVRXUFHDQG(6HUYLFHV ,15 67,536 282,332,771 3ULYDWH/LPLWHG )LQFDUH%XVLQHVV6HUYLFHV/WG ,15 499,997 49,999,750 (d) ,QYHVWPHQWLQ3UHIHUHQFH6KDUHV 8QTXRWHG 1HWDPELW,QIRVRXUFHDQG(6HUYLFHV ,15 40,952 4,095,200 3ULYDWH/LPLWHG 138 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) (e) ,QYHVWPHQWVLQ*RYHUQPHQWRU Trust Securities Government Securities (Quoted) *2,0D\ ,15 975,339 97,533,919 *2,1RY ,15 1,057,985 105,798,546 *2,-XO ,15 1,037,444 103,744,418 *2,'HF ,15 49,902 4,990,168 6WDWH*RYHUQPHQW7DPLO ,15 507,859 50,785,851 1DGX -XO *2,1RY ,15 1,025,478 102,547,837 *2,0D\ ,15 1,009,098 100,909,843 *2,$SU ,15 498,007 49,800,745 *2,'HF ,15 1,036,395 103,639,477 *2,$SU6HF ,15 - - 67$7(*29(510(17 ,15 510,113 51,011,301 *8-5$7)HE *2,'HF ,15 1,003,215 100,321,477 *2,'HF6HF ,15 100,215 10,021,538 *2, ,15 1,548,232 154,823,241 *2, ,15 1,535,458 153,545,830 *2, ,15 1,000,483 100,048,276 *2, -XQ ,15 1,007,396 100,739,595 6WDWH*RYHUQPHQW+DU\DQD ,15 502,588 50,258,839 'HF *2, ,15 57,852 5,785,243 6'/7DPLO1DGX ,15 1,000,511 100,051,079 6WDWH*RYHUQPHQW7DPLO ,15 530,401 53,040,117 1DGX6HS 6WDWH*RYHUQPHQW+DU\DQD ,15 505,561 50,556,104 'HF *2,-XQ ,15 517,741 51,774,087 *2,0D\ ,15 1,054,468 105,446,763 6*.DUQDWDND$XJ ,15 169,835 16,983,482 *2,6HS ,15 1,586,375 158,637,489 67$7(*29(510(17 ,15 525,615 52,561,491 .HUDOD 0DU *2, ,15 - - 6WDWH*RYHUQPHQW.DUQDWDND ,15 515,241 51,524,099 )HE 6WDWH*RYHUQPHQW0DGK\D ,15 515,993 51,599,345 3UDGHVK)HE *2, ,15 49,141 4,914,102 *2,$SU ,15 - - 67$7(*29(510(17 ,15 510,848 51,084,819 .HUDOD-XO Annual Report 2017-18 139 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) 67$7(*29(510(17 ,15 501,027 50,102,744 .HUDOD$XJ 1DWLRQDO6DYLQJ&HUWL¿FDWH9,,, ,VVXH 8QTXRWHG 1DWLRQDO6DYLQJ&HUWL¿FDWH9,,,,VVXH ,15 6 6,000 1DWLRQDO6DYLQJ&HUWL¿FDWH9,,,,VVXH ,15 3 30,000 (f) ,QYHVWPHQWVLQ'HEHQWXUHVRU Bonds (Quoted) *2,1RY ,15 532,718 53,271,821 6WDWH*RYHUQPHQW0DGK\D ,15 510,336 51,033,576 3UDGHVK0DU 6WDWH*RYHUQPHQW7DPLO ,15 515,324 51,532,417 1DGX-XQ 163)&6HS ,15 1,000,251 100,025,124 161+$,'HF ,15 495,799 49,579,925 165(& 'HF ,15 992,162 99,216,233 163*&$SU ,15 509,888 50,988,750 16 ,QGLD,QIUD/WG-XO ,15 1,000,000 100,000,000 16+')&0DU ,15 512,064 51,206,403 &DQ¿Q+RPHV0D\ ,15 500,000 50,000,000 16%DMDM)LQDQFH/WG ,15 500,000 50,000,000 -XQ 167DWD6RQV/WG-DQ ,15 995,976 99,597,638 16+'%0D\ ,15 500,000 50,000,000 16+'%-XQ ,15 500,000 50,000,000 16%DMDM)LQDQFH/WG-XQ ,15 500,000 50,000,000 16+'% -XQ ,15 500,000 50,000,000 166KULUDP7UDQVSRUW)LQDQFH ,15 1,000,000 100,000,000 &R/WG-XQ 6WDWH*RY0DKDUDVKWUD ,15 525,702 52,570,213 6HS 165XUDO(OHFWUL¿FDWLRQ&RUSQ ,15 2,086,039 208,603,945 /WG2FW / 7,')-XQ ,15 1,010,478 101,047,829 16,QGLD,QIUD/WG$XJ ,15 1,000,000 100,000,000 16,')&,)/1RY ,15 1,000,000 100,000,000 16 31%+)/-XO ,15 500,000 50,000,000 16*58+)LQDQFH/LPLWHG ,15 500,000 50,000,000 6HS /,&+6*$XJ ,15 500,058 50,005,786 16&DSLWDO)LUVW/LPLWHG ,15 502,599 50,259,945 'HF )XOOHUWRQ,QGLD&UHGLW&R/WG ,15 500,000 50,000,000 $XJ 140 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) 16%DMDM)LQDQFH/WG)HE ,15 502,374 50,237,372 167DWD6RQV/WG0DU ,15 1,023,962 102,396,151 / 7,')1RY ,15 500,000 50,000,000 31%+)/'HF ,15 500,000 50,000,000 *,&/WG ,15 283,752 28,375,167 6KULUDP7UDQVSRUW)LQDQFH&R ,15 502,050 50,204,976 /WG$SU +')&6HS ,15 1,480,395 148,039,452 .03/-XO ,15 496,527 49,652,712 *2,0D\ ,15 1,022,608 102,260,764 6KULUDP7UDQVSRUW)LQDQFH ,15 497,807 49,780,740 &R/WG-XQ *2,$XJ ,15 1,031,197 103,119,713 *2,)HE ,15 1,031,775 103,177,527 67$7(*29(510(17 ,15 509,515 50,951,477 *8-5$71RY 67$7(*29(510(17 ,15 524,369 52,436,922 &+$77,6*$5+0D\ 165,/6HS ,15 488,920 48,891,968 168OWUDWHFK&HPHQW/WG ,15 973,883 97,388,304 2FW 16+')&1RY ,15 494,942 49,494,227 16 %DMDM)LQDQFH/WG-DQ ,15 495,477 49,547,706 163)&$SU ,15 1,000,000 100,000,000 16 +'%'HF ,15 500,110 50,011,036 16 5XUDO(OHFWUL¿FDWLRQ&RUSQ ,15 1,002,022 100,202,170 /WG)HE 163*&$SU ,15 506,709 50,670,907 16+'% $XJ ,15 500,930 50,093,008 165XUDO(OHFWUL¿FDWLRQ&RUSQ ,15 506,516 50,651,647 /WG6HS 16 ,')&,)/$XJ ,15 1,000,000 100,000,000 161+3&/WG-XO ,15 1,010,652 101,065,197 16&DSLWDO)LUVW/LPLWHG ,15 500,000 50,000,000 0DU +'%-XQ ,15 - - 5(& ,15 498,395 49,839,508 31%+)/-XO ,15 500,000 50,000,000 &$1),1 ,15 - - +')& ,15 - - +')&6HS ,15 500,000 50,000,000 Annual Report 2017-18 141 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) 3*& 2FW ,15 503,329 50,332,941 166KULUDP7UDQVSRUW)LQDQFH&R ,15 - - /WG0DU 3*& 2FW ,15 502,211 50,221,057 3)& ,15 499,986 49,998,569 3)& ,15 498,687 49,868,662 +'%)LQDQFLDO6HUYLFH/LPLWHG ,15 - - 0DU $[LV)LQDQFH/LPLWHG2FW ,15 - - %DMDM)LQDQFH/WG$SU ,15 1,004,318 100,431,757 %DMDM)LQDQFH/WG)HE ,15 500,000 50,000,000 31%+)/-XO ,15 500,000 50,000,000 ,QGLD,QIUDGHEW/WG0D\ ,15 500,000 50,000,000 +'%)LQDQFLDO6HUYLHV/WG ,15 500,000 50,000,000 -XQ )XOOHUWRQ,QGLD&UHGLW&R/WG ,15 1,000,000 100,000,000 $SU 166KULUDP7UDQVSRUW)LQDQFH ,15 500,000 50,000,000 &R/WG$SU 6WDWH*RYW8WWDUD.KDQG ,15 151,386 15,138,647 'HF 7DWD6RQV/WG -XQ ,15 498,429 49,842,922 163)&'HF ,15 515,564 51,556,419 16,QGLDEXOOV+)/$SU ,15 - - 5XUDO(OHFWUL¿FDWLRQ&RUSQ ,15 - - /WG-DQ /,&+6*-DQ ,15 - - 3)&2FW ,15 - - 537/ ,15 1,016,676 101,667,647 67)& ,15 - - )XOOHUWRQ,QGLD&UHGLW&R/WG ,15 596,616 59,661,576 $SU 16 .03/2FW ,15 - - 16/,&+6*-XO ,15 504,936 50,493,586 16&DQ¿Q+RPHV$SU ,15 500,000 50,000,000 16 31%+)/2FW ,15 1,000,000 100,000,000 16 )XOOHUWRQ,QGLD&UHGLW&R ,15 - - /WG0DU 16,')&,')$XJ ,15 500,000 50,000,000 16 +')&-XO ,15 511,364 51,136,439 16/,&+6*-XO ,15 507,519 50,751,858 142 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency Value Numbers Amount (`) 1XPEHUV $PRXQW `) 16/,&+6*2FW ,15 504,681 50,467,864 16,QGLD,QIUD/WG$XJ ,15 500,000 50,000,000 (g) &RQWULEXWLRQWR)XQGV 8QTXRWHG 9LVWDDU5HOLJDUH0HGLD)XQG ,15 2,000,000 200,000,000 (h) ,QYHVWPHQWLQ3DVV7KURXJK &HUWL¿FDWHV ,'%,7UXVWHHVKLS6HUYLFHV/LPLWHG ,15 9DULRXV - - &$7$/<677UXVWHHVKLS/LPLWHG ,15 9DULRXV - - (i) ,QYHVWPHQWLQ0XWXDO)XQGV 8QTXRWHG 5HOLJDUH&UHGLW2SSRUWXQLWLHV)XQG ,15 1,063 192,565,682 5HOLJDUH'\QDPLF7UXVW ,15 - - &HUHVWUD,QIUDVWUXFWXUH7UXVW ,15 386 50,000,000 ,QGLD%XOOV5HDO(VWDWH)XQG ,15 - 41,496,052 &DWHJRU\,,$,) Total - 14,244,605,520 7KH&RPSDQ\KDVPDGHSURYLVLRQIRUGLPLQXWLRQLQYDOXHRILWVORQJWHUPLQYHVWPHQWV 5HIHU1RWH As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) $JJUHJDWHDPRXQWRI 4XRWHG,QYHVWPHQWV 7,583,580,065 8QTXRWHG,QYHVWPHQWV 6,661,025,455 Total 14,244,605,520 0DUNHW9DOXHRI4XRWHG,QYHVWPHQWV 7,610,098,527 ,QYHVWPHQWVDUHKHOGLQWKHQDPHRIDGLUHFWRURIVXEVLGLDU\FRPSDQ\DVQRPLQHH` 0DUFK ` DQG SOHGJHGZLWK*XMDUDWDQG5DMDVWKDQ9$7$XWKRULWLHV Annual Report 2017-18 143 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 17. Deferred Tax Asset (Net) As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) Deferred Tax Liability 3UHSDLG([SHQVHV - 'HEHQWXUH,VVXH([SHQVHV 24,779,472 'HGXFWLRQXQGHU6HFWLRQ YLLL RI,QFRPH7D[$FW 77,542,513 Total Deferred Tax Liability 102,321,985 Deferred Tax Asset 'LIIHUHQFHEHWZHHQ%RRNDQG7D['HSUHFLDWLRQ 111,228,731 $FFUXHGFRPSHQVDWLRQWRHPSOR\HH - 3URYLVLRQIRU'RXEWIXO'HEWRUV 82,635,805 /HDYH(QFDVKPHQW 21,477,626 *UDWXLW\ - 7D[/RVVHV%URXJKW)RUZDUG 1,990,265,821 3URYLVLRQIRU1RQ3HUIRUPLQJ$VVHWV 2,493,899,465 *HQHUDO3URYLVLRQRQ6WDQGDUG$VVHWV 363,488,327 &RQWLQJHQW3URYLVLRQVDJDLQVW6WDQGDUG$VVHWV 109,396,076 3URYLVLRQIRU'LPLQXWLRQLQ9DOXHRI,QYHVWPHQWVDQG1RQ%DQNLQJ)LQDQFLDO 28,746,714 $VVHWV Total Deferred Tax Asset 5,201,138,565 Deferred Tax Asset (Net) 5,098,816,580 'HIHUUHG7D[$VVHWDQG'HIHUUHG7D[/LDELOLW\KDYHEHHQRIIVHW 18. Long Term Loans and Advances As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) /RDQVDQG$GYDQFHVDVSHU1%)&1+%*XLGHOLQHV 5HIHU1RWH 7R5HODWHG3DUWLHV - 7R2WKHUV 57,471,421,317 Unsecured, considered good D &DSLWDO$GYDQFHV 3,644,781 E 6HFXULW\'HSRVLWV :LWK([FKDQJHV 37,825,000 :LWK2WKHUV 332,177,807 F 3UHSDLG([SHQVHV 158,199,212 G $GYDQFHSD\PHQWRI7D[HVDQG7D['HGXFWHGDW6RXUFH 3,139,280,294 1HWRISURYLVLRQIRU7D[HVRI` 0DUFK ` H /RDQVDQG$GYDQFHVUHFRYHUDEOHLQFDVKRULQNLQGRUIRUYDOXHWREH 4,049,235 UHFHLYHG I %DODQFHZLWK7D[$XWKRULWLHV 143,741,513 Total 61,290,339,159 144 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 2WKHU1RQ&XUUHQW$VVHWV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) Long Term Trade Receivables 6HFXUHGFRQVLGHUHGJRRG 190,879,480 8QVHFXUHGFRQVLGHUHGJRRG 78,361,880 'RXEWIXO 241,213,897 /HVV 3URYLVLRQIRU'RXEWIXO7UDGH5HFHLYDEOHV (241,213,897) 269,241,360 2WKHU5HFHLYDEOHV 2,145,900 ,QWHUHVW$FFUXHG 352,652,504 $VVHWV$FTXLUHGLQ6DWLVIDFWLRQRI'HEWV - 2WKHU%DQNEDODQFHV )L[HG'HSRVLW$FFRXQW 5HIHU1RWH 434,706,241 Total 1,058,746,005 &XUUHQW,QYHVWPHQWV As at March 31, 2018 $VDW0DUFK Face Particulars Currency value Numbers Amount (`) 1XPEHUV $PRXQW `) (a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nnual Report 2017-18 145 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency value Numbers Amount (`) 1XPEHUV $PRXQW `) 5HOLDQFH/LTXLG)XQG± ,15 911,208 91,120,814 7UHDVXU\3ODQ'LUHFW3ODQ *URZWK3ODQ*URZWK2SWLRQ 6%,3UHPLHU/LTXLG)XQG ,15 901,345 90,134,483 ',5(&73/$1*URZWK ,&,&,3UXGHQWLDO/LTXLG ,15 - - 'LUHFW3ODQ*URZWK 87,0XWXDO)XQG ,15 901,237 90,123,661 (b) ,QYHVWPHQWVLQ%RQGV&' (Quoted) 166KULUDP7UDQVSRUW ,15 500,000 50,000,000 )LQDQFH&R/WG0DU +'%-XQ ,15 499,969 49,996,878 $[LV)LQDQFH/LPLWHG ,15 611,850 61,185,035 2FW +'%)LQDQFLDO6HUYLFH ,15 607,561 60,756,085 /LPLWHG0DU 16 .03/2FW ,15 999,258 99,925,833 *2,$SU ,15 155,005 15,500,544 6HF *2,$SU ,15 500,011 50,001,085 16 )XOOHUWRQ,QGLD ,15 500,000 50,000,000 &UHGLW&R/WG0DU ,')& ,15 - - 5XUDO(OHFWUL¿FDWLRQ ,15 500,876 50,087,561 &RUSQ/WG-DQ 3)&2FW ,15 500,951 50,095,112 16,QGLDEXOOV+)/ ,15 400,000 40,000,000 $SU /,&+6*-DQ ,15 500,000 50,000,000 &$1),1 ,15 500,000 50,000,000 +')& ,15 502,880 50,287,980 67)& ,15 500,000 50,000,000 +')& ,15 - ,QGLDEXOOV+)/6HS ,15 - - / 7)LQDQFH/LPLWHG ,15 - - $SU ,QGLDEXOOV+)/ ,15 - - 6HS *2,-XO ,15 - - 146 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 As at March 31, 2018 $VDW0DUFK Face Particulars Currency value Numbers Amount (`) 1XPEHUV $PRXQW `) 5(& ,15 - - .03/$XJ ,15 - - 7$7$6216 ,15 - - 5&$30DU ,15 - - 7DWD6RQV ,15 - - (c) ,QYHVWPHQWVLQ%RQGV 'HEHQWXUHV&RPPHUFLDO 3DSHUV &3 &HUWL¿FDWHRI 'HSRVLWY &' 8QTXRWHG &35+&+ROGLQJ3ULYDWH ,15 - - /LPLWHG 263/,QIUDGHDO3ULYDWH ,15 2,000 2,000,000,000 /LPLWHG 3UHPLXPSDLGRQ5HOLJDUH ,15 - - (QWHUSULVHV'HEHQWXUHV (d) ,QYHVWPHQWLQ7UXVW 6HFXULWLHV 8QTXRWHG 0LOHVWRQH$UP\7UXVW&ODVV ,15 6 3,733 %XQLWV (e) ,QYHVWPHQWLQ3DVV 7KURXJK&HUWL¿FDWHV ,'%,7UXVWHHVKLS6HUYLFHV ,15 9DULRXV 4 40,524,853 /LPLWHG &$7$/<677UXVWHHVKLS ,15 9DULRXV 1 3,722,568 /LPLWHG (f) Contribution to Funds 8QTXRWHG ,QGLD%XLOG2XW)XQG, ,15 302 170,488 &ODVV%XQLWV ,QGLD%XLOG2XW)XQG, ,15 26,990 10,593,741 Total 4,407,344,895 As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) Aggregate amount of : 4XRWHG,QYHVWPHQWV 777,836,113 8QTXRWHG,QYHVWPHQWV 3,629,508,782 Total 4,407,344,895 0DUNHW9DOXHRI4XRWHG,QYHVWPHQWV 781,512,388 Annual Report 2017-18 147 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ,QYHQWRULHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) (a) &ORVLQJ6WRFNRI&RPPRGLWLHV - (b) &ORVLQJ6WRFNRI$UW:RUNV - (c) &ORVLQJ6WRFNRI'LJLWDO6LJQDWXUH&HUWL¿FDWH ³'6&´ DQG86%7RNHQV 404,890 5HIHU1RWHV 2 DQG L Total 404,890 22. Trade Receivables As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) 7UDGHUHFHLYDEOHVRXWVWDQGLQJIRUDSHULRGOHVVWKDQVL[PRQWKVIURPWKHGDWH WKH\DUHGXHIRUSD\PHQW 6HFXUHGFRQVLGHUHGJRRG 2,618,070,067 8QVHFXUHGFRQVLGHUHGJRRG 91,961,626 2,710,031,693 7UDGHUHFHLYDEOHVRXWVWDQGLQJIRUDSHULRGH[FHHGLQJVL[PRQWKVIURPWKHGDWH WKH\DUHGXHIRUSD\PHQW 6HFXUHGFRQVLGHUHGJRRG 45,881,462 8QVHFXUHGFRQVLGHUHGJRRG 92,294,794 8QVHFXUHGFRQVLGHUHGGRXEWIXO 4,114,364 /HVV 3URYLVLRQIRUGRXEWIXOGHEWV (4,114,364) 138,176,256 Total 2,848,207,949 &DVKDQG%DQN%DODQFHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) a. &DVKDQG&DVK(TXLYDOHQWV &DVKLQKDQG 650,832 &KHTXHVDQG6WDPS3DSHUVRQKDQG 123,303,150 %DODQFHVZLWK%DQNVLQ&XUUHQW$FFRXQW 4,567,772,452 %DODQFHVZLWK%DQNVLQ)L[HG'HSRVLWV$FFRXQW 5HIHU1RWH - 8SWRPRQWKVPDWXULW\IURPWKHGDWHRIDFTXLVLWLRQ 4,691,726,434 b. 2WKHU%DQN%DODQFHV )L[HG'HSRVLWV$FFRXQW 8SWRPRQWKVPDWXULW\IURPWKHGDWHRI 12,756,343,374 DFTXLVLWLRQ PDWXULW\PRUHWKDQPRQWKVEXWZLWKLQRQH\HDUIURPWKH EDODQFHVKHHWGDWH 5HIHU1RWHVDQG 2WKHU - Total 17,448,069,808 2WKHU%DQN%DODQFHVLQFOXGHVUHVWULFWHGEDQNEDODQFHVDPRXQWLQJWR`1LO 0DUFK ` LQUHVWULFWHG $FFRXQWVZKLFKDUHQRWDYDLODEOHIRUXVHE\WKHFRPSDQ\7KHUHVWULFWLRQVDUHSULPDULO\RQDFFRXQWRIEDODQFHVLQHVFURZ DFFRXQWVIRUXQFODLPHGGLYLGHQGIRUSDVW\HDUV 148 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 23.1 Particulars As at March 31, 2018 $VDW0DUFK Kept as Free from .HSWDV )UHHIURP )L[HG'HSRVLWVZLWK%DQNV Total Total Security (*) any Lien 6HFXULW\ DQ\/LHQ 8SWR PRQWKV PDWXULW\ IURP WKH GDWH RI - - - $FTXLVLWLRQ Sub Total (A) - - - 8SWR PRQWKV PDWXULW\ IURP WKH GDWH RI 10,722,212,098 2,530,243,942 8,191,968,156 $FTXLVLWLRQ 0DWXULW\PRUHWKDQPRQWKVEXWZLWKLQRQH 2,034,131,276 1,588,836,533 445,294,743 \HDUIURPWKH5HSRUWLQJ'DWH Sub Total (B) 12,756,343,374 4,119,080,475 8,637,262,899 6KRZQDV&XUUHQW$VVHWV $% 12,756,343,374 4,119,080,475 8,637,262,899 0DWXULW\PRUHWKDQPRQWKVEXWDIWHURQH 434,706,241 222,368,241 212,338,000 \HDUIURPPRQWKVIURP5HSRUWLQJ 'HWDLOVRI)L[HG'HSRVLWVNHSWDVVHFXULW\ As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) (a) Margin money or security against Guarantee 3OHGJHGZLWK%DQNVIRU*XDUDQWHHV7DNHQ 1,789,608,792 3OHGJHZLWK%DQNVIRU2YHUGUDIW)DFLOLW\ 537,775,894 (b) Margin money or security against other Commitment 6HFXULW\ZLWK7D[$XWKRULWLHVIRU/LFHQVH 245,993,436 3OHGJHZLWK6HFXULWLHV([FKDQJHVDV0DUJLQ 1,457,642,691 3OHGJHZLWK%DQNVIRU$VVLJQPHQWRI/RDQV 295,293,013 2WKHU/HJDO&DVHV 417,038 6XEPLWWHGWR6WRFN([FKDQJHIRUDUELWUDWLRQFDVHV 6,518,940 2WKHUV 8,198,912 Total 4,341,448,716 23.2 5HOLJDUH)LQYHVW/LPLWHG ³5)/´ DVXEVLGLDU\RIWKH&RPSDQ\KDGPDGHFHUWDLQ)L[HG'HSRVLWV ³)'V´ ZLWK/DNVKPL 9LODV%DQN ³/9%´ LQ1RYHPEHUDQG-DQXDU\/9%YLGHLWVOHWWHUGDWHG)HEUXDU\KDGFRQ¿UPHG)'VRI ` WR5)/ Annual Report 2017-18 149 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 5)/UHFHLYHGDOHWWHUGDWHG)HEUXDU\ IURP/9%SXUSRUWLQJWRDOOXGHWRFHUWDLQORDQVGLVEXUVHGE\/9%WRWKLUG SDUWLHV DOOHJHGO\ LQ FRQVLGHUDWLRQ RI VHFXULW\ RI WKH 5)/¶V )L[HG 'HSRVLWV ³)'V´ ZLWK /9% %\ PHDQV RI WKLV OHWWHU /9% DOVR SXUSRUWHG WR FDOO XSRQ 5)/ WR H[HFXWH WKH VHFXULW\ GRFXPHQWDWLRQ LQ FRQQHFWLRQ ZLWK WKH DOOHJHG ORDQV 5)/YLGHLWVOHWWHUGDWHG)HEUXDU\H[SUHVVO\LQIRUPHGWR/9%WKDW5)/ZDVQRWSDUW\WRDQ\ORDQVWKDWZHUH DOOHJHGO\VDQFWLRQHGRUJUDQWHGE\/9%WRDQ\WKLUGSDUW\DVDOVRWKDWQRDXWKRUL]DWLRQVDQFWLRQRUDSSURYDOKDGHYHUEHHQ SURYLGHGE\5)/WR/9%SHUPLWWLQJWKHFUHDWLRQRIDQ\VHFXULW\RUHQFXPEUDQFHRQWKH)'VIRUDQ\WKLUGSDUW\ORDQVRU ERUURZLQJV)XUWKHU/9%ZDVDOVRIRUHZDUQHGWKDWDQ\DWWHPSWWRVXEMHFWWKH)'VWRLOOHJDOHQFXPEUDQFHZRXOGQRWRQO\ EHYLRODWLYHRI5)/¶VULJKWVEXWDOVRFRQVWLWXWHGHOLEHUDWHFRQWHPSWE\/9%RIWKH2UGHUGDWHG-DQXDU\SDVVHGE\ WKH+RQ¶EOH'HOKL+LJK&RXUWDFRS\RIZKLFKZDVVHUYHGRQ/9%YLGH/HJDOQRWLFHGDWHG)HEUXDU\+RZHYHUQR UHVSRQVHZDVHYHUUHFHLYHGE\5)/WRWKHVDPHWLOO0D\ :KLOHWKLQJVVWRRGWKXV5)/FDPHWREHLQUHFHLSWRIDFRS\RIWKHOHWWHUGDWHG$SULODGGUHVVHGE\/9%WRWKH VWDWXWRU\DXGLWRUVRI5)/WKDW/9%KDG³FORVHGWKHVDLGGHSRVLWVRQ)HEUXDU\WROLTXLGDWHWKHORDQVDYDLOHG´E\WKLUG SDUWLHV7KLVZDVFRQWUDU\WRWKHFRQ¿UPDWLRQUHFHLYHGE\WKH6WDWXWRU\$XGLWRUVLQ1RYHPEHUYLDHPDLOFRQ¿UPLQJ WKH ¿[HG GHSRVLWV 5)/ KDV QRZ ¿OHG D VXLW IRU UHFRYHU\ RI WKH )L[HG 'HSRVLW DPRXQWV DJJUHJDWLQJ ` DSSURSULDWHGE\/9%EHIRUHWKH+RQ¶EOH'HOKL+LJK&RXUW 23.3 'XULQJWKH\HDUHQGHG0DUFKQRQUHVLGHQWVKDUHKROGHUVRI5HOLJDUH)LQYHVW/LPLWHG ³5)/´ DVXEVLGLDU\RIWKH &RPSDQ\VXEVHTXHQWWRH[HUFLVHRISXWRSWLRQIRUDFRQVLGHUDWLRQDVSHUWKH2SWLRQ$JUHHPHQWKDG¿OHGSHWLWLRQVLQWKH 'HOKL+LJK&RXUWSUD\LQJIRULQWHULPDQGPDQGDWRU\UHOLHIRUJLYHEDQNJXDUDQWHHVRIWKHVDLGDPRXQWVLQRUGHUWRVHFXUH WKHLULQWHUHVWV2Q-DQXDU\WKH+LJK&RXUWSDVVHGDQRUGHUVWDWLQJWKH5)/VKDOOPDLQWDLQDVXQHQFXPEHUHG DQGQRWHQFDVK¿[HGGHSRVLWVZLWK/D[PL9LODV%DQN/LPLWHG ³/9%´ $VSHUWKHLQIRUPDWLRQDYDLODEOHZLWKPDQDJHPHQW WKHVDLG¿[HGGHSRVLWKDVEHHQHQFDVKHGE\/9%RQ)HEUXDU\$FFRXQWLQJLPSDFWZLOOEHJLYHQRQWKHEDVLVRI RXWFRPHRIWKH¿QDORUGHU7KHQH[WKHDULQJLQWKHFDVHKDVEHHQVFKHGXOHGIRU-XO\ 24. Short Term Loans and Advances As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) (a) /RDQVDQG$GYDQFHVDVSHU1%)&1+%*XLGHOLQHV 5H- fer Note 24.1) 7R5HODWHG3DUWLHV 32,453,021 7R2WKHUV 47,011,179,377 Unsecured, considered good E /RDQVDQG$GYDQFHVWR5HODWHG3DUWLHV 126,756,687 F 6HFXULW\'HSRVLWV 24,313,135 G 3UHSDLG([SHQVHV 202,450,522 H /RDQVDQG$GYDQFHV5HFRYHUDEOHLQ&DVKRULQ.LQG 403,078,199 I 0DUJLQZLWK([FKDQJHV 138,354,622 J %DODQFHVZLWK7D[$XWKRULWLHV 574,166,389 /HVV 3URYLVLRQIRU'RXEWIXO/RDQVDQG$GYDQFHV - Total 48,512,751,952 'XULQJWKH\HDUHQGHG0DUFKWKH&RPSDQ\VROGHTXLW\VKDUHVRIWKH603/)LQDQFLDO&RQVXOWDQF\6HUYLFHV /LPLWHG IRUPHUO\NQRZQDV5HOLJDUH)LQDQFLDO&RQVXOWDQF\6HUYLFHV/LPLWHG DWDQDJJUHJDWHSULFHRI`DQG UHFHLYHG ` DJDLQVW VXFK FRQVLGHUDWLRQ ,Q WKH SUHYLRXV \HDU HQGHG 0DUFK WKH &RPSDQ\ PDGH SURYLVLRQDJDLQVWRXWVWDQGLQJEDODQFHDPRXQWRI` 7KHVDPHKDVEHHQZULWWHQRIIGXULQJWKH¿QDQFLDO\HDU HQGHG0DUFK 150 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 Advances 2WKHU/RDQVDQG Parties Advances to Related Loans and Short term Loans and Advances Short term Loans and ) ` Amount ( 2WKHU/RDQV and Advances As at March 31, 2017 Advances Long Term Loans and Long Term Parties Advances to Related Loans and Total Total 2WKHU/RDQV and Advances Advances and Short term Loans and Loans Parties Advances to Related ) ` Amount ( 2WKHU/RDQV and Advances As at March 31, 2018 Advances Long Term Loans and Long Term Parties Advances to Related Loans and Total Total 5HIHUQRWHQR ) Particulars 6XE6WDQGDUG$VVHWV'RXEWIXO$VVHWV 6WDQGDUG$VVHWV 6WDQGDUG$VVHWV 6XE6WDQGDUG$VVHWV'RXEWIXO$VVHWV/RVV$VVHWV Total 6WDQGDUG$VVHWV 77,876,780,975 - 55,924,609,225 - 21,952,171,750 122,776,305,495 - 97,276,716,160 - 25,499,589,335 6XE6WDQGDUG$VVHWV'RXEWIXO$VVHWV/RVV$VVHWV Total 26,638,272,740 - 1,546,812,092 32,453,021 25,059,007,627 27,876,872,167 - 2,970,497,897 967,863,019 23,938,511,251 LY EHORZ /RVV$VVHWV Total 104,515,053,715 - 57,471,421,317 32,453,021 47,011,179,377 150,653,177,662 - 100,247,214,057 967,863,019 49,438,100,586 c.Assets Total a. Secured, Considered Good b. 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$VVWDWHGLQ1RWHVQRGXULQJWKHSUHYLRXV\HDUSURYLVLRQRI`KDGEHHQPDGHDJDLQVWWKHQRQEDQNLQJDVVHWV SHUWDLQLQJWRORDQDVVLJQPHQWWUDQVDFWLRQZLWK6WUDWHJLF&UHGLW&DSLWDO3ULYDWH/LPLWHG ³6&&3/´ DQGORDQVWRLWVUHODWHG SDUWLHVDFFRXQWVKDYHEHHQUHFRUGHGDWDPLQLPDOYDOXHRI` 5HYHQXH)URP2SHUDWLRQV )RUWKH Annual Report 2017-18 153 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 )RUWKH 2WKHU,QFRPH )RUWKH 154 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 (PSOR\HH%HQH¿WV([SHQVH )RUWKH 29. Finance Costs )RUWKH 29.1 7KHUHDUHQR¿QDQFHFRVWVDULVLQJRQDFFRXQWRIH[FKDQJHJDLQGLIIHUHQFHVRQDFFRXQWRIIRUHLJQERUURZLQJV 'HSUHFLDWLRQDQG$PRUWL]DWLRQ )RUWKH Annual Report 2017-18 155 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 2WKHU([SHQVHV )RUWKH 156 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 )RUWKH 31.1 D /RDQZULWWHQRIIXQGHURWKHUH[SHQVHVLQFOXGHVDQDPRXQWRI`1LO 0DUFK ` RQDFFRXQWRI IUDXGFRPPLWWHGE\FHUWDLQERUURZHUVLQUHVSHFWRIORDQDJDLQVWSURSHUW\E\VHOOLQJWKHUHODWHGVHFXULWLHVLQ5HOLJDUH )LQYHVW/LPLWHG7KHIUDXGUHSRUWKDGEHHQ¿OHGZLWK5%,GDWHG-DQXDU\DVGHWDLOHGKHUHXQGHU )RUWKH E $OVRUHIHUQRWHQRIRUWKHDPRXQWRIWKHIUDXGUHSRUWHGGXULQJWKHFXUUHQW\HDUZKLFKZDVUHSRUWHGDVµH[FHSWLRQDO LWHPV¶LQSUHYLRXV\HDU 31.2 Payment to Auditors )RUWKH µ)HHVIRURWKHUVHUYLFHV¶LQFOXGHVOLPLWHGUHYLHZIHHIRU4WR3:& Annual Report 2017-18 157 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 3UR¿W /RVV RQ6DOHRI%XOOLRQDQG$UW:RUNV )RUWKH 31.4 Corporate Social Responsibility (“CSR”) Expenses D *URVVDPRXQWUHTXLUHGWREHVSHQWE\WKHJURXSFRPSDQLHVGXULQJWKHFXUUHQW\HDULV` 0DUFK ` E $PRXQWVSHQWGXULQJWKH\HDURQ ,QFDVK F 5HODWHGSDUW\WUDQVDFWLRQVGXULQJWKH\HDULQUHODWLRQWR&65H[SHQGLWXUHLV`1LO 0DUFK ` G 7KH&RPSDQ\KDVQRWFUHDWHGDQ\SURYLVLRQWRZDUGV&65H[SHQGLWXUHGXULQJWKH\HDU$FFRUGLQJO\WKHPRYHPHQW LQSURYLVLRQGXULQJWKH\HDULV`1LO (DUQLQJV3HU(TXLW\6KDUH )RUWKH 158 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ) ` $VDW $PRXQW 0DUFK DU\$VVRFLDWHV $VDW $VDRI Consolidated 3UR¿WRU /RVV 0DUFK ) ` As at 6KDUHLQ3UR¿WRU /RVV Amount ( March 31, 2018 (6) (7) 0.03%0.00% (3,969,457) 0.00% - 0.00% - 0.00% - - 9.24% (1,101,829,132) 0.00% - 1.36% (162,511,235) 0.00% - -0.16% 19,650,160 -0.68% 81,514,123 -0.40% 47,469,963 92.47% (11,027,545,774) As at As a % of Consolidated March 31, 2018 3UR¿WRU /RVV ) ` $VDW $PRXQW 0DUFK $VDW $VVHWV $VDRI WKH&RPSDQLHV$FWRIHQWHUSULVHVFRQVROLGDWHGDV6XEVLGL 0DUFK &RQVROLGDWHG1HW Net Assets ) ` As at Amount ( March 31, 2018 7RWDO$VVHWVPLQXV7RWDO/LDELOLWLHVA 0.00%0.00%0.00% - - 0.00% - 0.00% - - 0.00%3.88% 654,195,493 - 0.00% - 11.74% 1,977,723,035 16.42% 2,767,009,974 10.01% 1,686,883,008 115.05% 19,381,957,335 138.20% 23,282,188,462 As at As a % of Net Assets Consolidated March 31, 2018 (1) (2) (3) Name of the Entity Joint Ventures. Parent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nnual Report 2017-18 159 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ) ` $VDW $PRXQW 0DUFK $VDW $VDRI Consolidated 3UR¿WRU /RVV 0DUFK ) ` As at 6KDUHLQ3UR¿WRU /RVV Amount ( March 31, 2018 (6) (7) 0.00% - 0.00% - 0.00%0.00% - 0.00%0.00% (56,464) (750) 0.03% (4,094,466) - 0.00%0.12% (14,901,252) - 0.00% - 0.00% - 0.00%0.00% - - 0.00% - -0.01% 952,810 11.66% (1,390,722,714) As at As a % of Consolidated March 31, 2018 3UR¿WRU /RVV ) ` $VDW $PRXQW 0DUFK $VDW $VVHWV $VDRI 0DUFK &RQVROLGDWHG1HW Net Assets ) ` As at Amount ( March 31, 2018 7RWDO$VVHWVPLQXV7RWDO/LDELOLWLHVA 0.00% - 0.00% - 0.00% 971 0.00%0.00%0.00% 105,421 4,987 - 0.00%0.34% 58,008,596 0.06% - 10,351,089 0.00% - 0.00%0.00% - 0.00% - - 0.00% - -0.14% (22,999,518) -6.45% (1,086,968,744) As at As a % of Net Assets Consolidated March 31, 2018 (1) (2) (3) Name of the Entity 1RUWKJDWH&DSLWDO//3 &RQVROLGDWHG /DQGPDUN3DUWQHUV//& &RQVROLGDWHG $UJLO$GYLVRUV//3 IRUPHUO\NQRZQDV &HUHVWUD&DSLWDO$GYLVRUV//3 KDYHWZR SDUWQHUVYL]5*$0,QYHVWPHQW$GYLVHUV 3ULYDWH/LPLWHG DQG5HOLJDUH9HQWXUH &DSLWDO/LPLWHG 5HOLJDUH%XVLQHVV6ROXWLRQV/LPLWHG 5HOLJDUH,QVXUDQFH/LPLWHG 5HOLJDUH+HDO)XQG$GYLVRUV//3 Subsidiaries - Foreign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eligare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 ) ` $VDW $PRXQW 0DUFK $VDW $VDRI Consolidated 3UR¿WRU /RVV 0DUFK ) ` OHDQGSDUDXQGHUWKDWWDEOHRI1RWH As at 6KDUHLQ3UR¿WRU /RVV Amount ( March 31, 2018 (6) (7) 0.00% (31,974) 0.00% - 0.00% - 0.30% (36,233,512) 0.00% - -0.74% 88,107,630 -13.24% 1,579,196,878 100.00% (11,925,005,164) As at As a % of Consolidated March 31, 2018 3UR¿WRU /RVV ) ` $VDW $PRXQW 0DUFK $VDW $VVHWV $VDRI 0DUFK &RQVROLGDWHG1HW WKHFRQVROLGDWHG¿QDQFLDOVWDWHPHQWVSOHDVHUHIHUWRVHFRQGWDE Net Assets ) W´ ` As at Amount ( March 31, 2018 7RWDO$VVHWVPLQXV7RWDO/LDELOLWLHVA 0.00%0.00% - - 0.00% - 0.03% 4,447,498 0.58% 97,203,812 -20.26% (3,412,538,589) -169.48% (28,551,132,211) As at As a % of Net Assets Consolidated March 31, 2018 (1) (2) (3) Name of the Entity )RUOLVWRIWKH&RPSDQLHVWKDWKDYHQRWEHHQFRQVROLGDWHGLQ 5HOLJDUH&RPPRGLW\'0&& 0LQRULW\,QWHUHVWLQDOOVXEVLGLDULHV $VVRFLDWHV ,QYHVWPHQWDVSHUHTXLW\ PHWKRG ,QGLDQ Annual Report 2017-18 161 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 33. Contingent Liabilities As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) (a) &ODLPVDJDLQVWWKH*URXSQRWDFNQRZOHGJHGDVGHEWV 110,489,511 (b) *XDUDQWHHV *XDUDQWHHVJLYHQWRWKHEDQNHUVE\WKH&RPSDQ\VXEVLGLDULHV 161,500,000 MRLQWYHQWXUHV %DQN*XDUDQWHHVJLYHQE\WKHEDQNHUVRQEHKDOIRIWKH 2,317,337,026 &RPSDQ\VXEVLGLDULHVMRLQWYHQWXUHV 2WKHU%DQN*XDUDQWHHV 20,458,110 (c) 2WKHUPRQH\IRUZKLFKWKHFRPSDQ\LVFRQWLQJHQWO\OLDEOH 'LVSXWHG,QFRPH7D['HPDQGVQRWSURYLGHGIRU 2,164,921,477 'LVSXWHG6HUYLFH7D[GHPDQGQRWSURYLGHGIRU 27,465,010 'LVSXWHG9DOXH$GGHG7D[ ³9$7´ GHPDQGQRWSURYLGHGIRU 529,795,897 'LVSXWHG3URYLGHQW)XQG ³3)´ GHPDQGQRWSURYLGHGIRU 12,326,336 6KRZ&DXVH1RWLFH3HQDOW\OHYLHGE\5%, - &ROODWHUDOIRUDVVLJQPHQWRIUHFHLYDEOHV 333,402,235 8QGHUZULWLQJFRPPLWPHQWVREOLJDWLRQVIRUVKDUHVGHEHQWXUHV 9,140,304,163 /HWWHURI&RPIRUWA Total 14,817,999,765 &HUWDLQJXDUDQWHHVKDYHEHHQGLVFORVHGDWQHWRXWVWDQGLQJYDOXHLQVWHDGRIIDFHYDOXH A8QGHUZULWLQJFRPPLWPHQWVREOLJDWLRQVIRUVKDUHVGHEHQWXUHV/HWWHURI&RPIRUWLQFOXGHVIROORZLQJV L 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Commitments As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) (VWLPDWHGDPRXQWRIFRQWUDFWVUHPDLQLQJWREHH[HFXWHGDQGQRW (a) 11,180,175 SURYLGHGIRU (b) 2WKHUFRPPLWPHQWV 8QGLVEXUVHG6DQFWLRQHG/RDQV 58,257,725 &RQWULEXWLRQLQ)XQGV2WKHUV - Total 69,437,900 1HWRI$GYDQFHLIDQ\ 35. 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eligare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 3 2) 96 81 3,055,239 1,686,429 16,114,202 16,114,202 43,138,326 727$/ (130,445,760) (1,233,589,115) (2,274,315,950) (13,504,202,042) 164,241,373 164,241,373 7,459,591,762 7,125,681,422 7,459,591,762 7,125,681,422 2,359,784,812 2,359,784,812 AMC Unallocated (12,550,805) - (17,531,657) (50,230,554) ,QVXUDQFH - E-Governance Related %URNLQJ Activities Services Advisory Financial 60,468,189 1,094,158 54,607,221 63,756,082 54,745,700 1,872,713 4,019,542 1,331,300 63,756,514 59,061,606 189,895,347 5,026,710 3,476,177 150,659,406 4,403,199 123,089,239 75,482,789 5,686,468 18,746,331 24,663,938 317,624,361 37,538,587 376,069,291 309,687,564 (3,920,120) - (16,227,972) (89,163,274) (4,071,766) (28,375,925) (168,997) (47,122,767) - (27,918,707) (196,821,436) 6,425,419,800 - 39,150,844 8,747 - - 47,201,929 6,511,781,320 30,791,778,341 140,152,301 3,792,834,667 249,136,646 5,293,347,279 2,641,688,949 181,976,818 43,090,915,001 30,702,615,067 136,080,535 3,764,458,742 248,967,649 5,246,224,512 2,641,688,949 154,058,111 42,910,207,767 10,376,765,462 - 61,972,826 20,518 - - 14,032,432 10,452,791,238 (1,207,918,730) (78,904,780) 187,025,186 71,429,833 (103,275,027) 42,135,529 (247,502,762) (1,337,010,751) 183,997,814,557 111,944,504 11,438,681,955 123,183,482 164,322,717,183 7,488,367,917 48,753,612 10,534,961,363 91,912,758 7,125,681,422 210,377,586,595 122,066,921 207,320,729,984 5,431,844,921 214,074,322 23,567,414 8,616,571,921 45,668,768 4,578,590,258 13,382,721,445 1,506,135,833 182,843,696,226 - 180,483,911,414 183,997,814,557 111,944,504 11,438,681,955 123,183,482 7,488,367,917 91,912,758 - 203,251,905,173 Financing Activities External Revenue 15,798,905,356 67,357,080 3,233,070,058 318,959,119 7,396,815,664 6,371,651 157,109,905 26,978,588,83 ,QWHU6HJPHQWDO5HYHQXH $GG ,QWHUHVW'LYLGHQG,QFRPH /HVV ,QWHUHVWH[SHQVH ,QFRPH7D[HV &XUUHQW'HIHUUHG Unallocated Corporate Liabilities Unallocated Corporate Assets Unallocated Corporate 3$57,&8/$56 ,QYHVWPHQWDQG (i) Segment Revenue Total Revenue Total (ii) Segment Results 3UR¿W /RVV DIWHUWD[ 15,794,985,236 (15,700,564,427) 67,357,080 3,216,842,086 2,833,259 318,959,119 7,384,264,859 10,026,816 88,362,934 6,371,651 (163,053,923) 139,578,248 26,931,413,518 (76,574,827) 59,083,366 (15,779,886,80 DQG)ULQJH%HQH¿W7D[ (iv) Segment liabilities (v) Capital Expenditure 125,937,277,711 25,872,415 7,163,059,322 YL 'HSUHFLDWLRQ$PRUWL]DWLRQ 149,723,396 8,473,969,424 (vii) Non Cash Expenditure other than Depreciation 870,940 39,869,287 - 141,750,773,208 - 54,732,719 553,000 3,318,673 - 2,176,234 100,649,913 (iii) Segment Assets (iii) Segment Assets Total 131,492,749,902 20,013,540 8,653,523,213 liabilities Total 150,956,402 10,980,377,734 4,242,643 131,492,749,902 20,013,540 8,653,523,213 150,956,402 10,980,377,734 - 151,301,863,434 4,242,643 125,937,277,711 7,459,591,762 158,761,455,1 25,872,415 7,163,059,322 149,723,396 8,473,969,424 870,940 164,241,373 141,915,014,5 ,1)250$7,21$%28735,0$5<%86,1(666(*0(17 Year. Previous represent Figures in italics Annual Report 2017-18 167 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 Geographical Segment 7KH&RPSDQ\UHSRUWVLWVRSHUDWLRQVXQGHUWKHIROORZLQJJHRJUDSKLFDOVHJPHQWV 'RPHVWLF2SHUDWLRQVFRPSULVHRIDFWLYLWLHVKDYLQJRSHUDWLRQVLQ,QGLD )RUHLJQ2SHUDWLRQVFRPSULVHRIDFWLYLWLHVRXWVLGH,QGLD *HRJUDSKLFDO6HJPHQWUHVXOWVDUHJLYHQEHORZ Description March 31, 2018 0DUFK Amount (`) $PRXQW(`) Revenue 'RPHVWLF2SHUDWLRQV 26,924,469,663 )RUHLJQ2SHUDWLRQV 6,943,855 Total 26,931,413,518 Carrying Amount of Segment Assets 'RPHVWLF2SHUDWLRQV 158,753,612,262 )RUHLJQ2SHUDWLRQV 7,842,934 Total 158,761,455,196 37 Disclosure as per Accounting Standard 19 - Lease Accounting : $ $VVHWVWDNHQRQ2SHUDWLQJ/HDVH L 7KHJURXSFRPSDQLHVKDYHWDNHQRI¿FHSUHPLVHVDQGYHKLFOHVRQRSHUDWLQJOHDVHDWYDULRXVORFDWLRQVDQG OHDVHUHQWDOVLQUHVSHFWRIWKHVDPHKDYHEHHQFKDUJHGXQGHU³5HQW´LQWKH6WDWHPHQWRI3UR¿WDQG/RVV7KH $JUHHPHQWVDUHH[HFXWHGIRUDSHULRGUDQJLQJEHWZHHQWR \HDUV LL 7KHIXWXUHPLQLPXPOHDVHUHQWDOVIRUQRQFDQFHOODEOHOHDVHVRXWVWDQGLQJDUHDVXQGHU As at $VDW Minimum Lease Rentals March 31, 2018 0DUFK Amount (`) $PRXQW `) 1RWODWHUWKDQ\HDU 72,409,400 /DWHUWKDQSHULRGDQGQRWODWHUWKDQ\HDUV 17,572,806 /DWHUWKDQ\HDUV - LLL 5HQWSD\PHQWVDUHUHFRJQLVHGLQWKH6WDWHPHQWRI&RQVROLGDWHG3UR¿W /RVVXQGHUµ5HQW¶LQ1RWH1RRI ³2WKHU([SHQVHV´ % $VVHWVWDNHQRQ)LQDQFLDO/HDVH $IHZJURXSFRPSDQLHVKDYHWDNHQYHKLFOHVRQ¿QDQFHOHDVH7KHVHOHDVHDUUDQJHPHQWVUDQJHIRUDSHULRG EHWZHHQDQG\HDUV L 'HWDLOVRIDVVHWVWDNHQXQGHU¿QDQFHOHDVHDUHDVXQGHU As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) 7RWDORIIXWXUHPLQLPXPOHDVHSD\PHQWV 17,538,484 3UHVHQWYDOXHRIOHDVHUHFHLSWV 14,731,821 8QPDWXUHG¿QDQFHFKDUJHV 2,806,663 168 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 LL 0DWXULW\3UR¿OHRIIXWXUHPLQLPXPOHDVHSD\PHQWV As at $VDW Particulars March 31, 2018 0DUFK7 Amount (`) $PRXQW `) 1RWODWHUWKDQ\HDU 8,637,563 /DWHUWKDQ\HDUDQGQRWODWHUWKDQ\HDUV 8,945,939 /DWHUWKDQ\HDUV - Total 17,583,502 LLL 0DWXULW\3UR¿OHRISUHVHQWYDOXHRIOHDVHSD\PHQWV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) 1RWODWHUWKDQ\HDU 6,898,647 /DWHUWKDQ\HDUDQGQRWODWHUWKDQ\HDUV 7,878,192 /DWHUWKDQ\HDUV - Total 14,776,839 38. 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$GYDQFHUHFHLYHGDJDLQVW6WRFN2SWLRQ - Exercised Total Purchase of Fixed Asset 'LRQ*OREDO6ROXWLRQV/LPLWHG d 7,106 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG e 387,951 Purchase of Fixed Asset Total 395,057 ,QVXUDQFH&ODLPV3D\PHQW ''5&65/'LDJQRVWLFV3ULYDWH d 178,335 /LPLWHG (VFRUWV+HDUW,QVWLWXWH d 6,538,361 5HVHDUFK&HQWUH/LPLWHG )RUWLV&'RF+HDOWKFDUH/LPLWHG d 1,836,429 )RUWLV&KDULWDEOH)RXQGDWLRQ d 13,524 )RUWLV+HDOWK0DQDJHPHQW d 1,248,844 /LPLWHG )RUWLV+HDOWKFDUH/LPLWHG d 10,281,198 )RUWLV+RVSLWDOV/LPLWHG d 87,407,019 )RUWLV0DODU+RVSLWDOV/LPLWHG d 1,169,317 +LUDQDQGDL+HDOWKFDUH3ULYDUH d 4,216,916 /LPLWHG ,QWHUQDWLRQDO+RVSLWDO/LPLWHG d - 5+&+ROGLQJ3ULYDWH/LPLWHG d 225,062 65//LPLWHG d 9,325,950 ,QVXUDQFH&ODLPV3D\PHQW7RWDO 122,440,955 3UHPLXP5HFHLYHGLQ$GYDQFH&DVK Deposit 'LRQ*OREDO6ROXWLRQV/LPLWHG d 456,000 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG e 55,000 5+&+ROGLQJ3ULYDWH/LPLWHG d - Annual Report 2017-18 173 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP %URNHUDJH(DUQHG 174 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP Annual Report 2017-18 175 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP 176 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP Annual Report 2017-18 177 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP 178 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP 3$<$%/(6 'HEHQWXUHV2XWVWDQGLQJ 0U.DYL$URUD c - 'HEHQWXUHV2XWVWDQGLQJ7RWDO - ,QWHUHVW3D\DEOHRQ'HEHQWXUHV 0U.DYL$URUD c - ,QWHUHVW3D\DEOHRQ'HEHQWXUHV7RWDO - Security Deposits Payable 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG e 229,785 Security Deposits Payable Total 229,785 2WKHU3D\DEOHV )LQVHUYH6KDUHG6HUYLFHV d - /LPLWHG )RUWLV+RVSLWDOV/LPLWHG d - /LJDUH$YLDWLRQ/LPLWHG d - 0U6XUDWK6LQJK a - 5HOLJDUH&DSLWDO0DUNHWV +RQJ e - .RQJ /LPLWHG 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG e 619,557 65//LPLWHG d - 2WKHU3D\DEOHV7RWDO 619,557 5(&(,9$%/(6 ,QWHU&RUSRUDWH/RDQV5HFHLYDEOH $156HFXULWLHV3ULYDWH/LPLWHG d - 2VFDU,QYHVWPHQWV/LPLWHG d - 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG e 91,360,116 5+&+ROGLQJ3ULYDWH/LPLWHG d - 6SHFWUXP9R\DJHV3ULYDWH d - /LPLWHG IRUPHUO\NQRZQDV /LJDUH7UDYHOV/LPLWHG ,QWHU&RUSRUDWH/RDQV5HFHLYDEOH7RWDO 91,360,116 ,QWHUHVW5HFHLYDEOHRQ,QWHU&RUSRUDWH Loans $156HFXULWLHV3ULYDWH/LPLWHG d - 2VFDU,QYHVWPHQWV/LPLWHG d - Annual Report 2017-18 179 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 RP 180 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 'HWDLOVRI(PSOR\HH6WRFN2SWLRQ3ODQVLVVXHGE\WKH&RPSDQ\ Type of Scheme (623 (623 (6236FKHPH (6236FKHPH Scheme 2010 Scheme 2010 (Tranche 2010 (Tranche 7UDQFKH±, 2010 ,,, ±,9 7UDQFKH,, 'DWHRIJUDQW 'HF 0DU -XO 1RY 1XPEHU*UDQWHG &RQWUDFWXDO/LIH ZHIYHVWLQJGDWH \UV \UV \UV \UV 9HVWLQJ&RQGLWLRQV RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RIPRQWKVIURP*UDQW'DWH 0HWKRGRI2SWLRQ9DOXDWLRQ %ODFN6FKROHV2SWLRQ3ULFLQJ0HWKRG ([HUFLVH3ULFH (VWLPDWHGIDLUYDOXHRIVKDUHJUDQWHG Type of Scheme (623 (623 Scheme 2012 Scheme 7UDQFKH±, 2012 7UDQFKH±,, 'DWHRIJUDQW 0DU 2FW 1XPEHU*UDQWHG &RQWUDFWXDO/LIH ZHIYHVWLQJGDWH \UV \UV 9HVWLQJ&RQGLWLRQV RQH[SLU\ RQ RIPRQWKV H[SLU\RI IURP*UDQW PRQWKVIURP 'DWH *UDQW'DWH RQH[SLU\ RQ RIPRQWKV H[SLU\RI IURP*UDQW PRQWKVIURP 'DWH *UDQW'DWH 0HWKRGRI2SWLRQ9DOXDWLRQ %ODFN6FKROHV2SWLRQ3ULFLQJ 0HWKRG ([HUFLVH3ULFH (VWLPDWHGIDLUYDOXHRIVKDUHJUDQWHG Scheme 1RRI2SWLRQV ,VVXHG Cancellation of 2SWLRQV Number of outstanding as on During 2SWLRQV Exercised 2SWLRQVRXW- April 1, 2017 the year standing as on March 31, 2018 6FKHPH - 6FKHPH 7UDQFKH±, 1,804,000 6FKHPH 7UDQFKH±,, 60,000 727$/ 5,120,000 - 3,256,000 - 1,864,000 Annual Report 2017-18 181 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 Scheme Exercisable as at March 31, 2018 6FKHPH Range of Exercise Price (6236FKHPH 7UDQFKH±, (6236FKHPH 7UDQFKH±,, 2WKHU1RWHV D ([FHSWLRQDO,WHPV (i) :ULWH%DFNRI3URYLVLRQIRU'LPLQXWLRQLQWKHYDOXHRIQRQFXUUHQW,QYHVWPHQWVLQDVXEVLGLDU\RI` Nil (March 31, 2017: ` 4,500,000,000 and Loss on sale of investment in a subsidiary of ` 4,499,910,000). 'XULQJWKH\HDUHQGHG0DUFKWKH&RPSDQ\KDGVROGLWVLQYHVWPHQWLQ3UHIHUHQFH 6KDUHVRI5HOLJDUH&DSLWDO0DUNHWV/LPLWHGDQGDFFRXQWHGIRUORVVRQRIVDOHLQYHVWPHQWLQDIRUHVDLGSUHIHUHQFH VKDUHV RI WKH VXEVLGLDU\ RI ` DQG ZULWWHQ EDFN WKH SURYLVLRQ IRU GLPLQXWLRQ LQ YDOXH RI VDLG LQYHVWPHQWV DJJUHJDWLQJ ` 7KHVH KDYH EHHQ GLVFORVHG DV ([FHSWLRQDO ,WHPV DQG LW KDV QR PDWHULDOLPSDFWRQWKHUHVXOWVIRUWKH\HDU (ii) Provision for diminution in value of non-current investment in a subsidiary ` Nil (March 31, 2017: ` 150,000,000) 3XUVXDQW WR WKH WHUPV RI WKH WULSDUWLWH DJUHHPHQW EHWZHHQ WKH &RPSDQ\5HOLJDUH &DSLWDO 0DUNHWV /LPLWHG ³5&0/´ DQG5+&+ROGLQJ3ULYDWH/LPLWHGWKH&RPSDQ\KDGVXEVFULEHGWRSUHIHUHQFHVKDUHVRI5&0/RI `'XHWRVHYHUHORQJWHUPUHVWULFWLRQVLPSRVHGRQ5&0/IXOOSURYLVLRQKDVEHHQPDGHDJDLQVW VDLGLQYHVWPHQWVDQGWKHVDPHKDGEHHQVKRZQDVDQH[FHSWLRQDOLWHP (iii) /RDQV6XQGU\%DODQFHVZULWWHQRII ` Nil (March 31, 2017: ` 7,936,720,176): 3OHDVHUHIHU6FKHGXOH 3UR¿W /RVV RQVDOHRILQYHVWPHQWLQVXEVLGLDULHV 1HW RI` Nil (March 31, 2017: ` (832,508,465)): S.No. Particulars Amount (`) 5HPDUNV /RVVRQVDOHRILQYHVWPHQWLQ5&0/ 5HIHUVXEQRWH L DERYH 3UR¿WRQVDOHRILQYHVWPHQWLQ5,$0& 5HIHUVXEQRWH LY EHORZ /RVVRQVDOHRILQYHVWPHQWLQ5,7& 5HIHUVXEQRWH LY EHORZ /RVVRQUHGHPSWLRQRIWKHVKDUHFDSLWDOLQD5*$0,QF 5HIHUVXEQRWH Y EHORZ Total LY 3UR¿WRQVDOHRILQYHVWPHQWVLQVXEVLGLDULHV ` Nil (March 31, 2017: ` 4,610,751,333): 3XUVXDQWWR6KDUH3XUFKDVHDJUHHPHQWGDWHG1RYHPEHUWKH&RPSDQ\KDGVROGRQ$SULO LWV HQWLUH VWDNH KHOG WKURXJK 5HOLJDUH 6HFXULWLHV /LPLWHG DQG 5*$0 ,QYHVWPHQW$GYLVRUV 3ULYDWH /LPLWHG LQ5HOLJDUH,QYHVFR$VVHW0DQDJHPHQW&RPSDQ\3ULYDWH/LPLWHG ³5,0$&´ DQG5HOLJDUH,QYHVFR7UXVWHH &RPSDQ\3ULYDWH/LPLWHG ³5,7&´ WR,QYHVFR+RQJ.RQJ/LPLWHG$FFRUGLQJO\WKH5,$0&DQG5,7&FHDVHGWR WKHVXEVLGLDULHVRIWKH&RPSDQ\HIIHFWLYH$SULO 3UR¿WHDUQHGRI`RQVXFKVDOHVKDGEHHQGLVFORVHGDVDQH[FHSWLRQDOLWHPLQWKH6WDWHPHQW 3UR¿WDQG/RVV7KH&RPSDQ\ZLVHGHWDLORIWKHSUR¿W ORVV UHSDUWHGDVH[HSWLRQDOLWHPLVDVXQGHU Particulars Amount (`) 5HOLJDUH,QYHVFR$VVHW0DQDJHPHQW&RPSDQ\3ULYDWH/LPLWHG 5HOLJDUH,QYHVFR7UXVWHH&RPSDQ\3ULYDWH/LPLWHG Total 182 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 2Q )HEUXDU\ 5*$0 ,QYHVWPHQW $GYLVHUV 3ULYDWH /LPLWHG ³5*$0 ,$3/´ D VXEVLGLDU\ RI WKH &RPSDQ\KDGVROGLWVHQWLUHVKDUHKROGLQJLQ5HOLJDUH+HDOWK7UXVW7UXVWHH0DQDJHU3WH/LPLWHG ³5+770´ WR6WHOODQW&DSLWDO$GYLVRU\6HUYLFHV3ULYDWH/LPLWHGD3URPRWHU*URXSFRPSDQ\DWDSUR¿WRI` 7KHWUDQVDFWLRQZDVDWDUP¶VOHQJWKEDVHGRQDYDOXDWLRQGRQHE\DQLQGHSHQGHQWYDOXHU (v) Loss on redemption of the share capital in a subsidiary of ` Nil (March 31, 2017: ` 943,349,798): %RDUGRI'LUHFWRUVRI5HOLJDUH*OREDO$VVHW0DQDJHPHQW,QF ³5*$0,QF´ DIRUHLJQVXEVXEVLGLDU\RIWKH &RPSQD\DWLWVPHHWLQJKHOGRQ0D\KDGJLYHQLWVFRQVHQWWROLTXLGDWH5*$0,QF)XUWKHUGXULQJ WKH\HDU5*$0,QFVROGLWVHQWLUHVKDUHKROGLQJLQ1RUWKJDWH&DSLWDO//&DQG1RUWKJDWH&DSLWDO/3/DQGPDUN 3DUWQHUV//&DQG,QYHVWPHQW3URIHVVLRQDO/LPLWHG 5*$0 ,QF UHPLWWHG 86' WR LWV KROGLQJ FRPSDQ\ 5*$0 ,QYHVWPHQW$GYLVHUV 3ULYDWH /LPLWHG ³5*$0,$3/´ DJDLQVWVKDUHFDSLWDOKROGE\WKHKROGLQJFRPSDQ\DQGKDVUHGXFHGLWVVKDUHFDSLWDOWRWKH QRPLQDODPRXQW7KHVDLGUHPLWWDQFHFDVXHORVVWRWKH&RPSDQ\RI` ZKLFKKDGEHHQGLVFORVHG DVDQH[FHSWLRQDOLWHPLQWKH6WDWHPHQW3UR¿WDQG/RVV b. 'XULQJWKH\HDUHQGHG0DUFKWKH&RPSDQ\KDGHQWHUHGLQWRDELQGLQJ7HUP6KHHWRQ'HFHPEHU ZLWKWKH(GHOZHLVVJURXSWRVHOOLWVLQWHUHVWVLQLWVUHWDLOEURNLQJEXVLQHVVVXEMHFWWRQHFHVVDU\DSSURYDOV7KHVDLG ELQGLQJDUUDQJHPHQWH[SLUHGLQDFFRUGDQFHZLWKWKHWHUPVWKHUHRIRQ0DUFKVLQFHFRQGLWLRQVVSHFL¿HGLQ ELQGLQJWHUPVKHHWZHUHQRWVDWLV¿HG c. 2QWKHEDVLVRIWKHLQIRUPDWLRQDQGUHFRUGVDYDLODEOHWKHUHLVQREDODQFHRXWVWDQGLQJZLWKDQ\RIPLFURHQWHUSULVHV DQGVPDOOHQWHUSULVHVDVRQ0DUFK)XUWKHUGXULQJWKH\HDUQRLQWHUHVWKDVEHHQSDLGRUSD\DEOHXQGHUWKH WHUPVRIWKHVDLG$FW d. &ODVVL¿FDWLRQRI,QYHVWPHQWVORDQVDQGSURYLVLRQWKHUHRIKDVEHHQPDGHLQDFFRUGDQFHZLWKWKH1RQ%DQNLQJ )LQDQFLDO 1RQ'HSRVLW$FFHSWLQJRU+ROGLQJ &RPSDQLHV3UXGHQWLDO1RUPV 5HVHUYH%DQN 'LUHFWLRQVLVVXHG E\5HVHUYH%DQNRI,QGLDDIWHUFRQVLGHULQJUHDOL]DEOHYDOXHRILQYHVWPHQWV3URYLVLRQIRU/RQJ7HUP,QYHVWPHQWLV PDGHDVSHU$FFRXQWLQJ6WDQGDUG $6 ³$FFRXQWLQJIRU,QYHVWPHQWV´RI,QVWLWXWHRI&KDUWHUHG$FFRXQWDQWRI ,QGLD ³,&$,´ e. 5HVHUYH%DQNRI,QGLD 5%, YLGHLWVOHWWHUGDWHG-DQXDU\KDVDGYLVHG5HOLJDUH)LQYHVW/LPLWHG ³5)/´ D1%)&VXEVLGLDU\RIWKH&RPSDQ\WRDGKHUHWRWKHFRUUHFWLYHDFWLRQSODQJLYHQE\LW7KHVDLGFRUUHFWLYHDFWLRQ SODQLQWHUDOLDSURKLELWV5)/IURPH[SDQVLRQRIFUHGLWLQYHVWPHQWSRUWIROLRVRWKHUWKDQLQYHVWPHQWLQJRYHUQPHQW VHFXULWLHVDQGDGYLVHV5)/QRWWRSD\GLYLGHQG f. 7KH1%)&VLQWKHJURXSKDYHGLVEXUVHGORDQVDJDLQVWPRUWJDJHRISURSHUWLHVDQGWKHERUURZHUVKDYHDVVLJQHG WKHLUOHDVHUHQWDOVIHHVFUHGLWFDUGUHFHLYDEOHSURMHFWUHFHLYDEOHHWFWKURXJKHVFURZWRZDUGVUHSD\PHQWRI(0,V LQVWDOOPHQWV 7KH ERUURZHUV KDYH RSHQHG WKHLU DFFRXQWV ZLWK FHUWDLQ EDQNV XQGHU HVFURZ WR WKH FRPSDQ\7KH DIRUHVDLGHVFURZDFFRXQWVGRQRWIRUPSDUWRIWKHVH¿QDQFLDOVWDWHPHQWV g. 6HFXULWLHV UHFHLYHG IURP FOLHQWV E\ WKH VXEVLGLDULHV RI WKH &RPSDQ\ DV FROODWHUDO IRU PDUJLQV DUH KHOG E\ WKH VXEVLGLDU\FRPSDQLHVLQLWVRZQQDPHLQD¿GXFLDU\FDSDFLW\ h. -RLQW9HQWXUH,QIRUPDWLRQ -RLQW9HQWXUHDVUHTXLUHGE\$6±³)LQDQFLDO5HSRUWLQJRI,QWHUHVWLQ-RLQW9HQWXUH´DUHJLYHQEHORZ (i) 'HWDLOVRI-RLQW9HQWXUHV RI,QWHUHVWDVRQ Description of Name ,QWHUHVW March 31, 0DUFK 2018 ,%2),QYHVWPHQW0DQDJHPHQW3ULYDWH/LPLWHG (TXLW\6KDUHKROGLQJ 50.00% 0LOHVWRQH5HOLJDUH&DSLWDO0DQDJHPHQW/LPLWHG (TXLW\6KDUHKROGLQJ - &RPSDQ\ZDVH[FOXGHGIURPFRQVROLGDWLRQ 5HIHU1RWH ,, ( Annual Report 2017-18 183 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 (ii) &RPSDQ\¶VLQWHUHVWLQ-RLQW9HQWXUHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW `) $VVHWV 5,565,703 /LDELOLWLHV 1,118,205 5HYHQXH 6,371,651 'HSUHFLDWLRQ 34,005,728 2WKHU([SHQVHV 7,463,688 Capital Commitments - &RQWLQJHQW/LDELOLWLHV - L 'HWDLOVRI&ORVLQJ6WRFN (i) &ORVLQJ6WRFNRI&RPPRGLWLHV As at $VDW $ &ORVLQJ6WRFNRI%XOOLRQV March 31, 2018 0DUFK ,WHPV Quantity Amount (`) Quantity $PRXQW `) (DV\*ROG*UDP 3FV - - (DV\*ROG*UDP 3FV - - (DV\*ROG*UDP 3FV - - Total (A) - As at $VDW % &ORVLQJ6WRFNRI$JUL3URGXFWV March 31, 2018 0DUFK ,WHPV Quantity (MT) Amount (`) 4XDQWLW\ 07 $PRXQW `) 6R\DEHDQ - - (ii) &ORVLQJ6WRFNRI$UW:RUNV As at $VDW &ORVLQJ6WRFNRI$UW:RUNV March 31, 2018 0DUFK ,WHPV Numbers Amount (`) 1XPEHUV $PRXQW `) 3DLQWLQJV - - Total (ii) - - 184 Religare Enterprises Limited Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 (iii) &ORVLQJ6WRFNRI'6&7RNHQVDQG86%7RNHQ &ORVLQJ6WRFNRI'6&7RNHQVDQG86% As at $VDW 7RNHQV March 31, 2018 0DUFK ,WHPV Quantity Amount (`) Quantity $PRXQW `) (Nos) 1RV '*)7&ODVVV3ODWLQXP,QG Annual Report 2017-18 185 Notes Forming Part of the Consolidated Financial Statements For the year ended March 31, 2018 WKHVH¿QDQFLDOVWDWHPHQWVDUHQRWSUHSDUHGRQDJRLQJFRQFHUQEDVLV$FFRUGLQJO\DOODVVHWVKDYHEHHQFDUULHG DWLWVHVWLPDWHGUHDOL]DEOHYDOXHDQG5:0/KDVSURYLGHGIRUDOOWKHNQRZQOLDELOLWLHV 7KHHUVWZKLOH&RPSDQ\6HFUHWDU\ ³&6´ RIWKH5:0/KDVUHVLJQHGIURPWKHRI¿FHRQ-XO\ $VSHU SURYLVLRQRIWKH6HFWLRQRIWKH$FW5:0/ZDVUHTXLUHGWRDSSRLQWD&6ZLWKLQVL[PRQWKVIURPYDFDWLRQRI RI¿FH7KHDSSRLQWPHQWRIWKH&6KDVEHHQPDGHRQ0D\ n. 3UHYLRXV\HDUWKHQZKROHWLPHGLUHFWRURIWKH&RPSDQ\KDGJLIWHGHTXLW\VKDUHVRIWKHFRPSDQ\WRKLV ZLIHGXULQJWKHSHULRG2FWREHUWR2FWREHU 7UDGLQJZLQGRZFORVXUHSHULRG 7KH&RPSDQ\ EDVHG XSRQ GHWDLOHG LQYHVWLJDWLRQ DQG FROODWHG YLHZV RI WKH LQGHSHQGHQW OHJDO SURIHVVLRQDO FRQFOXGHG WKDW WUDQVDFWLRQVLQWKHQDWXUHRIJLIWLVLQWKHDPELWRIWHUP³7UDGLQJ´DVXQGHUWKH6(%, 3URKLELWLRQRI,QVLGHU 7UDGLQJ 5HJXODWLRQV ³3,75HJXODWLRQ´ DQGWKH&RPSDQ\¶V&RGHRI&RQGXFWIRUSUHYHQWLRQRI,QVLGHU 7UDGLQJ $FFRUGLQJO\ DV SHU WKH UHFRPPHQGDWLRQ RI WKH$XGLW &RPPLWWHH IRU WKH QRQFRPSOLDQFHV OLVWHG DERYH D PRQHWDU\SHQDOW\RI`KDVEHHQOHYLHGDORQJZLWKUHVWULFWLRQVQRWWRGRDQ\WUDGLQJRIVKDUHVRIWKH &RPSDQ\LQWKHQH[WPRQWKVHLWKHUGLUHFWO\RULQGLUHFWO\7KLVKDVEHHQLQWLPDWHGWR6(%,YLGHLQWLPDWLRQOHWWHU GDWHG0D\DQGQHFHVVDU\GLVFORVXUHVKDYHEHHQPDGHWR1DWLRQDO6WRFN([FKDQJHRI,QGLD/LPLWHG DQG%6(/LPLWHG ³6WRFN([FKDQJHV´ RQ0D\ 'XULQJWKH\HDUHQGHG0DUFKWKH&RPSQD\KDVDGMXVWHGWKHSHQDOW\DPRXQWRI`DJDLQVW WKHWKHGXHVSD\DEOHE\WKH&RPSDQ\WRKLP7KH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\YLGHLWVPHHWLQJKHOGRQ 0D\DSSURYHGWRFRQWULEXWHWKHSHQDOW\DPRXQWOHYLHGRQ0U*RGKZDQLWR3ULPH0LQLVWHU1DWLRQDO 5HOLHI)XQG ³3015)´ o. 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No. Religare Finvest 1 2 3 4 5 6 7 7 9 11 14 15 10 12 13 2A 4 A Reporting Currency 4 B Part “A” : Subsidiaries Annual Report 2017-18 187 Form AOC - 1 5$ 5HOLJDUH+RXVLQJ Corporation Limited Development Finance Limited Religare ,QVXUDQFH For and on behalf of the Board Directors WH/LPLWHG3UR¿W /RVVDFFRXQWQXPEHUVIRUWKHHQWLUH DQLHVDPDOJDPDWHGZLWK5HOLJDUH(QWHUSULVHV/LPLWHG Religare RIWKH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVWKDWZHUHH[FOXGHG Global Asset 0DQDJHPHQW,QF Solutions Limited GZLWKUXOHRI&RPSDQLHV $FFRXQWV 5XOHV Religare Business VRI6XEVLGLDULHV$VVRFLDWH&RPSDQLHV-RLQW9HQWXUHV ',1 ',1 0HPEHUVKLS1R $ 1$ 1$ 1$ 1$ 1$ 1$ 1$ 1$ 1$ ,15 ,15 86' ,15 ,15 8 9 10 11 12 Limited )250$2& 0DUFK 2FWREHU 'HFHPEHU -XO\ -XQH Management ULQJWKH\HDU 6G 6G 6G 6G FH/LPLWHG VRUV//3 GLVVROYHGZHI$SULO WR3ULYDWH/LPLWHGFRPSDQ\QDPHG5HOLJDUH&DSLWDO$GYLVRU3ULYD LQVHFRQGWDEOHDQGSDUDXQGHUWKDWWDEOHRI1RWH1R ,, ( HPHQWIRUWKH\HDUHQGHG0DUFKIRUWKHVXEVLGLDU\FRPS $6+2.0(+7$ .5,6+1$168%5$0$1,$1 5$0$.5,6+1$6+(77< 5((1$-$<$ KO\DYHUDJHH[FKDQJHUDWH EXWLRQ¶E\SDUWQHUVKDVEHHQUHSRUWHGDVVKDUHFDSLWDO AA ` ) ` ) ` ) ) ` ` 3XUVXDQWWR¿UVWSURYLVRWRVXEVHFWLRQ RIVHFWLRQ UHD ) ) ` ` ( ) ) @ ` ` ,QWHULP&(2 'LUHFWRU)LQDQFH 'LUHFWRU &RPSDQ\6HFUHWDU\ ) ` 6WDWHPHQWFRQWDLQLQJVDOLHQWIHDWXUHVRIWKH¿QDQFLDOVWDWHPHQW Share Capital ([FKDQJH5DWHDVRQODVWGDWHRI¿QDQFLDO\HDU ,QYHVWPHQWV ,QFOXGLQJ6KDUH&DSLWDODQG5HVHUYHV 6XUSOXV 5HSRUWLQJ3HULRGLIGLIIHUHQWIURP+ROGLQJ&RPSDQ\ Total Liabilities ( Total 5HVHUYHV 6XUSOXV 3UR¿W /RVV %HIRUH7D[DWLRQ Total Assets ( Total RIVKDUHKROGLQJ (TXLW\ DVRQODVWGDWHRI¿QDQFLDO\HDU 7XUQRYHUA 3UR¿W /RVV $IWHU7D[DWLRQ Provision for Taxation ( Provision for Taxation Proposed Dividend ( 7KHGDWHVLQFHZKHQVXEVLGLDU\ZDVDFTXLUHG 5 9 1 Sl. No. 2 Name of the Subsidiary Religare Wealth 3 8 6 7 11 15 10 13 12 14 2A 4 A Reporting Currency 4 B ,QFDVHRI/LPLWHG/LDELOLW\3DUWQHUVKLS //3 µ&DSLWDO&RQWUL 'XULQJWKH\HDU5HOLJDUH&DSLWDO$GYLVRUV//3ZDVFRQYHUWHGLQ Part “A” : Subsidiaries \HDUDUHUHSRUWHGKHUH A,QFDVHRIIRUHLJQVXEVLGLDULHVWXUQRYHULVFRQYHUWHGDWPRQW AA3UR¿W /RVV %HIRUH7D[DWLRQEXWDIWHUH[FHSWLRQDOLWHPV 1DPHVRIVXEVLGLDULHVZKLFKDUH\HWWRFRPPHQFHRSHUDWLRQV Sl. No. 5HOLJDUH,QVXUDQFH/LPLWHG Name of the Company $UJLO$GYLVRUV//3 )RUPHUO\NQRZQDV&HUHVWUD&DSLWDO$GYL 5HOLJDUH%XVLQHVV6ROXWLRQV/LPLWHG 1DPHVRIWKHVXEVLGLDULHVZKLFKKDYHEHHQOLTXLGDWHGRUVROGGX Sl. 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DGMXVWPHQWWRWKHLQWHUHVWFRVW %RUURZLQJFRVWVGLUHFWO\DWWULEXWDEOHWRWKHDFTXLVLWLRQFRQVWUXFWLRQRUGHYHORSPHQWRIDTXDOLI\LQJDVVHWWKDWQHFHVVDULO\ WDNHVDVXEVWDQWLDOSHULRGRIWLPHWRJHWUHDG\IRULWVLQWHQGHGXVHRUVDOHDUHFDSLWDOL]HGDVSDUWRIWKHFRVWRIWKH UHVSHFWLYHDVVHWXQWLOVXFKWLPHDVWKHDVVHWVDUHVXEVWDQWLDOO\UHDG\IRUWKHLULQWHQGHGXVHRUVDOH$OORWKHUERUURZLQJ FRVWVDUHUHFRJQLVHGLQWKH6WDWHPHQWRI3UR¿WDQG/RVVLQZKLFKWKH\RFFXU O) CASH AND CASH EQUIVALENTS &DVK DQG FDVK HTXLYDOHQWV LQFOXGH FDVK LQ KDQG GHPDQG GHSRVLWV ZLWK EDQNV DQG RWKHU VKRUWWHUP KLJKO\ OLTXLG LQYHVWPHQWVZLWKRULJLQDOPDWXULWLHVRIWKUHHPRQWKVRUOHVV P) SEGMENT REPORTING 7KHDFFRXQWLQJSROLFLHVDGRSWHGIRUVHJPHQWUHSRUWLQJDUHLQFRQIRUPLW\ZLWKWKHDFFRXQWLQJSROLFLHVDGRSWHGIRUWKH &RPSDQ\)XUWKHULQWHUVHJPHQWUHYHQXHKDYHEHHQDFFRXQWHGIRUEDVHGRQWKHWUDQVDFWLRQSULFHDJUHHGWREHWZHHQ VHJPHQWVZKLFKLVSULPDULO\PDUNHWEDVHG5HYHQXHDQGH[SHQVHVKDYHEHHQLGHQWL¿HGWRVHJPHQWVRQWKHEDVLVRI WKHLUUHODWLRQVKLSWRWKHRSHUDWLQJDFWLYLWLHVRIWKHVHJPHQW5HYHQXHDQGH[SHQVHVZKLFKUHODWHWRWKH&RPSDQ\DV DZKROHDQGDUHQRWDOORFDEOHWRVHJPHQWVRQDUHDVRQDEOHEDVLVKDYHEHHQLQFOXGHGXQGHU³8QDOORFDWHGH[SHQVHV LQFRPH´ Q) EARNINGS PER SHARE 7KH%DVLFHDUQLQJVSHUVKDUHLVFRPSXWHGE\GLYLGLQJWKHQHWSUR¿WORVVDWWULEXWDEOHWRWKHHTXLW\VKDUHKROGHUVIRUWKH \HDUE\WKHZHLJKWHGDYHUDJHQXPEHURIHTXLW\VKDUHVRXWVWDQGLQJGXULQJWKHUHSRUWLQJ\HDU )RU WKH SXUSRVH RI FDOFXODWLQJ 'LOXWHG HDUQLQJV SHU VKDUH WKH QHW SUR¿W ORVV IRU WKH \HDU DWWULEXWDEOH WR HTXLW\ VKDUHKROGHUVDQGZHLJKWHGDYHUDJHQXPEHURIVKDUHVRXWVWDQGLQJGXULQJWKHUHSRUWLQJ\HDULVDGMXVWHGIRUWKHHIIHFWV RIDOOGLOXWLYHSRWHQWLDOHTXLW\VKDUHV ,QFRQVLGHULQJZKHWKHUSRWHQWLDOHTXLW\VKDUHVDUHGLOXWLYHRUDQWLGLOXWLYHHDFKLVVXHRUVHULHVRISRWHQWLDOHTXLW\VKDUHV LVFRQVLGHUHGVHSDUDWHO\UDWKHUWKDQLQDJJUHJDWH 206 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 3. Share Capital As at $VDW0DUFK Particulars March 31, 2018 Amount (`) $PRXQW ` Authorized Capital (Refer Note 4.1 (a)) * 0DUFK (TXLW\6KDUHVRI`HDFK 6,544,500,000 0DUFK 5HGHHPDEOH3UHIHUHQFHVKDUHV 1,620,000,000 RI`HDFK Total 8,164,500,000 Issued, subscribed and fully paid up shares 0DUFK (TXLW\6KDUHVRI`HDFK 1,784,552,480 0DUFK &XPXODWLYH1RQ&RQYHUWLEOH 15,000,000 5HGHHPDEOH3UHIHUHQFHVKDUHVRI`HDFK 0DUFK 1RQ &XPXODWLYH 1RQ 250,000,000 &RQYHUWLEOH5HGHHPDEOH3UHIHUHQFHVKDUHVRI`HDFK Total Issued, Subscribed and Fully Paid Up Shares 2,049,552,480 &RQVHTXHQWWRDSSURYDORIPHUJHURUGHUWKH$XWKRULVHG6KDUH&DSLWDORIWKH&RPSDQ\VWDQGVLQFUHDVHGZLWKHIIHFW IURP'HFHPEHU IURP` (TXLW\6KDUHVRI`HDFKDQG5HGHHPDEOH 3UHIHUHQFH 6KDUHV RI ` HDFK WR ` (TXLW\ 6KDUHV RI ` HDFK DQG 5HGHHPDEOH3UHIHUHQFHVKDUHVRI`HDFK 3.1 Reconciliation of the shares outstanding at the beginning and at the end of reporting period As at March 31, 2018 $VDW0DUFK Particulars Number Amount (`) 1XPEHU $PRXQW ` Issued, subscribed and fully paid up Equity Shares of ` HDFK %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 178,334,498 1,783,344,980 $GG 6KDUHVLVVXHGGXULQJWKH\HDUWKURXJK(623 120,750 1,207,500 Balance at the end of the year 178,455,248 1,784,552,480 13.66% Cumulative Non Convertible Redeemable Preference shares of `HDFK)XOO\3DLG8S %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 1,500,000 15,000,000 /HVV 5HGHHPHGGXULQJWKH\HDU 5HIHU1RWH F - - %DODQFHDWWKHHQGRIWKHSHULRG\HDU 1,500,000 15,000,000 0.01% Non Convertible Non Cumulative Redeemable Preference shares of `HDFK Fully Paid Up %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 25,000,000 250,000,000 $GG 6KDUHVLVVXHGGXULQJWKH\HDU 5HIHU1RWH G - - Balance at the end of the year 25,000,000 250,000,000 Total 204,955,248 2,049,552,480 6XEVHTXHQW WR WKH %DODQFH 6KHHW 'DWH 3XUVXDQW WR VKDUHKROGHUV DSSURYDO GDWHG 0DUFK WKH ,QYHVWPHQW %RUURZLQJDQG6KDUH$OORWPHQW&RPPLWWHHRIWKH%RDUGRI'LUHFWRUVRQ$SULO LVVXHGDQGDOORWHG FRQYHUWLEOH ZDUUDQWV DW D SULFH RI ` SHU VKDUH LQFOXGLQJ D SUHPLXP RI ` SHU VKDUH HDFK RQ SUHIHUHQWLDO EDVLVXQGHUWKHSURYLVLRQVRI&KDSWHU9,,RI6HFXULWHV([FKDQJHDQG%RDUGRI,QGLD ,VVXHRI&DSLWDODQG'LVFORVXUH 5HTXLUHPHQWV 5HJXODWLRQV DVDPHQGHG³,&'55HJXODWLRQV´DQG6HFWLRQDQGRIWKH&RPSDQLHV$FW Annual Report 2017-18 207 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 7KHFRPSDQ\KDVUHFHLYHGXSIURQWSD\PHQWRI`HTXLYDOHQWWRRIWRWDOFRQVLGHUDWLRQDVSHUWHUPVRI SUHIHUHQWLDOLVVXH6XEVHTXHQWWRWKHEDODQFHVKHHWGDWHWZRFRQYHUWLEOHZDUUDQWKROGHULH0,ON\,QYHVWPHQWDQG7UDGLQJ &RPSQD\DQG0%)LQPDUW3ULYDWH/LPLWHGKDYHH[HUFLVHGWKHLUULJKWVIRUFRQYHUVLRQDQGDSSOLHGIRUFRQYHUVLRQRISDUWRI WKHZDUUDQWVLQWRHTXLW\VKDUH&RQVHTXHQWO\WKH,QYHVWPHQW%RUURZLQJDQG6KDUHDOORWWPHQWFRPPLWWHHRIWKH%RDUG RI'LUHFWRUVDWLWPHHWLQJKHOGRQ0D\ KDVPDGHDOORWPHQWRI (TXLW\VKDUHRIIDFHYDOXHRI` ZLWK SUHPLXPRI`SHUHTXLW\VKDUH 7KH&RPSDQ\LV\HWWRPDNHDQDSSOLFDWLRQIRUOLVWLQJZLWKWKHVWRFNH[FKDQJHV 3.2 (a) The rights, preferences and restrictions attaching to equity shares including restrictions on the distribution of dividends and the repayment of capital is as under: 7KH&RPSDQ\KDVRQO\RQHFODVVRIHTXLW\VKDUHVKDYLQJDIDFHYDOXHRI`SHUVKDUH(DFKVKDUHKROGHULVHQWLWOHG WRRQHYRWHSHUVKDUH7KHFRPSDQ\GHFODUHVDQGSD\VGLYLGHQGLQ,QGLDQ5XSHH7KHGLYLGHQGSURSRVHGE\WKH %RDUGRIWKH'LUHFWRUVLVVXEMHFWWRWKHDSSURYDORIWKHVKDUHKROGHUVLQWKHHQVXLQJ$QQXDO*HQHUDO0HHWLQJH[FHSWLQ FDVHRI,QWHULP'LYLGHQG,QWKHHYHQWRIWKHOLTXLGDWLRQRIWKHFRPSDQ\WKHKROGHURIWKHHTXLW\VKDUHVZLOOEHHQWLWOHG WRUHFHLYHDQ\RIWKHUHPDLQLQJDVVHWVRIWKH&RPSDQ\DIWHUGLVWULEXWLRQRIDOOSUHIHUHQWLDODPRXQWV7KHGLVWULEXWLRQ ZLOOEHLQSURSRUWLRQRIWKHQXPEHURIWKHHTXLW\VKDUHVKHOGE\WKHHTXLW\VKDUHKROGHUV (b) The rights, preferences and restrictions attaching to Preference Shares including restrictions on the distribution of dividends and the repayment of capital is as under: %RDUGRI'LUHFWRUVRIWKH&RPSDQ\RQ6HSWHPEHUDSSURYHGWKHSURSRVDOWRVHHNWKHFRQVHQWRISUHIHUHQFH VKDUHKROGHUVRIWKH&RPSDQ\WRYDU\WKHWHUPVDQGFRQGLWLRQVRISUHIHUHQFHVKDUHVRIIDFH YDOXHRI`HDFKLQFOXGLQJEXWQRWOLPLWHGWRWKHFKDQJHLQGDWHRIUHGHPSWLRQ$OO3UHIHUHQFHVKDUHKROGHUVKDYH JLYHQWKHLUFRQVHQWRQ2FWREHUXQGHUVHFWLRQ RIWKH&RPSDQLHV$FW HUVWZKLOH6HFWLRQ RIWKH&RPSDQLHV$FW WRYDU\WKHWHUPVDQGFRQGLWLRQV2XWRIWKHVHVKDUHVSUHIHUHQFH VKDUHVDUHRXWVWDQGLQJDVDW0DUFK (c) The company has following classes of Preference Shares: 13.66% Cumulative Redeemable Preference Shares 7KHIDFHYDOXHRIHDFKSUHIHUHQFHVKDUHLV`7KHVKDUHVVKDOOKDYHVDPHYRWLQJULJKWVDSSOLFDEOHWRWKHSUHIHUHQFH VKDUHVXQGHUWKH&RPSDQLHV$FW(DFKSUHIHUHQFHVKDUHHQWLWOHVWKHKROGHUDULJKWWRUHFHLYHLQSULRULW\WR (TXLW\VKDUHKROGHUSUHIHUHQFHGLYLGHQGRQFXPXODWLYHEDVLVDWDUDWHQRWH[FHHGLQJSHU¿QDQFLDO\HDU,QWKH HYHQWRIOLTXLGDWLRQRIWKH&RPSDQ\WKHKROGHULVHQWLWOHGWRUHFHLYHLQSULRULW\WRDOOHTXLW\VKDUHVDPRXQWHTXDOWRWKH WRWDORISDLGXSFDSLWDOSOXVWKHUHGHPSWLRQSUHPLXPDQ\XQSDLGGLYLGHQGDVSHUWKHWHUPVRILVVXH7KHDJJUHJDWH VKDUHVDOORWWHGZHUHDW`HDFK LQFOXGLQJSUHPLXPRI` SHUVKDUH RIZKLFKWKHFRPSDQ\KDG DOUHDG\UHGHHPHGVKDUHVDWSUHPLXP VKDUHVDW`SHUVKDUHDQGVKDUHV at `SHUVKDUH LQSULRU\HDUV 'XULQJ WKH SUHYLRXV \HDU HQGHG 0DUFK WKH &RPSDQ\ UHGHHPHG VKDUHV DW ` DW D SUHPLXPRI` SHUVKDUH 5HGHPSWLRQZDVEHLQJPDGHRXWRIWKHSURFHHGVRIWKHIUHVKLVVXDQFHRI QR V RI1RQ&XPXODWLYH1RQ&RQYHUWLEOH5HGHHPDEOH3UHIHUHQFH6KDUHV ³1&536´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he repayment terms of preference shares issued are as below: 7KHDERYHVKDUHVDUHUHGHHPDEOHDWDQDPRXQW LQFOXGLQJSUHPLXP QRWH[FHHGLQJ` SHUVKDUHRQ2FWREHU RUDWDQHDUOLHUGDWHDVPD\EHGHFLGHGE\WKH%RDUGRI'LUHFWRUVRIWKH&RPSDQ\ (d) 0.01% Non Convertible Non Cumulative Redeemable Preference Shares 7KH IDFH YDOXH RI HDFK SUHIHUHQFH VKDUH LV ` 7KH VKDUHV VKDOO KDYH VDPH YRWLQJ ULJKWV DSSOLFDEOH WR WKH SUHIHUHQFHVKDUHVXQGHUWKH&RPSDQLHV$FW(DFKSUHIHUHQFHVKDUHHQWLWOHVWKHKROGHUDULJKWWRUHFHLYH LQSULRULW\WR(TXLW\VKDUHKROGHUSUHIHUHQFHGLYLGHQGRQQRQFXPXODWLYHEDVLVDWDUDWHQRWH[FHHGLQJSHU ¿QDQFLDO\HDU,QWKHHYHQWRIOLTXLGDWLRQRIWKH&RPSDQ\WKHKROGHULVHQWLWOHGWRUHFHLYHLQSULRULW\WRDOOHTXLW\ VKDUHVDPRXQWHTXDOWRWKHWRWDORISDLGXSFDSLWDOSOXVWKHUHGHPSWLRQSUHPLXPDQ\XQSDLGGLYLGHQGDVSHUWKH WHUPVRILVVXH7KHVKDUHVDUHDOORWWHGLQRQHWUDQFKHRQ$XJXVWKDYLQJIDFHYDOXHRI`DWSDU 7KHUHGHPSWLRQRIDOORUSDUWRISUHIHUHQFHVKDUHVFDQWDNHSODFHDQ\WLPHSULRUWR¿QDOUHGHPSWLRQDWWKHRSWLRQ RIWKH&RPSDQ\7KHDERYHVKDUHVDUHUHGHHPDEOHDWDQDPRXQW LQFOXGLQJSUHPLXP QRWH[FHHGLQJ`SHU VKDUHRQ$XJXVW 208 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 3.3 Details of shares held by shareholders holding more than 5% of the aggregate shares in the company As at March 31, 2018 $VDW0DUFK Name of the Shareholder No. of % of 1RRI RI+ROGLQJ Shares held Holding 6KDUHVKHOG a. Equity Shares 5+&)LQDQFH3ULYDWH/LPLWHG - - 0DOYLQGHU0RKDQ6LQJK - - 6KLYLQGHU0RKDQ6LQJK - - 5+&+ROGLQJ3ULYDWH/LPLWHG - - 6KDEQDP'KLOORQ - - ,QGLD+RUL]RQ)XQG/LPLWHG 17,838,467 9.99 $[LV%DQN/LPLWHG 15,789,000 8.85 5HVLOLHQW,QGLD*URZWK)XQG 17,638,579 9.88 ,QWHUQDWLRQDO)LQDQFH&RUSRUDWLRQ 12,818,331 7.18 b. Non Convertible Preference Shares 2VFDU,QYHVWPHQWV/LPLWHG 1,500,000 5.66 5+&)LQDQFH3ULYDWH/LPLWHG 25,000,000 94.34 3.4 7KHUHDUHQRVKDUHVERXJKWEDFNE\WKHFRPSDQ\GXULQJWKHSHULRGRI¿YH\HDUVLPPHGLDWHO\SUHFHGLQJWKH%DODQFH6KHHW 'DWH7KHUHDUHQRVHFXULWLHVWKDWDUHFRQYHUWLEOHLQWRHTXLW\SUHIHUHQFHVKDUHVRWKHUWKDQHPSOR\HHVWRFNRSWLRQVLVVXHG E\WKH&RPSDQ\ 4. Reserves and Surplus As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` a. Capital Redemption Reserve (as per last balance sheet) %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 750,000 $GG 7UDQVIHU2QDFFRXQWRIVFKHPHRIDUUDQJHPHQW 5HIHU1RWH 11,563,700 Balance at the end of the year 12,313,700 b. Capital Reserve arises out of scheme of arrangement (Refer Note 4.1) 652,564,987 c. Securities Premium Account %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 35,356,927,396 $GG 3UHPLXPRQLVVXHRI(TXLW\3UHIHUHQFH6KDUHVLVVXHGGXULQJWKH 15,697,500 \HDU /HVV 3UHPLXPXWLOLVHGIRUUHGHPSWLRQRI3UHIHUHQFH6KDUHV 5HIHU1RWH - Balance at the end of the year 35,372,624,896 d. Share Options Outstanding Account (as per last balance Sheet) 2SHQLQJ%DODQFH - /HVV 7UDQVIHUWR*HQHUDO5HVHUYH 5HIHU1RWH Closing Balance - Annual Report 2017-18 209 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` e. General Reserve 2SHQLQJ%DODQFH 73,797,007 $GG 7UDQVIHU2QDFFRXQWRIVFKHPHRIDUUDQJHPHQW 5HIHU1RWH 191,616,771 $GG 7UDQVIHUIURP6KDUH2SWLRQ2XWVWDQGLQJ$FFRXQW 5HIHU1RWH - Balance at the end of the year 265,413,778 f. 6WDWXWRU\5HVHUYH8V,&RI5%,$FW %DODQFHDWWKHEHJLQQLQJRIWKH\HDU 177,852,074 $GG 7UDQVIHU2QDFFRXQWRIVFKHPHRIDUUDQJHPHQW 5HIHU1RWH 793,411,151 Balance at the end of the year 971,263,225 g. 6XUSOXVLQ6WDWHPHQWRI3UR¿WDQG/RVV %DODQFH3UR¿W /RVV DVDWWKHEHJLQQLQJRIWKH\HDU (18,840,174,659) $GG 7UDQVIHU2QDFFRXQWRI6FKHPHRIDUUDQJHPHQW 5HIHU1RWH 4,591,945,267 /HVV 7UDQVIHUWR6WDWXWRU\5HVHUYHV8V,&RI5%,$FW 5HIHU (793,411,151) 1RWH $GG 3URYLVLRQIRUGLPLQXWLRQLQWKHYDOXHRILQYHVWPHQWZULWWHQEDFN 101,925,000 $GG 3UR¿W /RVV IRUWKH\HDU (1,101,829,127) %DODQFHRI3UR¿W /RVV DWWKHHQGRIWKH\HDU (16,041,544,671) Total 21,232,635,915 4.1 D 7KH +RQ¶EOH 1&/7 YLGH LWV RUGHU GDWHG 'HFHPEHU DSSURYHG WKH &RPSRVLWH 6FKHPH RI$UUDQJHPHQW EHWZHHQ5HOLJDUH(QWHUSULVHV/LPLWHGDQGLWVHOHYHQVXEVLGLDU\&HUWL¿HGFRS\RIWKH1&/72UGHUKDVEHHQ¿OHGZLWK WKH5HJLVWUDURI&RPSDQLHVRQ'HFHPEHU $SSRLQWHGGDWHRIWKH6FKHPHLV$SULODQGHIIHFWLYHGDWH RIWKHVFKHPHLV'HFHPEHU 3XUVXDQWWRWKHWHUPVRIWKHDSSURYHGVFKHPHRIDUUDQJHPHQWWKHDPDOJPDWLRQKDVEHHQDFFRXQWHGIRUXQGHUWKH SRROLQJRILQWHUHVWPHWKRGDVSUHVFULEHGE\$FFRXQWLQJ6WDQGDUG³$FFRXQWLQJIRU$PDOJPDWLRQ´DFFRUGLQJO\DOO WKHDVVHWVDQGOLDELOLWHV QHWRILQWHUFRPSDQ\EDODQFHV UHFRUGHGLQWKHERRNVRIUHVSHFWLYHVXEVLGLDULHVDVRI$SULO KDVEHHQUHFRUGHGE\WKH&RPSDQ\DWWKHLUUHVSHFWLYHERRNYDOXHV E 7KHDPDOJDPDWLRQKDVEHHQDFFRXQWHGIRUXQGHUWKHµ3RROLQJRI,QWHUHVW¶PHWKRGDVSUHVFULEHGE\WKH$FFRXQWLQJ 6WDQGDUGµ$FFRXQWLQJIRU$PDOJDPDWLRQV¶$FFRUGLQJO\WKHDFFRXQWLQJWUHDWPHQWKDVEHHQJLYHQDVXQGHU 7KHDVVHWVDQGOLDELOLWLHVDVDW$SULODPRXQWLQJWR`/DFVDQG`/DFVUHVSHFWLYHO\ ZHUHLQFRUSRUDWHGLQWKH¿QDQFLDOVWDWHPHQWRIWKH&RPSDQ\DWLWVERRNYDOXH 7KHLQYHVWPHQWVKHOGE\WKH&RPSDQ\LQWUDQVIHURUHQWLWLHVDQGUHODWHGSURYLVLRQIRUGLPLQXWLRQVWDQGFDQFHOOHG WKHGLIIHUHQFHEHWZHHQERRNYDOXHRILQYHVWPHQWVDQGIDFHYDOXHRIVKDUHVDPRXQWLQJWR`/DFVKDV EHHQFUHGLWHGWR&DSLWDO5HVHUYH $OO RXWVWDQGLQJ LQWHUFRUSRUDWH EDODQFHV LQFOXGLQJ LQWHUFRPSDQ\ LQYHVWPHQWV DV DW $SULO VWDQG FDQFHOOHG 7KHFXPXODWLYHHIIHFWRIUHVHUYHVRIDOOWKHHQWLWLHVDVRQ$SULODPRXQWLQJWR`/DFV 'HELW EDODQFH RIDOOWKHWUDQVIHURUHQWLWLHVKDYHEHHQLQFRUSRUDWHGXQGHUWKHKHDGµ5HVHUYHVDQG6XUSOXV¶ 3XUVXDQW WR WKH 6FKHPH RI $UUDQJHPHQW WKH EURNLQJ EXVLQHVV RI 5HOLJDUH 6HFXULWLHV /LPLWHG 56/ JRW GHPHUJHGLQWR5HOLJDUH%URNLQJ/LPLWHG 5%/ DQG56/¶VQHWDVVHWVRI` /DFVDVDW$SULO KDYHEHHQWUDQVIHUUHGWR5%/$VSDUWRIWKLVWUDQVDFWLRQWKH&RPSDQ\ZDVDOORWWHG HTXLW\VKDUHV RIIDFHYDOXHRI`HDFKLQ5%/ 210 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 F 1DWXUHRI%XVLQHVVRIWKHDPDOJDPDWLQJFRPSDQLHV 5HOLJDUH6HFXULWLHV/LPLWHG 2WKHU 7KHFRPSDQ\KDGLQYHVWPHQWLQHTXLW\VKDUHVGHEHQWXUHVDQGRWKHUVHFXULWLHV WKDQEURNLQJEXVLQHVV $VPHQWLRQHGDERYHEURNLQJEXVLQHVVRIWKHFRPSDQ\ZDVVKLIWHGWR5HOLJDUH 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¿QDQFLDO DGYLVRU\ VHUYLFH DFWLYLWLHV DQG WR SURYLGHFXVWRGLDODQGGHSRVLWRU\VHUYLFHRIDOONLQGRIVHFXULWLHV7KH&RPSDQ\ KDGQRWFRPPHQFHGLWVFRPPHUFLDORSHUDWLRQV 5HVRXUFHVRIDOOWKHFRPSDQLHVKDYHEHHQFRPELQHGE\DPDOJDPDWLQJWKHPWRPD[LPLVHV\QHUJLHVUHGXFHFRVWV DQGFRQVROLGDWHWKHUHVRXUFHVZKLOHHOLPLQDWLQJPXOWLSOHOHJDOHQWLWLHV Annual Report 2017-18 211 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 G $VDOOWKHDPDOJDPDWLQJFRPSDQLHVZHUHZKROO\RZQHGVXEVLGLDULHVRIWKH&RPSDQ\ GLUHFWO\RULQGLUHFWO\ E\WKH HIIHFWLYHGDWHRIWKHVFKHPHQRFRQVLGHUDWLRQZDVSD\DEOHRQDPDOJDPDWLRQZLWKWKH&RPSDQ\ H 7KHHIIHFWRIWKHVFKHPHLVFRQVLGHUHGGXULQJSUHYLRXVTXDUWHUDQGQLQHPRQWKVHQGHG'HFHPEHURQO\ )LJXUHV IRU WKH TXDUWHU DQG \HDU HQGHG 0DUFK KDYH QRW EHHQ UHZRUNHG DQG UHVWDWHG$FFRUGLQJO\WKH UHVXOWVDUHQRWIXOO\FRPSDUDEOH 6KDUH$SSOLFDWLRQ0RQH\3HQGLQJIRU$OORWPHQWUHFHLYHGIURPHPSOR\HHVWRZDUGVH[HUFLVHRIVWRFNRSWLRQV As at March 31, 2018 As at March 31, 2017 Particulars No of shares Amount (`) No of shares Amount (`) Equity shares of face value of ` 10 each - - 120,750 16,905,000 proposed to be issued TOTAL - - 120,750 16,905,000 D 7KH&RPSDQ\KDGUHFHLYHGVKDUHDSSOLFDWLRQPRQH\RI` IURPZKROHWLPHGLUHFWRU DVDQHPSOR\HH XQGHU(PSOR\HH6WRFN2SWLRQ6FKHPHZKLFKZDVSHQGLQJDOORWPHQWWLOOWKH\HDUHQG0DUFK'XULQJ WKH\HDUHQGHG0DUFKWKHDERYHVKDUHDSSOLFDWLRQPRQH\KDVEHHQDOORWWHGWRQXPEHURIHTXLW\ VKDUHVKDYLQJIDFHYDOXHRI`HDFKDJJUHJDWLQJWR` RQ0D\ E )XUWKHUZKROHWLPHGLUHFWRURIWKHFRPSDQ\KDGJLIWHGHTXLW\VKDUHVRIWKHFRPSDQ\WRKLVZLIHGXULQJWKH SHULRG2FWREHUWR2FWREHU 7UDGLQJZLQGRZFORVXUHSHULRG 7KHFRPSDQ\EDVHGXSRQGHWDLOHG LQYHVWLJDWLRQ DQG FROODWHG YLHZV RI WKH LQGHSHQGHQW OHJDO SURIHVVLRQDO FRQFOXGHG WKDW WUDQVDFWLRQV LQ WKH QDWXUH RIJLIWLVLQWKHDPELWRIWHUP³7UDGLQJ´DVXQGHUWKH6(%, 3URKLELWLRQRI,QVLGHU7UDGLQJ 5HJXODWLRQV ³3,7 5HJXODWLRQ´ DQGWKH&RPSDQ\¶V&RGHRI&RQGXFWIRUSUHYHQWLRQRI,QVLGHU7UDGLQJ $FFRUGLQJO\DVSHUWKHUHFRPPHQGDWLRQRIWKH$XGLW&RPPLWWHHIRUWKHQRQFRPSOLDQFHVOLVWHGDERYHDPRQHWDU\ SHQDOW\RI`KDGEHHQOHYLHGDORQJZLWKUHVWULFWLRQVQRWWRGRDQ\WUDGLQJRIVKDUHVRIWKH&RPSDQ\LQ WKHQH[WPRQWKVHLWKHUGLUHFWO\RULQGLUHFWO\7KLVZDVLQWLPDWHGWR6(%,YLGHLQWLPDWLRQOHWWHUGDWHG0D\ DQGQHFHVVDU\GLVFORVXUHVKDYHEHHQPDGHWR1DWLRQDO6WRFN([FKDQJHRI,QGLD/LPLWHGDQG%6(/LPLWHG ³6WRFN ([FKDQJHV´ RQ0D\7KHPDWWHUZDVXQGHUIROORZXSIRUUHFRYHU\RISHQDOW\ 6XEVHTXHQWWRWKHEDODQFHVKHHWGDWHWKHFRPSDQ\KDVDGMXVWHGWKHSHQDOW\DPRXQWRI`DJDLQVWWKHWKH GXHVSD\DEOHE\WKHFRPSDQ\WRKLP7KH%RDUGRIGLUHFWRUVRIWKHFRPSDQ\YLGHLWVPHHWLQJKHOGRQ0D\ DSSURYHGWRFRQWULEXWHWKHSHQDOW\DPRXQWOHYLHGRQ0U*RGKZDQLWR3ULPH0LQLVWHU1DWLRWDO5HOLHI)XQG ³3015)´ 5. Long Term Borrowings As at $VDW Particulars March 31, 2018 0DUFK Amount (`) Amount (`) Unsecured Loans 1RQ&RQYHUWLEOH'HEHQWXUHV 5HIHU1RWH - Total - Total - 5.1 Details of Privately Placed Unsecured Non Convertible Debentures (NCD’s) outstanding as on March 31, 2018 are as below: As at $VDW Coupon Rate Current Non Current &XUUHQW 1RQ&XUUHQW March 31, 2018 0DUFK - - - Total - - - 'XULQJ WKH SUHYLRXV \HDU HQGHG 0DUFK WKH FRPSDQ\ KDV LVVXHG DQG DOORWWHG ORQJ WHUP XQVHFXUHG XQUDWHG DQG XQOLVWHGUHGHHPDEOH1RQ&RQYHUWLEOH'HEHQWXUHVRIIDFHYDOXHRI`HDFK ³1&'´ IRUFDVKDWSDURQDSULYDWH SODFHPHQWEDVLVDJJUHJDWLQJWR`WRHUVWZKLOH5HOLJDUH6HFXULWLHV/LPLWHGDQG`WRHUVWZKLOH5*$0 ,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHGVWDQGFDQFHOOHGSXUVXDQWWRWKHVFKHPHRIDUUDQJHPHQW 5HIHUQRWH1R 212 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 6. Other Long Term Liabilities As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` ,QWHUHVW$FFUXHGEXWQRWGXHRQ8QVHFXUHG/RDQV - Total - 7. Long Term Provisions As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` (a) 3URYLVLRQIRUHPSOR\HHEHQH¿WV /HDYH(QFDVKPHQW 3,846,000 (b) Others 3URYLVLRQIRUGLPLQXWLRQLQWKHYDOXHRI1RQ&XUUHQW,QYHVWPHQWV 6,210,503,643 Total 6,214,349,643 8. Short Term Borrowings As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` Unsecured ,QWHU&RUSRUDWH/RDQ 5HIHU1RWH $PRXQWGXHWRUHODWHGSDUW\ 4,481,804,424 ,QWHU&RUSRUDWH/RDQ $PRXQWGXHWR1RQUHODWHGSDUW\ 15,400,006 &RPPHUFLDO3DSHUV QHW 5HIHU1RWH 296,646,866 Total 4,793,851,296 8.1 Inter Corporate Loan from Related Parties As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` From Related Party 5*$0,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHG - 5HOLJDUH&RPWUDGH/LPLWHG 5HIHU1RWHE 2,626,804,424 5HOLJDUH)LQYHVW/LPLWHG 5HIHU1RWHE 1,855,000,000 Total 4,481,804,424 5DWHRILQWHUHVWIRUDERYHORDQVUDQJHVEHWZHHQ WRSD Annual Report 2017-18 213 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 8.2. 7KH PD[LPXP DPRXQW RI IDFH YDOXH RI WKH &RPPHUFLDO 3DSHU RXWVWDQGLQJ DW DQ\ WLPH GXULQJ WKH \HDU ZDV ` 3UHYLRXV 9. Trade Payables As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` 7RWDORXWVWDQGLQJGXHVRIPLFURHQWHUSULVHVDQGVPDOOHQWHUSULVHV - 7RWDORXWVWDQGLQJGXHVRIFUHGLWRUVRWKHUWKDQPLFURHQWHUSULVHVDQGVPDOO 109,942,075 HQWHUSULVHV Total 109,942,075 10. Other Current Liabilities As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` D &XUUHQWPDWXULWLHVRIORQJWHUPGHEW 5HIHU1RWH1R - E ,QWHUHVWDFFUXHGEXWQRWGXHRQ6HFXUHG/RDQV 1&'V 5HIHU1RWH - 1R F ,QWHUHVWDFFUXHGEXWQRWGXHRQ8QVHFXUHG/RDQV ,&'V 119,204,118 F ,QWHUHVWDFFUXHGDQGGXHRQ8QVHFXUHG/RDQV ,&'V 1,853,190 G %RRN2YHUGUDIW 37,978,983 H 8QSDLGGLYLGHQGV 5HIHU1RWH - I 7D[HV 2WKHU6WDWXWRU\3D\DEOHV 4,820,762 J 6HFXULW\'HSRVLWV 181,905,302 K 2WKHUV ,QFOXGHV DPRXQW SD\DEOH WR 5HOLJDUH %URNLQJ /LPLWHG RQ 484,864,962 DFFRXQWRIWUDQVIHUXQGHUVFKHPHRIDUUDQJHPHQW Total 830,627,317 10.1 'XULQJWKH\HDUHQGHG0DUFKXQSDLGGLYLGHQGRI` SHUWDLQLQJWRWKH\HDU KDVEHHQWUDQVIHUUHG WR ,QYHVWRU (GXFDWLRQ DQG 3URWHFWLRQ )XQG ,(3) DFFRXQW RI &HQWUDO *RYHUQPHQW IURP WKH UHVWULFWHG EDQN DFFRXQWV UHIHUUHGLQ1RWH 214 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 10.2 Details of Privately Placed Secured Non Convertible Debentures (NCD’s) outstanding as on March 31, 2018 are as below: Coupon As at $VDW Current Non Current &XUUHQW 1RQ&XUUHQW Rate March 31, 2018 0DUFK - - =HUR - - Total - - 'DWHRI$OORWPHQW 0DUFK5HGHHPHGRQ-XQH 'DWHRI$OORWPHQW 0DUFKVWDQGFDQFHOOHGGXHWRVFKHPHRIDUUDQJHPHQW 7KHDERYHOLVWHG1RQ&RQYHUWLEOH'HEHQWXUHV 1&'V ZHUHSULYDWHO\SODFHGZLWK),,V&RUSRUDWHV%DQNVDQG7UXVWDQG ZHUHVHFXUHGE\ZD\RI¿UVWPRUWJDJHFKDUJHRQWKH&RPSDQ\¶VDVVHWDQG,QYHVWPHQWLQ(TXLW\6KDUHVRILWVFHUWDLQ VXEVLGLDULHVDQGWKHDVVHWVFRYHUWKHUHRIH[FHHGVKXQGUHGSHUFHQWRIWKHSULQFLSDODPRXQWRIWKHVDLGGHEHQWXUHV'HWDLOV RIVHFXUHG1&'VLVDVIROORZV March 31, 2018 0DUFK Next Due Date Principal Interest 3ULQFLSDO ,QWHUHVW 6HULHV, NA NA -XQH -XQH 6HULHV,, =HUR NA NA 0DU 0DU ,QWHUHVWDQG3ULQFLSDOKDYHEHHQSDLGRQWKHGXHGDWHV7KH&RPSDQ\GRPHVWLFUDWLQJVKDVUHYLVHGIURPµ,1'$$6WDEOH¶ WRµ,1'$:DWFK1HJDWLYH¶IURP,QGLD5DWLQJV 5HVHDUFK3ULYDWH/LPLWHGLQUHVSHFWRILWVERUURZLQJLQIRUPRI1RQ &RQYHUWLEOH'HEHQWXUHV 1&' 10.3 2Q0DUFKWKH&RPSDQ\KDGDOORWWHG/LVWHG5DWHG6HFXUHG1RQ&RQYHUWLEOH'HEHQWXUHVRIIDFHYDOXHRI `HDFKZKLFKDUHVHFXUHGE\FKDUJHRYHUODQGRIWKH&RPSDQ\LQ*XMDUDWDQGSOHGJHRYHUHTXLW\VKDUHV RI5HOLJDUH)LQYHVW/LPLWHG7KHFKDUJHRQWKHODQGKDVEHHQYDFDWHGLQ-XO\ )XUWKHUWKH&RPSDQ\KDGDOVRDOORWWHG=HUR&RXSRQ5DWHG/LVWHG6HFXUHG1RQ&RQYHUWLEOH'HEHQWXUHVRIIDFHYDOXHRI `HDFKZKLFKDUHVHFXUHGE\FKDUJHRYHUODQGRIWKH&RPSDQ\LQ*XMDUDWDQGSOHGJHRYHU 3UHYLRXV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` /HDYH(QFDVKPHQW 3,631,000 *UDWXLW\ 2,262,000 3URYLVLRQIRUVHFXULW\GHSRVLW 12,603,490 3URYLVLRQDJDLQVW5HFRYHUDEOHIRU6XSSRUWVHUYLFHV 35,817,216 3URYLVLRQIRU1RQ3HUIRPLQJ$VVHWV 895,963,145 &RQWLQJHQW3URYLVLRQRQ6WDQGDUG$VVHWV 5HIHU1RWHQR 2,840,000 Total 953,116,851 11.1 &RQWLQJHQF\SURYLVLRQUHSUHVHQWV 3UHYLRXV Annual Report 2017-18 215 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 ) ) ` ` ( ( 2017 2018 Amount Amount 1HW%ORFN 1HW%ORFN Balance as Balance as at March 31, at March 31, - 2,471,290 - 2,471,290 - - ) ) HQFHV7KHUHLVQR ` ` 67,902 67,098 ( ( 840,852 25,021 2018 as at 2017 3,461,841 186,749 LQ-XO\ Amount Amount 4,444,712 838,437 Balance 20,285,150 1,059,501 10,255,083 8,960,041 45,474,295 933,327 March 31, Balance as at March 31, RUUHYDOXHGDPRXQWDUH ) ) ` ` ( ( Year Year Year Year Amount Amount during the during the Adjustment 'LVSRVDOV Adjustment 'LVSRVDOV ) ) ` ` ( ( Year Year Year Year Amount Amount Additions Additions during the during the Depreciation Depreciation (Merger) (Merger) 2016-17 * 2016-17 * djustment Adjustment Includes FY Includes FY Includes FY Includes FY ) ) ` ` ( ( 1, 2017 1, 2016 Amount Amount Balance Balance as at April as at as at April as at - ) ) ` ` ( ( 865,873 135,000 2,471,290 Amount 31, 2018 2,471,290 5,283,148 Amount 31, 2017 3,648,590 Balance Balance 19,215,124 21,344,651 46,407,623 as at March as at March QJLEOH$VVHWVRQDFFRXQWRIERUURZLQJFRVWVDQGH[FKDQJHGLIIHU VLQJIURPGLVSRVDORIWDQJLEOHDVVHWVZKLFKDUHFDUULHGDWFRVW DQ\7KHFKDUJHRQWKHODQGSHUWDLQLQJWR1&'VKDVEHHQYDFDWHG ) ) ` ` ( ( Year Year Year Year Amount Amount during the during the Adjustment Adjustment 'LVSRVDOV 'LVSRVDOV ) ) ` ` ( ( Year Year Year Year Amount Amount Additions Additions during the during the *URVV%ORFN *URVV%ORFN (Merger) (Merger) 2016-17 * 2016-17 * Adjustment Adjustment Includes FY Includes FY Includes FY Includes FY ) ) ` ` ( ( 1, 2017 1, 2016 Amount Amount Balance Balance as at April as at as at April as at Particulars Particulars 9HKLFOHV/HDVHKROG ,PSURYHPHQW /DQG&RPSXWHU6\VWHP DQG3HULSKHUDOV )XUQLWXUH )L[WXUH 2I¿FH(TXLSPHQW Total 7,120,753 119,025,644 128,766 31,553,328 94,721,835 4,370,595 100,841,078 6,211,001 30,963,432 80,459,240 14,262,596 Total 7,584,853 - 110,135 574,235 7,120,753 4,190,582 - 689,346 509,333 4,370,595 2,750,158 &RPSXWHU6\VWHP DQG3HULSKHUDOV 9HKLFOHV2I¿FH(TXLSPHQW /DQG UHYDOXDWLRQRIDVVHWVGXULQJWKHSHULRG\HDU Tangible Assets Tangible UHFRJQLVHGLQWKH6WDWHPHQWRI3UR¿WDQG/RVV 7KHUHDUHQRDGMXVWPHQWVWR3URSHUW\3ODQWDQG(TXLSPHQW7D /RVVHVDULVLQJIURPWKHUHWLUHPHQWRIDQGJDLQVRUORVVHVDUL 7KHWLWOHGHHGVLQUHVSHFWRIODQGDUHLQWKHQDPHRIWKH&RPS 12.Assets Plant and Equipment - Tangible Property, 12.1 5HIHU1RWH 12.2 12.3 216 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 ) ) ` ` ( ( 2018 2017 as at as at Amount Amount Balance Balance March 31, March 31, 1HW%ORFN 1HW%ORFN ) ) ` ` ( ( RIDVVHWVGXULQJWKH 2018 2017 as at as at Amount Amount Balance Balance March 31, March 31, VWRUUHYDOXHGDPRXQWDUH ) ) ` ` ( ( Year Year Year Year Amount Amount during the during the 'LVSRVDOV Adjustment Adjustment 'LVSRVDOV ) ) ` ` ( ( Year Year Year Year Amount Amount Additions Additions during the during the Depreciation Depreciation ) ) ` ` ( ( Amount Amount (Merger) (Merger) 2016-17 * 2016-17 * Adjustment Adjustment Includes FY Includes FY Includes FY Includes FY ) ) ` ` ( ( 2016 2017 as at as at April 1, April 1, Amount Amount Balance Balance ) ) ` ` ( ( 2017 2018 as at as at Amount Amount Balance Balance March 31, March 31, URZLQJFRVWVDQGH[FKDQJHGLIIHUHQFHV7KHUHLVQRUHYDOXDWLRQ VLQJIURPGLVSRVDORILQWDQJLEOHDVVHWVZKLFKDUHFDUULHGDWFR ) ) ` ` ( ( Year Year Year Year Amount Amount during the during the 'LVSRVDOV Adjustment Adjustment 'LVSRVDOV ) ) ` ` ( ( Year Year Year Year Amount Amount Additions Additions during the during the *URVV%ORFN *URVV%ORFN (Merger) (Merger) 2016-17 * 2016-17 * Adjustment Adjustment Includes FY Includes FY Includes FY Includes FY ) ) ` ` ( ( 2016 2017 as at as at April 1, April 1, Amount Amount Balance Balance 178,907,833 54,944,061 92,500 - 233,944,394177,648,896 33,329,769 14,380,051 - 225,358,716 8,585,678 Total 178,907,833 54,944,061 92,500 - 233,944,394177,648,896 33,329,769 14,380,051 - 225,358,716 8,585,678 Total Particulars &RPSXWHU 6RIWZDUHV &RPSXWHU 6RIWZDUHV Particulars UHFRJQLVHGLQWKH6WDWHPHQWRI3UR¿WDQG/RVV \HDU 7KHUHDUHQRDGMXVWPHQWVWR,QWDQJLEOH$VVHWVRQDFFRXQWRIERU /RVVHVDULVLQJIURPWKHUHWLUHPHQWRIDQGJDLQVRUORVVHVDUL 13.2 13. Intangible Assets 13.1 5HIHU1RWH Annual Report 2017-18 217 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 14. Non Current Investments Face As at March 31, 2018 $VDW0DUFK Particulars Value Numbers Amount (`) 1XPEHUV $PRXQW ` (a) Investment in Equity Shares at Cost (Fully paid up)- Unquoted Of Subsidiaries (Unquoted) 5HOLJDUH6HFXULWLHV/LPLWHG ` - - 5HOLJDUH)LQYHVW/LPLWHG ` 224,454,083 20,903,356,811 5HOLJDUH6XSSRUW6HUYLFHV/LPLWHG# ` - - 5HOLJDUH+HDOWK,QVXUDQFH&RPSDQ\/LPLWHG ` 540,009,810 5,400,098,100 5*$0,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHG ` - - 5HOLJDUH&RPPRGLW\%URNLQJ3ULYDWH/LPLWHG# ` - - 5HOLJDUH$UWV,QLWLDWLYH/LPLWHG# ` - - 5HOLJDUH&DSLWDO0DUNHWV ,QGLD /LPLWHG# ` - - 5HOLJDUH%URNLQJ/LPLWHG@ ` 180,795,817 903,738,610 5HOLJDUH,QVXUDQFH/LPLWHG# ` 5,000 50,000 5HOLJDUH*OREDO$VVHW0DQDJHPHQW,QF 86$ 10 - 5HOLJDUH&UHGLW$GYLVRUV3YW/LPLWHG )RUPHO\NQRZQ ` 9,398,262 218,526,000 DV5HOLJDUH&UHGLW$GYLVRUV//3 # Investment in Joint Venture (Unquoted) ,%2),QYHVWPHQW0DQDJHPHQW3ULYDWH/LPLWHG ` 3,499,999 34,999,990 Investment in other than Subsidiaries (Unquoted) Equity Shares (Fully Paid Up) 1HWDPELW,QIRVRXUFH (6HUYLFHV3ULYDWH/LPLWHG# ` 67,536 282,332,771 Capital Contribution in Limited Liability Subsidiaries $5*,/$GYLVRUV//3 - 1,000 (b) Investment in Equity instruments at Cost (Partly paid up)- Unquoted Of Subsidiaries 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG# ` 81,550,000 3,855,500,000 (c) Investments in Preference Shares of other than Subsidiaries (Fully Paid Up) 1HWDPELW,QIRVRXUFH (6HUYLFHV3ULYDWH/LPLWHG ` 40,952 4,095,200 &RPSXOVRU\&RQYHUWLEOH&XPXODWLYH3UHIHUUHG 3DUWLFLSDWRU\6HULHV(3UHIHUHQFH6KDUHV7UDQFKH &RXSRQ5DWH# Of Subsidiaries (Fully Paid Up) 5HOLJDUH&DSLWDO0DUNHW/LPLWHG# &XPXODWLYH1RQ&RQYHUWLEOH# ` 170,000,000 1,700,000,000 &XPXODWLYH1RQ&RQYHUWLEOH# ` 5,000,000 50,000,000 &XPXODWLYH1RQ&RQYHUWLEOH# ` 10,000,000 100,000,000 5*$0,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHG 1RQFXPXODWLYH1RQ&RQYHUWLEOH ` - - Investment in Alternative Investment Fund 5HOLJDUH&UHGLW,QYHVWPHQWV7UXVW - 7,393,597 &HUHVWUD,QIUDVWUXFWXUH7UXVW - 50,000,000 ,QGLD%XOOV5HDO(VWDWH)XQG&DWHJRU\,,$,) - 41,496,052 Total - - 33,551,588,131 218 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March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¿QLWLYHDGGLWLRQDOFDSLWDOLQIXVLRQSODQLQGXFWLRQRI QHZPDQDJHPHQWSHUVRQQHOGLVFXVVLRQZLWK5%,IRUUHOD[LQJWKHUHVWULFWLRQLPSRVHGRQWKHEXVLQHVVFDSDELOLW\RIWKH FRPSDQ\LQLWLDWLQJGHWDLOHGGLOLJHQFHIURPDODZ¿UPRIUHSXWHRIFRUSRUDWHORDQERRNDQGUHFRYHUDEOHVIURP6WUDWHJLF &UHGLW&DSLWDO3YW/WG µ6&&3/´ DQG3HUSHWXDO&UHGLW6HUYLFHV3ULYDWH/LPLWHGEHVLGHVVWUHQJWKHQLQJWKHLQWHUQDOFRQWUROV DQGFRUSRUDWHJRYHUQDQFHPHFKDQLVP&RQVLGHULQJDOOWKHVHPHDVXUHVPDQDJHPHQWLVRIWKHYLHZWKDWWKHUHZRXOGEH VLJQL¿FDQWLPSURYHPHQWLQWKH¿QDQFLDOSRVLWLRQRI5)/ ,QYHVWPHQWLQ5*$0,QFKDVEHHQZULWWWHQRIIEHIRUHVFKHPHRIDUUDQJHPHQW @2Q-DQXDU\WKHVXEVLGLDU\FRPSDQ\5HOLJDUH%URNLQJ/LPLWHGKDVDOORWWHG HTXLW\VKDUHVRI` HDFKDJDLQVWWKHFRPSQD\SXUFKDVHFRQVLGHUDWLRQSXUVXDQWWRWKH&RPSRVLWH6FKHPHRI$UUDQJHPHQWDSSURYHGE\1&/7 3XUVXDQWWRWKHVKDUHKROGHUV¶DSSURYDOLQWKHLU([WUDRUGLQDU\*HQHUDO0HHWLQJWKH%RDUGRIWKH&RPSDQ\LQLWVPHHWLQJ KHOGRQ-DQXDU\KDVDOORWWHG ERQXVVKDUHVRI`HDFKSXUVXDQWWRGHPHUJHURI%URNLQJ%XVLQHVV RI5HOLJDUH6HFXULWLHV/LPLWHGWRWKH&RPSDQ\ 'XULQJ WKH \HDU WKH &RPSDQ\ HUVWZKLOH 5*$0 ,QYHVWPHQW$GYLVRUV 3ULYDWH /LPLWHG KDV VROG LWV VWDNH LQ &HUHVWUD $GYLVRUV/LPLWHG #3URYLVLRQIRUGLPLQXWLRQLQYDOXHRILWVORQJWHUPLQYHVWPHQWVKDVEHHQPDGHLQDFFRXQWV 14.1 Exceptional Items :- Year Ended March 31, 2017 D 'XULQJWKH\HDUHQGHG0DUFKWKHFRPSDQ\KDVVROGLWVLQYHVWPHQWLQ3UHIHUHQFH 6KDUHVRI5HOLJDUH&DSLWDO0DUNHWV/LPLWHGDQGDFFRXQWHGIRUORVVRQVDOHRILQYHVWPHQWLQDIRUHVDLGSUHIHUHQFH VKDUHVRIWKHVXEVLGLDU\RI` DQGZULWWHQEDFNWKHSURYLVLRQIRUGLPLQXWLRQLQYDOXHRIVDLGLQYHVWPHQWV DJJUHJDWLQJ`7KHVHKDYHEHHQGLVFORVHGDV([FHSWLRQDO,WHPVDQGLWKDVQRPDWHULDOLPSDFWRQWKH UHVXOWVIRUWKH\HDU E 3XUVXDQWWRWKHWHUPVRIWULSDUWLWHDJUHHPHQWEHWZHHQWKH&RPSDQ\5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 5&0/ DQG 5+&+ROGLQJ3ULYDWH/LPLWHGWKH&RPSDQ\KDVVXEVFULEHGWRSUHIHUHQFHVKDUHVRI5&0/IRU`'XHWR VHYHUHORQJWHUPUHVWULFWLRQVLPSRVHGRQ5&0/IXOOSURYLVLRQKDVEHHQPDGHDJDLQVWVDLGLQYHVWPHQWDQGWKHVDPH KDVEHHQGLVFORVHGDVDQH[FHSWLRQDOLWHP 14.2 Exceptional Items :- As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` $JJUHJDWHDPRXQWRI 4XRWHG,QYHVWPHQWV - 8QTXRWHG,QYHVWPHQWV 33,551,588,131 %RRN9DOXHRI,QYHVWPHQWV 33,551,588,131 Annual Report 2017-18 219 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 15. Long Term Loans and Advances As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` 8QVHFXUHGFRQVLGHUHGJRRG D 6HFXULW\'HSRVLWV - E 3UHSDLGH[SHQVHV 1,593,030 F $GYDQFHSD\PHQWRI7D[HVDQGWD[GHGXFWHGDWVRXUFH QHWRI3URYLVLRQ 894,507,272 IRU7D[`3UHYLRXV TOTAL 896,100,302 16. Other Non Current Assets As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` $VVHWV$FTXLUHGLQ6DWLVIDFWLRQRI5HFHLYDEOHV 36,397,413 $UWZRUNV 178,289 )L[HG'HSRVLW$FFRXQWV 6HHQRWH 1,096,189 Total 37,671,891 3XUVXDQWWRWKHDSSURYHGVFKHPHRIDUUDQJHPHQWDVVHW ODQG EXOLGLQJ WUDQVIHUHGIURPHUVWZKLOH5HOLJDUH6HFXULWLHV /LPLWHG7KHWLWOHRIWKHDFTXLUHGDVVHWLVLQWKHQDPHRIHUVWZKLOH5HOLJDUH6HFXULWLHV/LPLWHG 17. Current Investments Face As at March 31, 2018 $VDW0DUFK Particulars Value Numbers Amount (`) 1XPEHUV $PRXQW ` Investment in Debentures 5HOLJDUH&RPWUDGH/LPLWHG8QVHFXUHG XQUDWHGXQOLVWHG&RPSXOVRU\&RQYHUWLEOH ` 250 250,000,000 'HEHQWXUHV &&',, 5HOLJDUH&RPWUDGH/LPLWHG1RQ ` 200 200,000,000 &RQYHUWLEOH'HEHQWXUHV Venture Capital Fund ,QGLD%XLOG2XW)XQG, ` - 10,593,744 ,QGLD%XLOG2XW)XQG,&ODVV%XQLWV - 170,488 0LOHVWRQH$UP\7UXVW&ODVV%XQLWV - 3,733 Total - 460,767,965 220 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 &DVKDQG%DQN%DODQFHV As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` &DVKDQG&DVK(TXLYDOHQWV &DVKLQKDQG 167,847 &KHTXHV6WDPSVLQKDQG 181,451 D %DODQFHVZLWKEDQNVLQ&XUUHQW$FFRXQWV 3,481,791 )L[HG'HSRVLW$FFRXQW 5,241,250 9,072,339 2WKHUV%DQN%DODQFHV 5HIHU1RWH - Total 9,072,339 2WKHU%DQN%DODQFHVLQFOXGHVUHVWULFWHGEDQNEDODQFHVDPRXQWLQJWR`1LO 0DUFK` LQUHVWULFWHG $FFRXQWVZKLFKDUHQRWDYDLODEOHIRUXVHE\WKHFRPSDQ\7KHUHVWULFWLRQVDUHSULPDULO\RQDFFRXQWRIEDODQFHVLQXQFODLPHG GLYLGHQGIRUSULRU\HDUV )L[HGGHSRVLWEDODQFHVLQFOXGH)'¶VZLWKVWDWXWRU\DXWKRUWLHV &DVKDQG%DQN%DODQFHV Particulars As at March 31, 2018 $VDW0DUFK Kept as Free from Kept as )UHHIURP )L[HG'HSRVLWVZLWK%DQNV Total Total Security any Lien 6HFXULW\ DQ\/LHQ 8SWRPRQWKVPDWXULW\IURPWKHGDWHRI$FTXLVLWLRQ - - - Total (A) - - - 8SWRPRQWKVPDWXULW\IURPWKHGDWHRI$FTXLVLWLRQ - - - 0DWXULW\ PRUH WKDQ PRQWKV EXW ZLWKLQ RQH \HDU 5,241,249 5,241,249 - IURPWKH5HSRUWLQJ'DWH Total 5,241,249 5,241,249 - Shown as Current Assets (A) 5,241,249 5,241,249 - 0DWXULW\PRUHWKDQPRQWKVIURPWKHUHSRUWLQJGDWH 1,096,189 1,086,189 10,000 Shown as Non- Current Assets (B) 1,096,189 1,086,189 10,000 Total (A+B) 6,337,438 6,327,438 10,000 19. Short Term Loans and Advances As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` Unsecured, considered good a1. As per NBFC Guidelines - Standard 7RUHODWHGSDUWLHV 30,400,000 7RRWKHUV - a2. As per NBFC Guidelines - Doubtful 7RUHODWHGSDUWLHV 22,500,000 2WKHUV 736,171,144 E /RDQVDQGDGYDQFHVWRUHODWHGSDUWLHV 141,480,778 F 6HFXULW\GHSRVLWV 78,282,346 Annual Report 2017-18 221 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` G 3UHSDLG H[SHQVHV SUHYLRXV \HDU LQFOXGHV XQDPRUWLVHG 1&' ,VVXH 5,757,724 UHODWHGH[SHQVHV H 'HIHUUHG &RQVLGHUDWLRQ DJDLQVW 6DOH RI ,QYHVWPHQW RI D VXEVLGLDU\ - FRPSDQ\ 5HIHU1RWH I /RDQVDQG$GYDQFHVUHFRYHUDEOHLQFDVKRULQNLQG 11,503,866 J %DODQFHVZLWK6HUYLFH7D[$XWKRULWLHV 101,194,764 K 'HSRVLWVSDLGXQGHUSURWHVW 8,966,880 /HVV 3URYLVLRQDJDLQVW'HIHUUHG&RQVLGHUDWLRQ - Total 1,136,257,502 19.1 As at $VDW Name of Related Party March 31, 2018 0DUFK Standard $156HFXULWLHV3ULYDWH/LPLWHG - 5HOLJDUH6XSSRUW6HUYLFHV/LPLWHG - 5HOLJDUH%URNLQJ/LPLWHG 3,500,000 5HOLJDUH&RPWUDGH/LPLWHG 26,900,000 Doubtful 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 22,500,000 Total (A) 52,900,000 Other Advances 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 132,825,154 5HOLJDUH%URNLQJ/LPLWHG 1,870,152 5HOLJDUH&RPWUDGH/LPLWHG 1,033,573 5HOLJDUH+RXVLQJ'HYHORSPHQW)LQDQFH&RUSRUDWLRQ/LPLWHG 20,074 5HOLJDUH&DSLWDO0DUNHWV+RQJ.RQJ 42,064 5HOLJDUH:HDOWK0DQDJHPHQW/LPLWHG 3,113,697 5HOLJDUH+HDOWK,QVXUDQFH&RPSDQ\/LPLWHG 2,436,292 5HOLJDUH&UHGLW$GYLVRUV//3 139,773 Total (B) 141,480,778 Total (A + B) 194,380,778 $156HFXULWLHV3ULYDWHOLPLWHGLVQRWUHODWHGSDUW\DVDW0DUFK 19.2 /RDQVDQG$GYDQFHVLQFOXGHVDVXPRI`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`DQG UHFHLYHG`DJDLQVWVXFKFRQVLGHUDWLRQ)RUWKHSUHYLRXV\HDUHQGHG0DUFKWKHFRPSDQ\KDVPDGH SURYLVLRQDJDLQVWRXWVWDQGLQJEDODQFHDPRXQWRI` 7KHVDPHKDVEHHQZULWWHQRIGXULQJWKH¿QDQFLDO\HDU HQGHG0DUFK 222 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 20. Other Current Assets As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` ,QWHUHVW$FFUXHGEXWQRWGXHRQ,QWHU&RUSRUDWH/RDQV IURPUHODWHGSDUWLHV 10,751,928 1RWH ,QWHUHVW$FFUXHG EXW QRW GXH RQ ,QWHU &RUSRUDWH /RDQV IURP QRQ UHODWHG 3,457,043 SDUWLHV 5HFRYHUDEOHIRU6XSSRUWVHUYLFHV 55,400,897 ,QWHUHVW$FFUXHGRQ)L[HG'HSRVLWV 159,305 Total 69,769,173 20.1 As at $VDW Name of Related Party March 31, 2018 0DUFK $156HFXULWLHV3ULYDWH/LPLWHG - 5HOLJDUH&RPWUDGH/LPLWHG 9,004,110 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 1,525,678 5HOLJDUH%URNLQJ/LPLWHG 222,140 5HOLJDUH6XSSRUW6HUYLFHV/LPLWHG - Total 10,751,928 $156HFXULWLHV3ULYDWHOLPLWHGLVQRWUHODWHGSDUW\DVDW0DUFK 21. Revenue from Operations Year Ended 22. Other Income Year Ended Annual Report 2017-18 223 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 Year Ended (PSOR\HH%HQH¿WV([SHQVH Year Ended 24. Finance Costs Year Ended $PRUWLVDWLRQRI([SHQVHVUHODWHG,VVXHRI1RQ&RQYHUWLEOH'HEHQWXUHV 3,141,030 %DQN&KDUJHV 5,415 Total 498,855,529 24.1 7KHUHDUHQR¿QDQFHFRVWVDULVLQJRQDFFRXQWRIH[FKDQJHJDLQGLIIHUHQFHRQDFFRXQWRIIRUHLJQERUURZLQJV 224 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 25. Depreciation and Amortization Expense Year Ended 26. Other Expenses Year Ended 'XULQJWKH\HDUHQGHG0DUFK L 7KH FRPSDQ\ KDV SURYLGHG IRU DQ DPRXQW RI ` RQ LQWHU FRUSRUDWH ORDQ JLYHQ DQG UHYHUVHG WKH RXWVWDQGLQJLQWHUHVWUHFHLYDEOHEHLQJUHFHRJQLVHGDVLQWHUHVWLQFRPHGXULQJWKHFXUUHQW\HDU LL 7KHFRPSDQ\KDVSURYLGHGIRUDQDPRXQWRI` RQDGYDQFHJLYHQWR5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 5&0/ JLYHQRQDFFRXQWRIVHWWOHPHQWRIFRUSRUDWHJXDUDQWHHJLYHQWREDQNVRQEHKDOIRIVXEGLGLDU\FRPSDQ\ Annual Report 2017-18 225 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 ## L %6(YLGHLWVOHWWHUGDWHG-XQHKDGOHYLHGDSHQDOW\RI` LQFOXGLQJVHUYLFHWD[ DVRQ-XQH RQWKH&RPSDQ\IRUQRQFRPSOLDQFHRI5HJXODWLRQRI6(%, /2'5 5HJXODWLRQVE\QRWVXEPLWWLQJLWV DXGLWHG¿QDQFLDOUHVXOWVZLWKLQGD\VIURPHQGRI¿QDQFLDO\HDUHQGHG0DUFK7KH&RPSDQ\KDGSDLGWKH SHQDOW\WR%6(RQ-XQH LL 16(YLGHLWVOHWWHUGDWHG-XQHKDGOHYLHGDSHQDOW\RI`DVRQ-XQHRQWKH&RPSDQ\ IRUQRQFRPSOLDQFHRI5HJXODWLRQRI6(%, /2'5 5HJXODWLRQVIRUQRWVXEPLWWLQJLWDXGLWHG¿QDQFLDOUHVXOWV ZLWKLQGD\VIURPHQGRI¿QDQFLDO\HDUHQGHG0DUFK7KH&RPSDQ\KDGSDLGWKHSHQDOW\WR16(RQ -XQH 16(YLGHOHWWHUGDWHG2FWREHUGHPDQGHGEDODQFHDPRXQWRI`ZKLFKZDVSDLGRQ 2FWREHU LLL 7KH&RPSDQ\KDGSDLG`DVLQWHUHVWRQODWHSD\PHQWRIVHUYLFHWD[DQG7'6 3D\PHQWWR$XGLWRUV ([FOXVLYHRI6HUYLFH7D[*67 Year Ended 27. 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Expenditure in Foreign Currency on account of: Year Ended (PSOR\HHV%HQH¿WV D 'H¿QHG%HQH¿W3ODQ±*UDWXLW\DQG/HDYH(QFDVKPHQW 7KHIROORZLQJWDEOHVVXPPDUL]HWKHFRPSRQHQWVRIWKHQHWHPSOR\HHEHQH¿WH[SHQVHVUHFRJQL]HGLQWKH6WDWHPHQW RI3UR¿WDQG/RVVWKHIXQGVWDWXVDQGDPRXQWUHFRJQL]HGLQWKH%DODQFH6KHHWIRUWKHJUDWXLW\DQGOHDYHHQFDVKPHQW IRUWKH\HDUHQGHG0DUFK Method: Projected Unit Credit Method Leave /HDYH Gratuity *UDWXLW\ S.No. Particulars Encashment (QFDVKPHQW Year Ended March 31, 2018 Annual Report 2017-18 229 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 Leave /HDYH Gratuity *UDWXLW\ S.No. Particulars Encashment (QFDVKPHQW Year Ended March 31, 2018 230 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 Leave /HDYH Gratuity *UDWXLW\ S.No. Particulars Encashment (QFDVKPHQW Year Ended March 31, 2018 Annual Report 2017-18 231 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 ,I WKH VHJPHQW UHVXOW RI D VHJPHQW LQFOXGHV LQWHUHVW RU GLYLGHQG LQFRPH LWV VHJPHQW DVVHWV LQFOXGH WKH UHODWHG UHFHLYDEOHVORDQVLQYHVWPHQWVRURWKHULQWHUHVWRUGLYLGHQGJHQHUDWLQJDVVHWV ,I WKH VHJPHQW UHVXOW RI D VHJPHQW LQFOXGHV LQWHUHVW H[SHQVH LWV VHJPHQW OLDELOLWLHV LQFOXGH WKH UHODWHG LQWHUHVW EHDULQJOLDELOLWLHV INFORMATION ABOUT PRIMARY BUSINESS SEGMENT Amount (`) Investment Support PARTICULARS and Financing Unallocated TOTAL Services Activities (i) Segment Revenue External Revenue 709,959,427 Inter -Segmental Revenue - - - - Total Revenue 268,386,550 367,243,068 74,329,809 709,959,427 - - - - (ii) Segment Results (1,173,298,993) Income Taxes (Current, Deferred - - - (71,469,866) and Minimum Alternative Tax) 3UR¿W /RVV DIWHUWD[ - - - (1,101,829,127) (iii) Segment Assets 14,937,770.23 35,188,373,541 Unallocated Corporate Assets 995,702,036 Total Assets 35,050,007,053 123,428,718 1,010,639,807 36,184,075,577 (iv) Segment liabilities - 12,901,887,182 Unallocated Corporate Liabilities - - - - Total liabilities 12,677,567,365 224,319,816 - 12,901,887,182 (v) Capital Expenditure - 221,266 (vi) 'HSUHFLDWLRQ$PRUWL]DWLRQ - 20,591,052 (vii) Non Cash Expenditure other than 834,385,867 1,483,023 300,163 836,169,052 Depreciation 32. Related Party Disclosures Nature of Relationship Name of Party D L 6XEVLGLDULHV 5HOLJDUH6HFXULWLHV/LPLWHG WLOO'HFHPEHU 5HOLJDUH)LQYHVW/LPLWHG 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 5HOLJDUH6XSSRUW6HUYLFHV/LPLWHG WLOO'HFHPEHU 5HOLJDUH$UWV,QLWLDWLYH/LPLWHG WLOO'HFHPEHU 5HOLJDUH+HDOWK,QVXUDQFH&RPSDQ\/LPLWHG 5HOLJDUH&DSLWDO0DUNHWV ,QGLD /LPLWHG WLOO'HFHPEHU 5*$0,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHG WLOO'HFHPEHU 5HOLJDUH &RPPRGLW\ %URNLQJ 3ULYDWH /LPLWHG WLOO 'HFHPEHU 5HOLJDUH%URNLQJ/LPLWHG 5HOLJDUH+RXVLQJ'HYHORSPHQW)LQDQFH&RUSRUDWLRQ/LPLWHG 5HOLJDUH&RPWUDGH/LPLWHG 232 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 Nature of Relationship Name of Party 5HOLJDUH&RPPRGLWLHV/LPLWHG 5HOLJDUH&DSLWDO0DUNHWV,QWHUQDWLRQDO 0DXULWLXV /LPLWHG 5HOLJDUH&DSLWDO0DUNHWV,QWHUQDWLRQDO 8. /LPLWHG 5HOLJDUH&DSLWDO0DUNHWV (XURSH /LPLWHG 5HOLJDUH&DSLWDO0DUNHWV 8. /LPLWHG 5HOLJDUH&DSLWDO0DUNHWV&RUSRUDWH)LQDQFH3WH/LPLWHG 5HOLJDUH&DSLWDO0DUNHWV,QF WLOO$XJXVW 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Exposure to Real Estate Sector Year Ended ,,, 0DWXULW\SDWWHUQRIFHUWDLQLWHPVRIDVVHWVDQGOLDELOLWLHV $W%RRN9DOXH Amount (`) Over 1 month Over 2 month Over 3 Months Particulars 1 to 30 days Total to 2 month to 3 months upto 6 months Liabilities %RUURZLQJIURP%DQNV - 0DUNHW%RUURZLQJV 296,646,866 Assets - $GYDQFHV - ,QYHVWPHQWV QHWRI 250,000,000 SURYLVLRQV Over 6 months 1 Year to 3 Over 3 years Particulars Over 5 years Total to 1 year years to 5 years Liabilities %RUURZLQJIURP%DQNV - 0DUNHW%RUURZLQJV 4,497,204,430 Assets - $GYDQFHV 789,071,144 ,QYHVWPHQWV QHWRI 34,012,356,096 SURYLVLRQV Annual Report 2017-18 245 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 d. Disclosures of details as required in terms of Paragraph 21 of CIC Direction: Amount Amount Liabilities: Outstanding Overdue Amount (`) Amount (`) 1) Loans and Advances availed by the CIC inclusive of interest accrued thereon but not paid: D 'HEHQWXUHV 6HFXUHG 8QVHFXUHG RWKHUWKDQIDOOLQJZLWKLQWKHPHDQLQJRI3XEOLFGHSRVLWV E 'HIHUUHG&UHGLWV F 7HUP/RDQV G ,QWHU&RUSRUDWHORDQVDQGERUURZLQJV H &RPPHUFLDO3DSHU I 2WKHU/RDQV XQVHFXUHG¿QDQFHOHDVH D :RUNLQJ&DSLWDO/RDQIURP%DQNV E ,QWHUHVWDFFUXHGDQGQRWGXHRQ8QVHFXUHG/RDQV Amount Assets: Outstanding Amount (`) %UHDNXSRI/RDQVDQG$GYDQFHVLQFOXGLQJELOOVUHFHLYDEOHV RWKHUWKDQWKRVHLQFOXGHGLQ EHORZ D 6HFXUHG E 8QVHFXUHG %UHDNXSRI/HDVHG$VVHWVDQGVWRFNRQKLUHDQGK\SRWKHFDWLRQORDQVFRXQWLQJWRZDUGV$)&DFWLYLWLHV L /HDVHDVVHWVLQFOXGLQJOHDVHUHQWDOVXQGHUVXQGU\GHEWRUV D )LQDQFLDO/HDVH E 2SHUDWLQJ/HDVH LL 6WRFNRQKLUHLQFOXGLQJKLUHFKDUJHVXQGHU6XQGU\'HEWRUV D $VVHWVRQKLUH E 5HSRVVHVVHG$VVHWV LLL +\SRWKHFDWLRQORDQVFRXQWLQJWRZDUGV$)&DFWLYLWLHV D /RDQVZKHUHDVVHWVKDYHEHHQUHSRVVHVVHG E /RDQVRWKHUWKDQ D DERYH 246 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 %UHDNXSRI,QYHVWPHQWV Current Investments: 4XRWHG L 6KDUHV D (TXLW\ E 3UHIHUHQFH LL 'HEHQWXUHVDQG%RQGV LLL 8QLWVRIPXWXDOIXQGV LY *RYHUQPHQW6HFXULWLHV Y 2WKHUV 8QTXRWHG L 6KDUHV D (TXLW\ E 3UHIHUHQFH LL 'HEHQWXUHVDQG%RQGV LLL 8QLWVRIPXWXDOIXQGV LY *RYHUQPHQW6HFXULWLHV Y 2WKHUV Long Term Investments (at gross value): 4XRWHG L 6KDUHV D (TXLW\ E 3UHIHUHQFH LL 'HEHQWXUHVDQG%RQGV LLL 8QLWVRIPXWXDOIXQGV LY *RYHUQPHQW6HFXULWLHV Y 2WKHUV 8QTXRWHG L 6KDUHV D (TXLW\ E 3UHIHUHQFH LL 'HEHQWXUHVDQG%RQGV LLL 8QLWVRIPXWXDOIXQGV LY *RYHUQPHQW6HFXULWLHV Y 2WKHUV ,QFOXGLQJ3DUWO\SDLGXS(TXLW\VKDUHVRIIRU` )DFH9DOXHRI`HDFKRXWRIZKLFK` LVSDLGXS Annual Report 2017-18 247 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 %RUURZHUJURXSZLVHFODVVL¿FDWLRQRIDVVHWV¿QDQFHGDVLQ DQG DERYH Amount net of Provisions Category Secured Unsecured Total Amount (`) Amount (`) Amount (`) 5HODWHG3DUWLHV D 6XEVLGLDULHV E &RPSDQLHVLQWKHVDPHJURXS F 2WKHUUHODWHGSDUWLHV 2WKHUWKDQUHODWHGSDUWLHV Total - 942,055,788 942,055,788 ,QYHVWRU JURXSZLVH FODVVL¿FDWLRQ RI DOO LQYHVWPHQWV FXUUHQW DQG ORQJ WHUP LQ VKDUHV DQG VHFXULWLHV (both quoted and unquoted): 0DUNHW9DOXHV%UHDN %RRN9DOXH 1HWRI Category up or Fair value or NAV Provisions) Amount (`) Amount (`) 5HODWHG3DUWLHV D 6XEVLGLDULHV E &RPSDQLHVLQWKHVDPHJURXS F 2WKHUUHODWHGSDUWLHV 2WKHUWKDQUHODWHGSDUWLHV Total 22,935,516,608 27,801,852,125 7) Other information Particulars Amount (`) L *URVV1RQ3HUIRUPLQJ$VVHWV D 5HODWHGSDUWLHV E 2WKHUWKDQUHODWHGSDUWLHV LL 1HW1RQ3HUIRUPLQJ$VVHWV D 5HODWHGSDUWLHV E 2WKHUWKDQUHODWHGSDUWLHV LLL $VVHWVDFTXLUHGLQVDWLVIDFWLRQRIGHEW 248 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 H 'HWDLOVRI(PSOR\HH6WRFN2SWLRQ3ODQVLVVXHGE\WKHFRPSDQ\ ESOP Scheme 2006 ESOP Scheme 2010 ESOP Scheme 2010 Type of Scheme (Tranche -I) (Tranche -II) 7UDQFKH±, 'DWHRIJUDQW 1RY 1RY 'HF 1XPEHU*UDQWHG &RQWUDFWXDO/LIH ZHIYHVWLQJGDWH \UV \UV \UV 9HVWLQJ&RQGLWLRQV RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RIPRQWKVIURP*UDQW'DWH 0HWKRGRI2SWLRQ9DOXDWLRQ %ODFN6FKROHV2SWLRQ3ULFLQJ0HWKRG ([HUFLVH3ULFH (VWLPDWHGIDLUYDOXHRIVKDUHJUDQWHG ESOP ESOP ESOP ESOP ESOP Type of Scheme Scheme 2010 Scheme 2010 Scheme 2010 Scheme 2012 Scheme 2012 (Tranche -II) (Tranche -III) 7UDQFKH±,9 7UDQFKH±, 7UDQFKH±,, 'DWHRIJUDQW 0DU -XO 1RY 0DU 2FW 1XPEHU*UDQWHG &RQWUDFWXDO/LIH \UV \UV \UV \UV \UV ZHIYHVWLQJGDWH 9HVWLQJ&RQGLWLRQV RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RI RQH[SLU\RI RQH[SLU\RIPRQWKVIURP*UDQW'DWH PRQWKVIURP*UDQW'DWH PRQWKVIURP*UDQW RQH[SLU\RIPRQWKVIURP*UDQW'DWH RQH[SLU\RI 'DWH PRQWKVIURP*UDQW'DWH RQH[SLU\RI PRQWKVIURP*UDQW 'DWH RQH[SLU\RI PRQWKVIURP*UDQW 'DWH 0HWKRGRI2SWLRQ9DOXDWLRQ %ODFN6FKROHV2SWLRQ3ULFLQJ0HWKRG ([HUFLVH3ULFH (VWLPDWHGIDLUYDOXHRIVKDUH JUDQWHG No. of Options Number of Options outstanding Issued During Cancellation Options Scheme outstanding as on as on April 1, the year of Options Exercised March 31, 2018 2017 6FKHPH - 6FKHPHWUDQFKH 1,804,000 6FKHPHWUDQFKH 60,000 TOTAL 5,120,000 - 3,256,000 - 1,864,000 Annual Report 2017-18 249 Notes Forming Part of the Financial Statements For the year ended March 31, 2018 Scheme Exercisable as at March 31, 2018 6FKHPH - 6FKHPH - 6FKHPH 1,864,000 Range of Exercise Price (6236FKHPH 7UDQFKH±, (6236FKHPH 7UDQFKH±,, -RLQW9HQWXUHDVUHTXLUHGE\$6±³)LQDQFLDO5HSRUWLQJRI,QWHUHVWLQ-RLQW9HQWXUH´DUHJLYHQEHORZ Description of % of Interest Name Interest Mar -18 0DU ,%2),QYHVWPHQW0DQDJHPHQW3ULYDWH/LPLWHG (TXLW\6KDUHKROGLQJ 50.00% 0LOHVWRQH5HOLJDUH&DSLWDO0DQDJHPHQW/LPLWHG (TXLW\6KDUHKROGLQJ 0.00% 'XHWRORQJWHUPUHVWULFWLRQVFRPSDQ\H[FOXGHGIURPFRQVROLGDWLRQ Company’s Interest in Joint Ventures As at $VDW Particulars March 31, 2018 0DUFK Amount (`) $PRXQW ` $VVHWV 5,565,703 /LDELOLWLHV 1,118,205 5HYHQXH 6,371,651 'HSUHFLDWLRQ 34,005,728 2WKHU([SHQVHV 7,463,688 &DSLWDO&RPPLWPHQWV - &RQWLQJHQW/LDELOLWLHV - 35. Loans and advances in the nature of loans to subsidiaries and associates Particulars As at March 31, 2018 $VDW0DUFK Maximum amount 0D[LPXPDPRXQW Outstanding outstanding at Outstanding outstanding at any 1DPHRI6XEVLGLDU\$VVRFLDWHV Balance any time during %DODQFH WLPHGXULQJWKH the year \HDU 5HOHJDUH6XSSRUW6HUYLFHV/LPLWHG - - 5HOHJDUH&RPWUDGH/LPLWHG 26,900,000 36,937,683 5HOLJDUH$UW,QLWLDWLYH/LPLWHG - - 5HOLJDUH&DSLWDO0DUNHWV/LPLWHG 155,325,154 188,669,857 5*$0,QYHVWPHQW$GYLVHUV3ULYDWH/LPLWHG - - 5HOLJDUH%URNLQJ/LPLWHG 3,500,000 3,500,000 $156HFXULWLHV3ULYDWH/LPLWHG - - 5HOLJDUH$UW)XQG3UDWKDP - 171,880 5DQFKHP3ULYDWH/LPLWHG - - 250 Religare Enterprises Limited Notes Forming Part of the Financial Statements For the year ended March 31, 2018 36. 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