LOOP REALITY PRIVATE LIMITED (CIN: U72501TG2016PTC111430) 4™ ANNUAL REPORT 2019 - 2020LOOP REALITY PRIVATE LIMITED (CIN: U72501TG2016PTC111430) Registered Office: Cabin #2, T-Hub, IIIT-H Campus, Gachibowli, Hyderabad-500032, Telangana, Email: info@loopreality.com NOTIC Notice is hereby given that the 04" Annual General Meeting of the Company will be held on Thursday, 31% December, 2020 at 11.00 A.M, at the Registered Office of the Company situated at Cabin #2, T-Hub, IIT-H Campus, Gachibowli, Hyderabad-500032, Telangana to ‘transact the following Ordinary Business: 1. To receive, consider and adopt the audited Balance Sheet of the Company as at 31% March, 2020 and Statement of Profit and Loss for the year ended on that date together with the Report of the Directors and Auditors thereon. 2. To fix remuneration of Statutory Auditors of the Company. 11 By Order of the Board // For Loop Reality Private Limited Sianesh Ses Jignesh Talasila Diretor pine 06547704 Place: Hyderabad Date: 09.12.2020 NOTES: A MEMBER ENTITLED TO ATTEND. AND VOTE AT THE MEETING IS EN: ‘LED TO APPOINT A PROXY INSTEAD OF HIMSELF/HERSELF TO AND VOT! [EREAT AND Sl PROXY NEED. BEA ‘MEMBER. 2. The instrument appointing the proxy should be deposited at the Registered Office of the Company not later than 48 hours before the commencement of the Meeting. 3. The Register of Contracts or arrangements in which Directors are interested, maintained under section 189 of the Companies Act, 2013, will be available for inspection by the members at the AGM,LOOP REALITY PRIVATE LIMITED (CIN: U72501TG2016PTC111430) Registered Office: Cabin #2, T-Hub, IT-H Campus, Gachibowli, Hyderabad-500032,Telangana, Email: info@loopreality.com DIRECTOR'S REPORT: ‘Your Directors have pleasure in presenting the 4" Annual Report of your Company along with the Audited Accounts for the financial year ended 31% March 2020. Financial Results and Performance of the Company: During the year under review, the company has made a revenue of Rs.20,69,040/- from operations, other income of Rs.23,97,574/- and incurred an expenditure of Rs.1,40,04,896/-, thereby posted a loss of Rs. 95,76,707/-. Your Directors are making incessant efforts to realize the market opportunities in order to improve the performance of the Company, and thereby achieve better results in the coming years. The highlights of financials of the Company are as follows: [ Particulars y 2019-20 2018 - 2019 (Amt. in Rs.) (Amt. in Rs.) Revenue from Operations 20,69,040, 17,25,072 Other Income 23,97,574 15,631 Total Revenue 44,66,614 17,40,703. Expenditure 1,40,04,896 1,69,97,239 Profit / (Loss) before Taxes (95,38,282) (1,52,56,536) Less: ~~ Current Tax, 7 = ~ Deferred Tax Liability/(Asset) 38,425 (6,62,719) Profit / (Loss) after Tax. (95,76,707), (1,45,93,8 17) | Dividend; ‘As the company has incurred losses during the year under review, the question of declaration of dividend does not arise. ‘Transfer to Reserv During the Financial Year under review, no amount has been transferred to the reserves. rectors: During the year under review, Mr. Puranjaya Singh (DIN: 02238832) was appointed as Director of the company at the Extra Ordinary General Meeting held on 05.04.2019.Mr. Ravi Teja Koneru (DIN: 07563030) Director has resigned as Director of the company w.ef 05.04.2019. Mr. Ravi Theja Muthu (DIN: 06664843) Director has resigned as Director of the company wef 31.12.2019, Change in tl f Business: ‘There is no change in the nature of Business during the financial year under review. ‘Material Changes and C¢ jccurred Between the End of the Financi a ‘and the Date of the Report Affecting the Financial Position of the Company: There were no material changes from the end of the financial year till the date of this report affecting the financial position of the Company. Board Meetings: The number of Board meetings held during the period from 01.04.2019 to 31.03.2020 was ‘Ten (10) and the meetings were held on 05.04.2019, 01.05.2019, 01.06.2019, 30.06.2019, 25.09.2019, 02.11.2019, 04.11.2019, 30.12.2019, 31.12.2019 and 06.02.2020. Compliance of Secretarial Standards: During the year under review, company has complied with all the applicable secretarial standards. Extract of Annual Return: The extract of the annual return in Form MGT-9 prepared as per the provisions of Section 92) read with rule 12(1) of the Companies (Management and Administration) Rules, 2014 is attached pursuant to Section 134 (3) (a) of Companies Act, 2013 as an Annexure-1. Conse: ‘Technolo Foreign Exchar ‘The required information as per section 134(3)(m) of the Companies Act 2013, is provided hereunder: (A) Conservation of Energy: ‘The Company has been continuously making efforts to reduce energy consumption, The management is striving to achieve cost reduction by economical usage of energy. (i) The steps taken or impact on conservation of energy: ‘The Company has been continuously making efforts to reduce energy consumption and the management is striving to achieve cost reduction by economical usage of energy. (i) The stops taken by the company for utilizing alternate source of energy:‘As the Company needs only minimum level of energy, it has not looked into an alternative source of energy. (iii) The capital investment on energy conservation equipment: ‘The Company has not made any capital investment as itis not required at this stage. (B) Technology Absorption: ‘Technology, absorption, adaptation and innovation: NIL Research and Development (R&D) Expenditure on R & D ‘Amount in Rs. a. Capital: NIL ‘b. Recurring: ‘NIL ©. Total: NIL ‘d. Total RED expenditure as @ NA percentage of total tumover (c) Foreign Exchange Earnings and out Go: Foreign Exchange Eamings :NIL Foreign Exchange Outgo NIL Statutory Auditors: Pursuant to the provisions of Section 139 of the Companies Act, 2013 and the Companies (Audit and Auditors) Rules, 2014, M/s. Hiremath & Rathi, Chartered Accountant, Hyderabad, the Statutory Auditor of the Company have been appointed for a term of five years at the Annual General Meeting held on 30" September,2017. Accordingly, they will ‘continue as auditors of the company till the conclusion of the annual general meeting to be held in the year 2022. There are no qualifications or observations or remarks made by the Auditor in their report. Public Deposits: ‘The company has not invited/accepted deposits from the public falling within the meaning of section 73 of the Companies Act, 2013 and the companies (Acceptance of Deposits) Rule,2014. Accordingly, furnishing of the details of deposits which are not in compliance with the requirements of Chapter V of the Companies Act, 2013 does not arise. Particulars of Loans, Guarantees or Investm: ‘The company has not granted any Loans or given any Guarantees or made any Investments covered under the provisions of Section 186 of the Companies Act, 2013.Related Party Transactions: There are no materially significant related party transactions made by the Company with Promoters, Directors, Key Managerial Personnel or other designated persons which may have a potential conflict with the interest of the Company at large. Risk Management Policy: ‘The Company has @ business risk management framework to identify and evaluate business risks and opportunities. This framework aims to create transparency, minimize adverse ‘impact on the business objectives and enhance the company’s competitive advantage, Intern: cial Control Systems and Their Ac 7 ‘The Company has an Internal Financial Control System, commensurate with the size, seale and complexity of its operations. Particulars of Em 7 There is no employee drawing remuneration aggregating to the limits prescribed under section 197(12) of the Companies act,2013 read with Rules 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 during the year under review and hence such details are not given. in Res, Frauds id by TI jitors U/S 143(12) of the nies ‘Act, 2013: ‘The auditors have not reported any frauds pursuant to Sec.143 (12) of the Companies Act, 2013. Hence, the information to be provided pursuant to Section 134 (3) (ca) of the ‘Companies Act, 2013, shall be treated as NIL. Information as Required U/S 22 of xual Harassment of n_at Work (Prevention, Prohibition and Redressal), Act, 2013; ‘The constitution of Internal Complaint Committee (“Committee”) is not mandatory under the provisions of The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal), Act, 2013. ‘There were no complaints received/pending under the provisions of The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal), Act, 2013. Maintenance of Cost Records: ‘The requirement of maintenance of cost records as specified by the Central Government under sub-section (1) of section 148 of the Companies Act, 2013 is not applicable to the Company. Accordingly, the Company has not maintained such accounts and records for the financial year.Human Development: ‘The human resources systems procedures and the organizational environment are all designed ‘to nurture creativity, innovation and greater efficiencies in its human capital. Training is an integral clement of the HR system and empowers employees to work towards shared goals and the common purpose of providing superior customer services. Directors Responsibility Statement: Pursuant to the provisions of Sec 134(3)(C) of the Companies Act, 2013 the Board of Directors of your Company hereby certifies and confirms that: a. In the preparation of the Annual Accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures; b. The Directors have selected such accounting policies and applied them consistently and made judgements and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the loss of the Company for that year; c. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the Assets of the Company and for preventing and detecting fraud and other irregularities; 4. ‘The Directors have prepared the Annual accounts on a going concem basis. e. The Directors had devised proper systems to ensure compliance with the provisions of alt applicable laws and that such systems were adequate and operating effectively. Acknowledgements: ‘The Board wishes to place on record their sincere appreciation of the Co-operation and support extended by the shareholders, Bankers and various Goverment organisations. The Directors also thank all the employees of the Company for their valuable and dedicated service and support. 77 By Order of the Board // For Loop Reality Private Limited asine a5 Jignesh Talasila Sai Suraj Vanka Director Director DIN: 06547704 DIN: 06547738, Place: Hyderabad Date: 09.12.2020ANNEXUE ‘I’ TO THE BOARD'S REPORT FORM NO. MGT-9 EXTRACT OF ANNUAL RETURN As on the financial year ended 31.03.2020 [Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies Registration and other details: (Management and Administration) Rules, 2014] D H U72501TG2016PTC11 1430, ii) | Registration Date 11/08/2016 Tit_| Name of the Company Loop Reality Private Limited “| i) | Category / Sub-Category of the Company ‘Company Limited by Shares ¥) | Adress of the Registered office and contact details Cabin #2, T-Hub, INT-H Campus, Gachibowli, Hyderabad-500032, Telangana vi) | Whether listed company Yes /No No vii) | Name, Address and Contact details of Registrar and Transfer NA Agent, ifany 1 PRINCIPAL BUSINESS ACTIVITIES OF THE COMPAN All the business activities contributing 10 % or more of the total turnover of the company shall S. | Name and Description of main products 7 NIC Gode of the Product! service | % to total turnover of the No_| services company 1. | Information technology (IT) consulting and 998313 160 support services IIL. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES: Si. [Name and Address of the [ CINGLN Holding/ % of shares [ Applicable Section | No | Company Subsidiary’ | held | Associate NAi) Vator ae Shareholders year Category of | No. of Shares held at the beginning of the ‘No. of Shares held at the end of the year Demat Physical Total % of Total Shares Demat | Physical Total % of Total Shares % ‘Change during the year ‘A. Promoter i. Indian a. Individual’ |= HUF 100000 160000 67.83 98547 ‘ORS 66.85 b._ Cent. Gov. |= ©. StateGovt. | - ‘@_Bodies Corp. [= Bank/ FI = = Any Other |= ‘Sub-Total- A-(1) | - 2. Foreign = a. NRE - Ind/HUP Other Ind | = Body Corp. | - B. c. a BaF |- e. Any : ‘Sub Total- A@) |= Total SH of |- Promoter (142) ‘B, Public Shareholding Institution Mutual Funds | - Bank/ FI = Cent. Govt |= State Govt. | - el = 12)" Venture - Capital Insurance Co. |= Fils : ry Foreign - Venture Capital Fund i,_ Other = Sub-Total-B@) |= ‘Non- InstitutionIV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity):Body Corp. 2857 2857 1.94) India ‘Overseas Individual 1 Individual shareholders holding nominal share capital upto Rs. 1 lakh 44554 46013 3121 i individual shareholders holding nominal share capital in excess of Rs 1 lakh c._ Other Sub-Total-B (2) #74 a7 32.16 48870 33.15 “Total Public Shareholding BB+ (B)Q) Shares held by Custodian for GDRs & ADRs Grand Total (A+ BC) 147411 147411 100 147401 147411 100)SHARE HOLDING PATTERN (Preference Share Capital): fi) Category-wise Share Holding Category of | No. of Shares held at the beginning of the | No, of Shares held ai the end of the year | % Shareholders | year Chan ge Demat | Physical | Total | % of [Demat | Physical | Total | % of | durin Total Total |g the Shares Shares} year Promoter L indian g. Individual’ [= 13802-13802 [100 | - 13802 —*[ 13802 aaa (555 HUF §) h,_ Cent. Govt._[- zi = = 5 i. State Govt. [= - = - 5 j,_ Bodies Corp. [= : : z 7 kK Bank/FL | 5 = = = 1 Any Other [= = = : - ‘Sub-Total A) | - i802 | 13802 [100 | - Ts802—*(13802 «| 44a | SSS $) 2. Foreign : = - £ NRI- > - - Ind/HUF & Other Ind |= = = = - Body Comp. [= 5 = = = iBank’ FI 5 : = = = i_Any 5 : 5 = : ‘Sub Total- A @) | - Total SH of |- Promoter (1+2) D._Public Shareholding Institution ‘Mutual Funds | - Bank/ FI = Cent. Govt. |= State Govt. [= is Kk i m. n Venture = Capital ° Insurance Co. | - Fis = Foreign - Venture Capital Fund Other :‘Sub-Total-B() [= A Non- Institution Body Corp. [- india = 3552 3552 iia ad ‘Overseas = 3552, 3552 [144 1a k Individual = 1 shareholders holding nomi share capital upio Rs. I lakh Individual | = 7 10150 TOISO | 32.68 | 32.68 i Individual > shareholders holding nominal share capital in excess of Rs 1 Tak f Other = ‘Sub-Totai-B @) [= Total Public | - Shareholding BAB) | (BX2) iE. Shares held | - by Custodian for GDRs & ADRs Grand Total [= (A+B+O) 13802 | 13802 100 31056 31036 | 100 (i) Shareholding of Promoters: SI No Shareholder’s| Name Shareholding at the be year jing of the ‘Shareholding at the end of the year No. of Shares % of total Shares of the company ot Shares Pledged —/ encumbered to total shares No. of ‘Shares % of total Shares of the ‘company %of Shares Pledged = / encumbered to total shares % change in share holding | during the | year Tignesh Talasila 25000 16.95 43644 29.6 12.66 2. Ravi Teja Koneru 25000 16.95, Ravi Teja Muthu 25000 16.95 6250 42 12.73)‘4. ] Suraj Sai Vanka 25000 | 16.95 = 43644 [29.6 - 12.66 ‘5. | Puranjaya Singh | - - - 5003 | 3.4 ~ [34 | (ii Change in Promoters’ Shareholding (please specify, if there is no change): ‘Shareholders | At the beginning of _ | Date wise Increase / Decrease in Promoters | Cumulative Name the year shareholding during the year specifying the | Shareholding at the end reasons for increase / decrease (c.g. | of the year allotment / transfer / bonus/ sweat equity ete) Noof | %oftotal | Date Wo of shares [ Nature No. of | % ofttotal shares | shares of the shares | Equity of the ‘company ‘company Tignesh Talasila {25000 | 16.95 05.08.2019 | 3344 ‘Transfer W36as [296 30.12.2019 | 15300 ‘Transfer Ravi ‘Teja | 25000 | 16.95 05.04.2019 | 25000) Transfer = Koneru Ravi Teja [25000 | 16.95 05.08.2019 | 3348 “Transfer 50 «(42 Muthu 30.12.2019 | (22094) Transfer Suraj Sai Vanka | 25000 | 16.95 05.04.2019 | 3344 Transfer 43644 | 298 30.12.2019 | 15300 Transfer Puranjaya Singh | - 05.04.2019 | 5003 “Transfer 3003—«( 3.4(iv) Shareholding Pattern of top ten Shareholders (other than Directors, Promoters and Holders of GDRs and ADRs): ‘Shareholders Name | Atthe beginning of | Date wise Inerease / Decrease in | Cumulative the year Promoters shareholding during the year | Shareholding at the | specifying the reasons for increase /| end of the year decrease (e.g. allotment / transfer / bonus/ sweat equity ete) Noof | %oftotal | Date No of Nature No.of | %oF shares | shares of shares shares total the shares of company the ‘company Koner Harika = ~ 05.04.2019 | 8678 Transfer 3678 589 Lakhsmi ‘Abhay Deshpande 8,225 [5.38 - > - 8225 558 3m 387 - - - ST 387 Srinivas Parepally | 2,858 194 - - 2.858 194 Sarada Deptt 2,858 1.94 - - = 2,858 194 Kurumaddali Lanka VN 2.857 194 - = ~ 2,857 194 Muralidhar dea Entity Research | 2,857 194 > = - 2857 194) Labs Private Limited Sridevi Talastia 2,420 164 - - = 2,420 164 Venkata Karthik 9825 652 30.12.2019 | (8506) | Transfer 406 163 Konda Kedar Choudhary [2,286 [1:55 2,286 135(¥) Shareholding of Directors and Key Managerial Personnel: ‘Shareholders Name | Atthe beginning of [Date wise Increase / Decrease in | Cumulative the year Promoters shareholding during the year | Shareholding at the specifying the reasons for increase / | end of the year decrease (eg. allotment / transfer / bonus/ sweat equity etc) Noof | %oftotal | Date Nature No of shares | No. of Kot shares | shares of shares total the shares of company the ‘compan’ “Tignesh Talasita 25000 (16.95 [05.04.2019 [Transfer | 3344 3644 29.6 30.12.2019 | ‘Transfer | 15300 ' Suraj Sai Vanke 25000 | 16.95 | 05.04.2019 [Transfer | 3344 15644 296 30.12.2019 | Transfer | 15300 Puranjaya Singh > ~ 05.04.2019 | Transfer | 5003 ‘003 34 Ravi TejaKoneru | 25000 | 16.95 | 05.04.2019 | Transfer | (25000) = : Ravi Teja Matha 25000 | 16.95 | 05.04.2019 [Transfer | 3344 250 a3 30.12.2019 | Transfer | (22094) It V. INDEBTEDNESS Indebtedness of the Company inch ling interest outstanding/accrued but not due for Payment: ‘Secured Loans Unsecured Deposits Total excluding Deposits} Loans Indebtedness Indebtedness at the beginning of the financial year : [Principal Amount | - 25,89,850 25,89,850 2. Interest due but | - - = : not paid [3. Interest accrued | = ~ = > bout not due Total (14243) = 25,89,850 5 23,89,850 ‘Change in Indebtedness during the financial year:Reduction : (22,46,080) : (22,46,080) ‘Net Change - (246,080) : (2,46,080) Indebtedness at the end of the financial year: 1. Principal Amount | - 343,770, - 343,770 | [2. Interest due but | - - - - : not paid B, Interest —acerued | - = - - {but not due Total (14243) : 343,770 5 343,770 ‘VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL A. Remuneration to Managing Director, Whole-time Directors and/or Manager: SI,_| Particulars of Remuneration Name of MD/WTD/ED/Manager - Total Amount No. ‘Tignesh Talasila MD wip [ED ‘Manager T [Gross salary = = = = - ‘a. Salary as per provisions contained in = - 841,002 [= 847,002 section 17(1) of the Income-tax Act, 1961 Value of perquisites w/s 17(2) Income-tax [= = > : : Act, 1961 Profits in liew of salary under section 173) | - ‘ = 1 = Income-tax Act, 1961 2__| Stock Option = : : 7 7 3_| Sweat Equity = = E = : | Commission = = - - = ~ as % of profit = Others, specify... = = = = 3__ | Others, please specify : = Total-(A) = 841,002 _[- 841,002 Ceiling as per the Act = : : SI.__| Parliculars of Remuneration ‘Name of MD/WTD/ED/Manager ~ Total Amount No. Ravi Theja Muthu MD. wip [ED Manager T_ | Gross salary 5 = d._ Salary as per provisions contained in = = 342002 | - 342002 soction 17(1) of the Income-tax Act, 1961 ©. Value of perquisites ws 17@) Incomestax | ~ = = : : Act, 1961 Profits in lieu of salary under section 17(3) | - = = e : Income-tax Act, 1961 2 _ | Stock Option : = A : 3_| Sweat Equity 5 : 7 7Commission =a % of profit = Others, specify... ‘Others, please specily “Total-{A) 342002 342002 Ceiling as per the Act Sr No. Particulars of Remuneration Name of MD/WTD/ED/Manager - Total Amount, Sai Suraj Vanka MD, WID ED Manager Gross salary g Salary as per provisions contained in section 17(1) of the Income-tax Act, 1961 Rs. 8,11,002 Rs. 8,11,002 h. Value of perquisites ws 17(2) Income-tax Act, 1961 |. Profits in lieu of salary under section 17) Income-tax Act, 1961 ‘Stock Option ‘Sweat Equity ‘Commission ~ a8 % of profit = Others, specify ‘Others, please specif Total-(A) Rs. 8,11,002 RS. 811,002 Ceiling as per the Act B, Remuneration to other directors: NIL SI. No. Particulars of Remuneration Total Amount ‘Independent Directors ‘a. Fee for attending board / committee meetings, b._ Commission ©. Others, please specily Total (1) ‘Other Non-Executive Directors ‘a. Fee for attending board / committee meetings b, Commission Others, please specify Total-(2) ‘Total-B (1#2)Total Managerial Remuneration 5 ‘Overall Ceiling as per the Act 7 C. REMUNERATION TO KEY MANAGERIAL PERSONNEL OTHER THAN MD/MANAGER/WTD- NIL Si, Particulars of Remuneration Name of MD/WTD/ Manager /CS__ | Total Amount No. CEO cs FO T | Gross salary = - 7 jj. Salary as per provisions conlained in section 17(1) |= = of the Income-tax Act, 1961 7 Kk Value of perquisites w/s 17(2)Income-tax Aci, |= ~ - > 1961 Profits in lieu of salary under section 17(3) Income- | - = = 7 tax Act, 1961 2 _| Stock Option = = : : 3_| Sweat Equity : = : 7 4 | Commission as % of profit = : 7 = Others, specify... : 7 7 5“ Others, please specify 5 : = (= Trotal-ta, = = = 5 Vi. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES: NIL [Type Seetion of Brief ‘Details of Penalty / ‘Authority ‘Appeal the Companies | Description | Punishment/ Compounding | [RD/NCLT | made, Act fees imposed 1 COURT} _| ifany (give Details) | ‘A._COMPANY Penalty : = 7 = : Punishment __|- : : = : ‘Compounding _|- = = - 5 B. Directors Penalt = = = = = Punishment | = = : ‘Compounding | - = = 5 : 11By Order of the Board\\ 2 sh h For Loop Reality Private Limited * & Signe V5.4. Jignesh Talasila Sai Suraj Vanka Director Director DIN: 06547704 DIN: 06547738 Place: Hyderabad Date: 09.12.2020Hiremath & Rathi Chartered Accountants INDEPENDENT AUDITOR’S REPORT To the Members of Loop Reality Private Limited Report on the Standalone Audit of the Financial Statements Opinion We have audited the accompanying standalone financial statements of Loop Reality Private Limited (“the Company”), which comprise the Balance Sheet as at March 31", 2020, and the Statement of Profit and Loss and a summary of the significant accounting policies and other explanatory information (collectively referred to as the ‘Financial statements’). In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31°, 2020, and its Loss for the year ended on that date. Basis for Opinion We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013. Our responsibilities under those Standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical Fequirements that are relevant to our audit of the financial statements under the provisions of the Companies Act, 2013 and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion, Management’s Responsibility for the Standalone Financial Statements The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (“the Act”) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance of the Company in accordance with the Accounting Standards (AS) prescribed under section 133 of the Act read with rule 7 of the Companies (Accounts) Rules, 2014, as amended, and other accounting principles generally accepted in India. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities, selection and application of appropriate accounting policies, making judgments and estimates that are reasonable and prudent, and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records. relevant to the preparation and presentation of the standalone financial statements that give true and fair view and are free from material misstatement, whether due to fraud or error Head Office : 5-9-13, #504, Fifth Floor, Taramandal Complex, Saifabad, Hyderabad - 500004, Telangana, India Branch Office : No. 05, Srinidhi Apartment, Near BJP Office, Deshpande Nagar, Hubli - 580029, Karnataka, India Email : hnr@hiremathrathi.com | Website : www.hiremathrathi.comIndependent Auditor's Report on financial statements (continued) Management's Responsibility for the Financial Statements (continued) In preparing the financial statements, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those Board of Directors are also responsible for overseeing the Company’s financial reporting process. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also: * Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is, higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. © Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Companies Act, 2013, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls system in place and the operating effectiveness of such controls © Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. * Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern. © Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represer underlying transactions and events in a manner that achieves fair presentation. /Independent Auditor's Report on financial statements (continued) Auditor's Responsibilities for the Audit of the Financial Statements (continued) We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes. public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. Report on Other Legal and Regulatory Requirements 1. This report does not include a statement on the matters specified in Companies (Auditor's Report) Order, 2016 (‘the Order’) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act since in our opinion and according to the information and explanations given to us, the said Order is not applicable to the Company. 2. As required by Section 143(3) of the Act, based on our audit we report that: a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit. b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books. c) The Balance Sheet and the Statement of Profit and Loss dealt with by this Report are in agreement with the books of account. d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards prescribed under section 133 of the Act, read with rule 7 of Companies (Accounts) Rules ,2014. ©) On the basis of the written representations received from the directors of the Company as on March 31, 2020 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2020 from being appointed as a director in terms of Section 164(2) of the Act. £) Since the Company's turnover as per last audited financial statements is less than Rs.50 Crores and its borrowings from banks and financial institutions at any during the year is less than Rs.25 Crores, the Company is exempted from gettingIndependent Auditor's Report on financial statements (continued) Report on Other Legal and Regulatory Requirements (continued) 8) audit opinion with respect to the adequacy of the internal financial controls over financial reporting of the company and the operating effectiveness of such controls vide notification dated June 13, 2017 With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us: i, The Company does not have any pending litigations which would impact its financial position in its standalone financial statements. ii, The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses. iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company. for Hiremath & Rathi Chartered Accountants Firm’: Saurabh Kumar Rathi Partner 's registration number: 015806S Shas re Membership No: 228763 UDIN: 20228763AAAACC5977 Place: Hyderabad Date: 09/12/2020.Loop Reality Private Limited Balance Sheet as at 31st March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) Particulars, Note No. 31-Mar-20 ‘31-Mar-19 J. EQUITY AND LIABILITIES (1) Shareholders’ funds (a) Share capital 2 17,84,670 16,12,130 (b) Reserves and surplus 3 81,67,023 9,15,431 99,51,693, 25,27,561 (2) Current liabilities (a) Short-term borrowings 5 343,770 25,89,850 (b) Other current liabilities 6 10,41,166 21,30,591 13,84,936 47,20,441 TOTAL 1,13,36,629 772,48,002. U, ASSETS eel (@)_Non-Current Assets (a) Property, plant and equipment 7 (@ Tangible assets 6,03,897 11,86,379 Gil Intangible assets 17,66,945 23,09,987 ii) Capital work-in-progress 10,92,000 - (b) Deferred tax asset (net) 4 422,235 460,660 38,85,077 39,57,026 (2) Current assets (a) Trade receivables 8 - 3,84,333 (b) Cash and bank balances 9 64,29,185 19,47,342 (©) Short-term loans and advances 10 100.000 3,90,000 (@) Other current assets u 922,367 5,69,301 74,51,552 32,090,976, TOTAL 7,13,36,629, 772,48,002 ‘Significant accounting policies T ‘Notes forming part of the financial statements 221 As per our report on financial statements of even date attached For Hiremath & Rathi For and on behalf of board of Directors Chartered Accountants Loop Reality Private Limited Firm Registration N CIN : U72501TG2016PTCI 11430 ch p esh S Sse! / a Signe) \ SS ‘Saurabh Kumar Rathi Jignesh Talasila Sai Suraj Vanka Partner : Director Director Membership Number. : 228763 DIN : 06547704 DIN : 06547738 Date : 09 December, 2020L 0. m1. Iv. Loop Reality Private Limited Profit and loss statement for the year ended 31st March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) Particulars ‘Note ‘31-Mar-20 31-Mar-19 No. Revenue Revenue from operations n 20,69,040 17,25,072 Other income 1B 23,917,574 15,631 Total Revenue 66.614 17,40,703 Expenses Employee benefits expense 4 88,02,571 89,83,737 Depreciation and amortization expense 7 12,71,377 11,48,431 Other expenses 15 30,948 33,86,421 Impairment Joss on assets 16 - 34,78,650 1,40,04,896 1,69, 97,239 Profit/ (Loss) before tax (95,38,282) (1,52,56,536) ‘Tax expense: (1) Current tax - : (2) Deferred tax 38,425 (662,719) Profit / (Loss) for the year C576 TOD, C5557) Earnings per equity share: ) Basie (64.97) (99.00) @) Diluted (64.97) (99.00) ‘Significant accounting policies T ‘Notes forming part of the financial statements 2-21 ‘As per our report on financial statements of even date attached For Hiremath & Rathi Chartered Accountants Firm Registration No.: O15868. ‘Membership Number: naar Place : Hyderabad Date : 09 December, 2020 For and on behalf of board of Directors Loop Reality Private Limited CIN : U72501TG2016PTC11 1430 Signess esh VS Sorel aN lasila Sai Suraj Vanka rector Director DIN : 06547704 DIN : 065477382a 2b Loop Reality Private Limited Notes to financial statements for the year ended 31 March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) Share Capital ; Asat Beat ee 31-Mar-20___31-Mar-19 Authorized Capital : 1,60,000 Equity shares of Re. 10/- each 16,0000 —_17,00,000 (March 31, 2019 - 1,70,000 Equity shares of Re. 10/- each) 40,000 0.001% Compulsory Convertible Preference shares of 4,00,000 3,00,000 Re, 10/- each ( March 31, 2019 - 30,000) Issued, subscribed & fully paid up capital : 1,47,411 Equity shares of Re. 10/- each fully paid up 14,74,110 14,74 110 (March 31, 2019 - 1,47,411 Equity shares of Re. 10/- each) 31,056 0.001% Compulsory Convertible Preference shares of Re. 10/- each (March 31, 2019 - 13,802 ) 3,10,560 1,38,020 Total 17,84,670 16,12,130 ‘Terms/ rights attached to equity shares The Company has one class of equity shares having par value of Re.10/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the sharcholders in the ensuing Annual General Meeting. The Company has not declared any dividend in the current and previous year. In ‘the event of liquidation of the Company, the holders of equity shares will be entitled to receive assets of the ‘Company. The distribution will be in proportion to the number of equity shares held by the shareholders. ‘Terms rights attached to preference shares ‘The Company has issued 0.001% Compulsorily Convertible Preference Shares (CCPS') of face value of Re. 10/- per share at a premium of Rs 579.63 Per Share. Each CCPS share shall be automatically Converted at the time of a Qualified IPO, of at the discretion of investors into such manner of fully paid Equity shares. The conversion ratio, currently is one. The holder of investor shares shall be entitled to voting rights proportionate to the equity shareholding in the Company, on a fully diluted basis.Re 2d Loop Reality Private Limited Notes to financial statements for the year ended 31 March 2020 (Atl amounts are in Indian Rupees except for share data or otherwise stated) Reconciliation of number of equity shares outstanding at the beginning and at the end of the period “Asai 31 March 2020 Beat 3H March 2019 __Asat31 March 2020 As at 31 March 2019 caer Rumber Number At the commencement of the year Laval 13,68,400 1.36840 13,68,400 Shares issued during the year - : 10,571 1,05,710 ‘Shares outstanding at the end of the period 147,611 __ 13,68,400 4g74th___14,74,110 Reconciliation of number of preference shares outstanding at the beginning and at the end of the period ‘Ag at31 March 2020 Feat 31 March 2019 eee Number Rs. Number Rs. [Atthe commencement of the period 13,802 1,38,020 7 7 Shares issued during the period 17254 1,72,S40 13,802 1,38,020 Shares outstanding at the end of the period 31036 __3,10,560 13,802 1,38,020 ‘The details of shareholder holding more than 5% shares : Name of Shareholder ‘Aeat 31 March 2000 Bs at 31 March 2019 Number % of holding Number __% of holding signesh Talasila 43,644 29.61% 25,000 16.96% Sutaj Sai Vanka 43.644 29.61% 25,000 16.96% Ravi Teja Koneru - 0.00% 25,000 16.96% Ravi Theja Mutha 6250 4.24% 25,000 16.96% ‘Venkata Karthik Konda 2,406 1.63% 9,625 6.53% Sridevi Talastia 2.420 1.64% 2.420 1.64% ‘Abhay Deshpande 8225 5.58% 8.225 5.58% Srinivas Parepally 2.858 1.94% 21858 1.94% Kedar Choudhary 2.286 155% 2.286 1.55% Lanka VN Muralidhar 2857 194% 2357 1.94% Prabhuram Radhakrishnan S71 3.87% 5711 3.87% Sarada Deepti Kurumaddali 21858 1.94% 2,858 1.94% Nitin Padmawar 857 0.58% 857 0.58% Vikas Saluguti 2,286 155% 2.286 1.55% Idea Entity Research Labs Private Limited 2,857 1.94% 21857 119436 Bharadwaj Rallebandi 1371 1.07% 1371 1.07% Vijay Kumar Vanparthi 12286 087% 12286 087% Sujan Parthasaradhi Tirumala Vangi 857 058% 857 0.38% Girish Babulal Kastiwal 857 0.38% 857 0:38% Koneru Harika Lakiismi 8,678 5.89% 7 0.00% Puranjaya Singh 5,003 3.39% 7 0.00% Total 147,411 100% Ta7 Ait 100%2 Loop Reality Private Limited ‘Notes to financial statements for the year ended 31 March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) ‘The details of Preference shareholder holding more than 5% shares + ‘Name of Shareholder ‘As at 31 March 2020 ‘As at 31 Mareh 2019 Number %ofholding Number __% of holding Puranjaya Singh 13,802 14.4149 13,802 100% Shirinivas Vasudeva Dempo 5,075 16.34% - 0% ‘Cosme Matias Menezes Private Limited 3,552 11.44% - 0% Arjan Investments Pte Ltd 3,552 11.44% - % ‘Swati Shivanand Salgaocar and Shivanand 5,075 16.34% : 0% Vassudev Salgaocar Total 31,056, 100% 13,802 100%3 Loop Reality Private Limited Notes to financial statements for the year ended 31 March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) Reserves and surplus Avat As at Limkaiani 31-Mar-20 31-Mar-19, Securities Premium Reserve 3,35,619 1,75,07,320 Balance in the statement of profit and loss Balance at the beginning of the year (1,65.91,889) (19,98,072) Add : Loss for the year Less : Appropriations (95,76,707) (1,45,93,817) Balance at the end of the year 61, 68,596) C.65.91,889) Total GTO DEAS Deferred tax (assets)liabilities (net) ; As at eat Particulars 31-Mar-20 31-Mar-19 Deferred tax assets ‘Timing difference on Impairment loss recognised in accounts 4,60,660 8,60,663 Deferred tax liabilities Excess of depreciation allowable under Income tax law over depreciation provided in accounts 38,425 4,09,003 Deferred tax (assels) abilities (Gna) E0560) Short-term borrowings : sat sat Peter 31-Mar-20 31-Mar-19 (Unsecured) Loans and advances from related parties, 343,770 25,89,850, 38770 25,59,850 Other current ; Beat Heat Particulars 31-Mar-20 31-Mar-19 Statutory dues 78.932 1,85,048, Salaries payable 8,14,567 16,16,623 Expenses payaible 147,668 268,920 Total TOATI66 730,5919. 10. ML Loop Reality Private Limited Notes to financial statements for the year ended 31 March 2020 (All amounts are in Indian Rupees except for share data or otherwise stated) ‘Trade receivables sat Asat er 31-Mar-20 31-Mar-19 Unsecured, considered good Others - 3,84,333, Total 34333 Cash and bank balances ; Beat Asat Particulars 31-Mar-20 31-Mar-19 Cash and cash equivalents Cash on hand . . Balance with banks = in current accounts 14,79,185, 1697382 ~ term deposits more than twelve months 2,50,000 230,000 = term deposits Less than twelve months 47,00,000 - Total 645,185 aT Short-term loans and advances Heat Asat Pete 31-Mar-20 31-Mar-19 Security deposit 1,00,000 3,90,000 Total 700,000 3,90,000 Other current assets : Te at As at pede 31-Mar-20 31-Mar-19 Prepaid expenses - - Balances with revenue authorities 6,50,161 348,023 ‘Accured interest on term deposit 1,04,094 14,068 Income tax refund 168,112 2,07,210 Total 922567 5 G30