Globus Spirits Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Mar 2021

1. These results have been prepared in accordance with the recognition and measurement principles as laid down in the Indian Accounting Standards (referred to as "Ind AS 1 prescribed under Section 133 of the Companies Act, 2013 read with Companies (Indian Accounting Standards) Rules as amended from time to time. The above standalone results were reviewed by the Audit Committee and approved by the Board of Directors of the Company at their meetings held on June 14, 2021.

2. As the Company's business activity falls within a single primary business segment, namely Alcohol and Alcoholic Beverages, the disclosure requirements of Regulation 33 of the SEBI (Listing Obligations and disclosure Requirements) Regulations, 2015 in terms of Ind AS 108 Operating Segments are not applicable.

3. On March 12, 2020, the Board of Directors of Globus Spirits Limited ("Company") approved a Scheme of amalgamation ("the Scheme") between the Company and its subsidiary Unibev Limited ("transferor Company"), their respective shareholders and creditors subject to obtaining requisite regulatory and other approvals. The Scheme of amalgamation has been filed by the Company with the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). Presently, the Company Is In the process of seeking requisite approvals from National Company Law Tribunal (NCLT). NCLT vide its order dated April 27, 2021 has listed the matter for final hearing on July 22, 2021.

With effect from the Appointed Date, i.e. 1 April 2019, the Company shall stand amalgamated with transferor Company. All assets and liabilities and the entire business of the Transferor Company shall, pursuant to the provisions of Sections 230 to 232 and other applicable provisions, if any, of the Act, without any further act, instrument, deed, matter or thing be and stand transferred to and vested in Company, as a going concern so as to become, the undertaking of Company by virtue of and in the manner provided In the Scheme.

4. The Company has Investment amounting to Rs. 2,795.78 Lacs as at March 31, 2021 (Rs. 2,744.63 Lacs as at March 31, 2020); and has granted loans (Including interest receivable) amounting to Rs. 1,490.15 Lacs (Rs. 734.27 Lacs as at March 31, 2020) to its subsidiary Unibev Limited. The subsidiary has incurred losses during the year ended March 31, 2021 of Rs. 850.24 Lacs (Rs. 961.18 Lacs during year ended March 31, 2020) and has accumulated losses as at March 31, 2021 aggregating to Rs. 3,108.83 Lacs (Rs. 2,258.33 as at March 31, 2020) which has fully eroded the net worth of the subsidiary in the current year and has negative net worth as at March 31, 2021 amounting to Rs. 354.04 Lacs (positive net worth of Rs. 496.48 Lacs as at March 31, 2020).

The Company is heading towards merger with Unibev Limited, subject to final order from NCLT, with effect from April 1, 2019. The Company as a prudence on account of losses in its subsidiary's has accounted for Rs. 3,157.73 Lacs as exceptional items in the standalone financial results.

5. In June, 2020, Directorate General of Goods and Services Tax (GST) Intelligence (DGGI) carried out search proceedings at various premises of the Company; at factories and at head office. The Company has not received any claim/ demand notice from the Goods and Services Tax Department. Pursuant to the aforesaid search proceeding the Company has voluntarily deposited Rs. 1,989.97 Lacs under protest towards GST liability which may arise on account of issue regarding classification of one of the item sold by the Company for the period July, 2017 to December, 2020. The Company has filed writ petition before Hon'ble Delhi High Court on February 17, 2021 challenging the action of DGGI and seeking refund of amount deposited by the Company. The petition was heard by the Hon'ble High Court in February, 2021 and March, 2021, pursuant to which DGGI has filed Its reply and the Company has filed its counter reply. The matter is pending disposal at Hon'ble High Court and the next hearing in the matter is scheduled on July 23, 2021. On the basis of legal opinion obtained, the Management is confident that ultimately no liability will devolve on the Company and the Company will be able to get refund of amount deposited from the Department.

6. The figures for the quarter ended March 31, 2021 and the corresponding quarter ended in the previous year, as reported in these standalone financial results, are the balancing figures between audited figures In respect of the full financial year and the published year to date figures upto the end of third quarter of the relevant financial year. Also, the figures upto the end of the third quarter had only been reviewed and not subjected to audit.

7. For the financial year 2020-21, the Board of Directors recommended a final dividend of Rs. 2 per equity share (par value of Rs. 10 each). This payment is subject to the approval of shareholders in the Annual General Meeting (AGM) of the Company.The dividend will be paid on the 5th working day from the date of declaration of the final dividend to the shareholders. In view of COVID-19 the Company Is working on an AGM date.The book closure date for the purpose of the payment of final dividend and AGM date will be announced In due course.

8. The Code on Social Security,2020 ('Code') relating to employee benefits during employment and post employment benefits received Presidential assent In September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes Into effect and will record any related Impact In the period the Code becomes effective.