UNOCOIN TECHNOLOGIES PTE. LTD.

AND ITS SUBSIDIARY

(Incorporated in Singapore. Registration Number: 201538056R)

UNAUDITED FINANCIAL STATEMENTS

For the financial year ended 31 March 2022
UNOCOIN TECHNOLOGIES PTE. LTD.
AND ITS SUBSIDIARY
(Incorporated in Singapore)

UNAUDITED FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

Contents
Page

Directors’ Statement 1

Consolidated Statement of Comprehensive Income 3

Consolidated Balance Sheet 4

Consolidated Statement of Changes in Equity 5

Consolidated Statement of Cash Flows 6

Notes to the Financial Statements 7

UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

DIRECTORS’ STATEMENT
For the financial year ended 31 March 2022

The directors present their statement to the members together with the unaudited
consolidated financial statements of Unocoin Technologies Pte. Ltd. (the “Company”) and
its subsidiary (collectively, the “Group”) and the statement of balance sheet and
statement of changes of equity of the Company for the financial year ended 31 March
2022.

In the opinion of the directors,

(a) the consolidated financial statements as set out on pages 3 to 28 are drawn up so
as to give a true and fair view of the financial position of the Group and the
Company as at 31 March 2022 and of the financial performance, changes in
equity and cash flows of the Group for the financial year the ended; and

(b) at the date of this statement, there are reasonable grounds to believe that the
Company will be able to pay its debts as and when they fall due.

Directors

The directors in office at the date of this report are as follows:

Andrew Joseph Filipowski

Bagepalli Vijayakumar Harish
Choo Boon Kwee Colin (Appointed on 31 May 2022)
Sathvik Vishwanath
Sunny Ray

Arrangements to enable directors to acquire shares and debentures

Neither at the end of nor at any time during the financial year was the Company a party to
any arrangement whose object was to enable the directors of the Company to acquire
benefits by means of the acquisition of shares in, or debentures of, the Company or any
other body corporate.

Directors’ interests in shares or debentures

According to the register of directors’ shareholdings kept by the Company under section
164 of the Singapore Companies Act, Chapter 50 (the Act), the directors of the Company
who held office at the end of the financial year had no interests in the shares or
debentured of the Company or its related corporations, except as follows:

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

DIRECTORS’ STATEMENT
For the financial year ended 31 March 2022

Directors’ interests in shares or debentures (continued)

Holdings registered in
name of director
At At
The Company 31.03.22 01.04.21
(No. of ordinary shares)
Bagepalli Vijayakumar Harish 40,000 40,000
Sathvik Vishwanath 100,000 100,000
Sunny Ray 20,000 20,000

(No. of preference shares)

Sathvik Vishwanath 10,000 10,000

Subsidiary Company
Unocoin Technologies Private Limited
(No. of ordinary shares)
Bagepalli Vijayakumar Harish 1 1

Share options

No options granted during the financial year to subscribe for unissued shares of the
Company.

No shares have been issued during the financial year by virtue of the exercise of options
to take up unissued shares of the Company.

There were no unissued shares of the Company under option at the end of the financial
year.

Auditors

The Company is exempted from audit requirements in respect of the current financial
year under Section 205C of the Companies Act and has not received notice from the
shareholder requesting to have the Company’s financial statements audited pursuant to
Section 205(C)(2).

On behalf of the Board of Directors,

Sunny Ray Bagepalli Vijayakumar Harish

Director Director

10 November 2022

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the financial year ended 31 March 2022

Group
FY2022 FY2021
Note USD USD

Revenue 4 1,246,794 597,424

Other income 5 15,871 15,842

Other losses 6 (4,930) (1,641)

Expenses
- Depreciation and amortisation (30,393) (34,578)
- Employee compensation 7 (710,155) (347,698)
- Finance expenses (4,080) (2,903)
- Computer services (88,031) (3,744)
- Other expenses (1,754,378) (328,457)
- Professional expenses (48,962) (124,192)
- Rental expenses (70,085) (42,397)
- Repair and maintenance expenses (27,005) (13,929)
Loss before income tax (1,475,354) (286,273)

Income tax expense 8 - -

Loss for the year, representing total

comprehensive loss for the year (1,475,354) (286,273)

The accompanying notes form an integral part of these financial statements.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

CONSOLIDATED BALANCE SHEET

As at 31 March 2022

Group Company
Note 2022 2021 2022 2021
USD USD USD USD
ASSETS
Current assets
Cash and cash equivalents 9 2,381,624 2,181,919 1,917,470 1,014,567
Other receivables 10 1,534,657 1,662,117 28,223 -
3,916,281 3,844,036 1,945,693 1,014,567

Non-current assets
Plant and equipment 11 85,480 75,790 - -
Intangible assets 12 3,173 4,215 - -
Investment in a subsidiary 13 - - 2,659,542 1,327,765
88,653 80,005 2,659,542 1,327,765
Total assets 4,004,934 3,924,041 4,605,235 2,342,332

LIABILITIES
Current liabilities
Borrowings 14 - 428,300 - -
Trade and other payables 15 1,554,040 2,051,902 32,915 39,944
Share application money 16 1,452,495 2,124,995 1,452,495 2,124,995
Amount due to shareholders 17 4,927 4,927 4,927 4,927
Total liabilities 3,011,462 4,610,124 1,490,337 2,169,866
NET ASSETS / (LIABILITIES) 993,472 (686,083) 3,114,898 172,466

EQUITY
Share capital 18 5,094,596 1,917,697 5,094,596 1,917,697
Other reserves 19 (209,239) (187,249) - -
Accumulated losses (3,891,885) (2,416,531) (1,979,698) (1,745,231)
Total equity 993,472 (686,083) 3,114,898 172,466

The accompanying notes form an integral part of these financial statements.

4
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the financial year ended 31 March 2022

Attributable to owners of the Company

Currency
Note Share translation Accumulated
capital reserve losses Total equity
USD USD USD USD
2022
At 1 April 2021 1,917,697 (187,249) (2,416,531) (686,083)

Issuance of
18
preference shares 3,176,899 - - 3,176,899

Loss for the year

representing total
comprehensive
loss for the year - - (1,475,354) (1,475,354)

Currency
translation
reserve - (21,990) - (21,990)

At 31 March 2022 5,094,596 (209,239) (3,891,885) 993,472

2021
At 1 April 2020 1,773,907 (180,854) (2,130,258) (537,205)

Issuance of
18
preference shares 143,790 - - 143,790

Loss for the year

representing total
comprehensive
loss for the year - - (286,273) (286,273)

Currency
translation
reserve - (6,395) - (6,395)

At 31 March 2021 1,917,697 (187,249) (2,416,531) (686,083)

The accompanying notes form an integral part of these financial statements.

5
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

CONSOLIDATED STATEMENT OF CASH FLOWS

For the financial year ended 31 March 2022

Group
2022 2021
USD USD

Cash flows from operating activities

Loss before income tax (1,475,354) (286,273)
Adjustments for:
- Depreciation 29,467 32,826
- Impairment loss goodwill 927 1,274
- Interest income (15,871) (15,842)
Operating cash flow before working capital
changes (1,460,831) (268,015)

Changes in working capital:

- Other receivables 127,460 (1,467,784)
- Trade and other payables (497,862) 1,396,143

Net cash used in operating activities (1,831,233) (339,656)

Cash flows from investing activities

Additions to plant and equipment (41,436) (12,723)
Interest received 15,871 15,842
Share application money 702,500 1,856,267

Net cash generated from investing activities 676,935 1,859,386

Cash flows from financing activities

Proceeds from issuance of preference shares 1,801,899 143,790
Proceeds from short term borrowings - 428,300
Repayment of bank borrowings (428,300) -

Net cash generated from financing activities 1,373,599 572,090

Net increase in cash and cash equivalents 219,301 2,091,820

Cash and cash equivalents at beginning of financial
year 2,181,919 99,013
Effects of currency translation (19,596) (8,914)
Cash and cash equivalents at end of financial year 2,381,624 2,181,919

The accompanying notes form an integral part of these financial statements.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

These notes form an integral part of and should be read in conjunction with the
accompanying financial statements.

1. General information

The Company is incorporated and domiciled in Singapore. The address of its

registered office is 80 Robinson Road #02-00 Singapore 068898.

The principal activities of the Company are those of investment holding.

The principal activity of its subsidiary is to develop an online market platform to

facilitate and conduct sale, purchase, import, export trade with or without using
cryptography or any other software based on internet and intranet, networking of
any kind from India or abroad, to carry on the business of software consultants
and to provide equipment and services for IT enabled services data centers etc.

2. Significant accounting policies

2.1 Basis of preparation

The financial statements have been prepared in accordance with Singapore

Financial Reporting Standards (“FRS”). The financial statements have been
prepared under the historical cost convention, except as disclosed in the
accounting policies below.

The preparation of these financial statements in conformity with FRS requires

management to exercise its judgement in the process of applying the Group’s
accounting policies. It also requires the use of certain accounting estimates and
assumptions. There are no areas involving a higher degree of judgement or
complexity or areas where assumptions and estimates are significant to the
financial statements.

Interpretations and amendments to published standards effective in 2021

On 1 April 2021, the Group adopted the new or amended FRS and Interpretations
of FRS (“INT FRS”) that are mandatory for application for the financial year.
Changes to the Group’s accounting policies have been made as required, in
accordance with the transitional provisions in the respective FRS and INT FRS.

The adoption of these new or amended FRS and INT FRS did not result in
substantial changes to the Group’s accounting policies and had no material effect
on the amounts reported for the financial year.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.2 Revenue recognition

Revenue is measured based on the consideration to which the Group expects to

be entitled in exchange for transferring services to a customer/

Revenue is recognised when the services are rendered over time when the Group
satisfies a performance obligation by transferring a promised service to the
customer.

2.3 Currency transactions

The financial statements are presented in United States Dollar, which is the
functional currency of the Company, its subsidiaries and joint venture.

Transactions in a currency other than United States Dollar (“foreign currency”) are
translated into United States Dollar using the exchange rates at the dates of the
transactions. Currency exchange differences resulting from the settlement of such
transactions and from the translation of monetary assets and liabilities
denominated in foreign currencies at the closing rates at the balance sheet date
are recognised in profit or loss. Non-monetary items measured at fair values in
foreign currencies are translated using the exchange rates at the date when the
fair values are determined.

2.4 Group accounting

(i) Consolidation

Subsidiaries are all entities (including structured entities) over which the
Group has control. The Group controls an entity when the Group is
exposed to, or has rights to, variable returns from its involvement with the
entity and has the ability to affect those returns through its power over the
entity. Subsidiaries are fully consolidated from the date on which control is
transferred to the Group. They are de-consolidated from the date on that
control ceases.

In preparing the consolidated financial statements, transactions, balances

and unrealised gains on transactions between group entities are
eliminated. Unrealised losses are also eliminated unless the transaction
provides evidence of an impairment indicator of the transferred asset.
Accounting policies of subsidiaries have been changed where necessary
to ensure consistency with the policies adopted by the Group

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.4 Group accounting (continued)

(ii) Acquisitions

The acquisition method of accounting is used to account for business

combinations entered into by the Group.

The consideration transferred for the acquisition of a subsidiary or

business comprises the fair value of the assets transferred, the liabilities
incurred, and the equity interests issued by the Group. The consideration
transferred also includes any contingent consideration arrangement and
any pre-existing equity interest in the subsidiary measured at their fair
values at the acquisition date.

Acquisition-related costs are expensed as incurred.

Identifiable assets acquired and liabilities and contingent liabilities

assumed in a business combination are, with limited exceptions, measured
initially at their fair values at the acquisition date.

Where applicable, the excess of (a) the consideration transferred, the

amount of any non-controlling interest in the acquiree and the acquisition-
date fair value of any previous equity interest in the acquiree over the (b)
fair value of the identifiable net assets acquired is recorded as goodwill.

(iii) Disposals

When a change in the Group’s ownership interest in a subsidiary result in

a loss of control over the subsidiary, the assets and liabilities of the
subsidiary including any goodwill are derecognised. Amounts previously
recognised in other comprehensive income in respect of that entity are
also reclassified to profit or loss or transferred directly to retained earnings
if required by a specific Standard.

Any retained equity interest in the entity is remeasured at fair value. The
difference between the carrying amount of the retained interest at the date
when control is lost, and its fair value is recognised in profit or loss.

Please refer to paragraph “Investments in subsidiaries” for the accounting

policy on investments in subsidiaries in the separate financial statements
of the Company.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.5 Investment in subsidiary

Investments in subsidiary are carried at cost less accumulated impairment losses

in the Company’s balance sheet. On disposal of such investments, the difference
between disposal proceeds and the carrying amounts of the investments are
recognised in profit or loss.

2.6 Plant and equipment

Plant and equipment are recognised at cost less accumulated depreciation and
accumulated impairment losses.

Subsequent expenditure relating to plant and equipment that has already been
recognised is added to the carrying amount of the asset only when it is probable
that future economic benefits associated with the item will flow to the Group and
the cost of the item can be measured reliably. All other repair and maintenance
expenses are recognised in profit or loss when incurred.

Depreciation is calculated using the straight-line method to allocate depreciable

amounts over their estimated useful lives. The estimated useful lives are as
follows:

Useful lives
Plant and machinery 2 to 7 years
Furniture and fixtures 10 years

The residual values, estimated useful lives and depreciation method of property,
plant and equipment are reviewed, and adjusted as appropriate, at each balance
sheet date. The effects of any revision are recognised in profit or loss when the
changes arise.

On disposal of an item of property, plant and equipment, the difference between

the disposal proceeds and its carrying amount is included in the profit or loss.

2.7 Intangible assets

Goodwill on acquisitions

Goodwill on acquisitions of subsidiary represents the excess of (a) the aggregate

of the consideration transferred, the amount of any non-controlling interest in the
acquiree and the acquisition-date fair value of any previously-held equity interest
in the acquiree over (b) the fair values of the identifiable assets acquired net of the
fair values of the liabilities and any contingent liabilities assumed.

Goodwill on subsidiary is recognised separately as intangible assets and carried

at cost less accumulated impairment losses.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.8 Impairment of non-financial assets

(a) Goodwill on acquisitions

Goodwill recognised separately as an intangible asset is tested for impairment

annually and whenever there is indication that the goodwill may be impaired.

For the purpose of impairment testing of goodwill, goodwill is allocated to each of

the Group’s cash-generating-units (“CGU”) expected to benefit from synergies
arising from the business combination.

An impairment loss is recognised when the carrying amount of a CGU, including

the goodwill, exceeds the recoverable amount of the CGU. The recoverable
amount of a CGU is the higher of the CGU’s fair value less cost to sell and value-
in-use.

The total impairment loss of a CGU is allocated first to reduce the carrying amount
of goodwill allocated to the CGU and then to the other assets of the CGU pro-rata
on the basis of the carrying amount of each asset in the CGU.

An impairment loss on goodwill is recognised as an expense and is not reversed

in a subsequent period.

(b) Intangible assets

Plant and equipment
Investments in subsidiary

Intangible assets, plant and equipment and investments in subsidiary are tested
for impairment whenever there is any objective evidence or indication that these
assets may be impaired.

For the purpose of impairment testing, the recoverable amount (i.e. the higher of
the fair value less cost to sell and the value-in-use) is determined on an individual
asset basis unless the asset does not generate cash inflows that are largely
independent of those from other assets. If this is the case, the recoverable amount
is determined for the CGU to which the asset belongs.

If the recoverable amount of the asset (or CGU) is estimated to be less than its
carrying amount, the carrying amount of the asset (or CGU) is reduced to its
recoverable amount. The difference between the carrying amount and recoverable
amount is recognised as an impairment loss in the consolidated income
statement.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.8 Impairment of non-financial assets (continued)

(b) Intangible assets (continued)

Plant and equipment (continued)
Investments in subsidiaries (continued)

An impairment loss for an asset other than goodwill is reversed only if there has
been a change in the estimates used to determine the asset’s recoverable amount
since the last impairment loss was recognised. The carrying amount of this asset
is increased to its revised recoverable amount, provided that this amount does not
exceed the carrying amount that would have been determined (net of any
accumulated amortisation or depreciation) had no impairment loss been
recognised for the asset in prior years.

A reversal of impairment loss for an asset other than goodwill is recognised in

profit or loss, unless the asset is carried at revalued amount, in which case, such
reversal is treated as a revaluation increase. However, to the extent that an
impairment loss on the same revalued asset was previously recognised as an
expense, a reversal of that impairment is also recognised in profit or loss.

2.9 Financial assets

The Group classifies its financial assets as financial assets carried at amortised
cost.

The classification of debt instruments depends on the Group’s business model for
managing the financial assets as well as the contractual terms of the cash flows of
the financial assets.

Financial assets with embedded derivatives are considered in their entirety when
determining whether their cash flows are solely payment of principal and interest.

The Company reclassifies debt instruments when and only when its business
model
for managing those assets changes.

(i) At initial recognition

At initial recognition, the Group measures a financial asset at its fair value
plus transaction costs that are directly attributable to the acquisition of the
financial assets. Transaction costs of financial assets carried at fair value
through profit or loss are expenses in profit or loss.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.9 Financial assets (continued)

(ii) At subsequent measurement

Debt instrument

Debt instruments of the Company mainly comprise of bank balances, trade

and other receivables and deposits.

There are three prescribed subsequent measurement categories,

depending on the Company’s business model in managing the assets and
the cash flow characteristic of the assets. The Company managed these
group of financial assets by collecting the contractual cash flow and these
cash flows represents solely payment of principal and interest. Accordingly,
these group of financial assets are measured at amortised cost
subsequent to initial recognition.

A gain or loss on a debt investment that is subsequently measured at

amortised cost and is not part of a hedging relationship is recognised in
profit or loss when the asset is derecognised or impaired. Interest income
from these financial assets are recognised using the effective interest rate
method.

The Company assesses on forward looking basis the expected credit

losses associated with its debt instruments carried at amortised cost.

For trade receivable, the Company applied the simplified approach

permitted by the FRS 109, which requires expected lifetime losses to be
recognised from initial recognition of the receivables.

For bank balances, other receivables and deposits, the general 3-stage
approach is applied. Credit loss allowance is based on 12-month expected
credit loss if there is no significant increase in credit risk since initial
recognition of the assets. If there is a significant increase in credit risk
since initial recognition, lifetime expected credit loss will be calculated and
recognised

2.10 Other payables

Other payables represent liabilities for goods and services provided to the Group
prior to the end of financial year which are unpaid. They are classified as current
liabilities if payment is due within one year or less (or in the normal operating cycle
of the business, if longer). Otherwise, they are presented as non-current liabilities.

Other payables are initially recognised at fair value, and subsequently carried at
amortised cost using the effective interest method.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.11 Borrowings

Borrowings are presented as current liabilities unless the Group has an

unconditional right to defer settlement for at least 12 months after the balance
sheet date, in which case they are presented as non-current liabilities.

Borrowings are initially recognised at their fair values (net of transaction costs)
and subsequently carried at amortised cost. Any difference between the proceeds
(net of transaction costs) and the redemption value is recognised in profit or loss
over the period of borrowings using the effective interest method

2.12 Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to

the issuance of new ordinary shares are deducted against the share capital
account.

2.13 Income taxes

Current income tax for current and prior periods is recognised at the amount
expected to be paid to or recovered from the tax authorities, using the tax rates
and tax laws that have been enacted or substantively enacted by the balance
sheet date. Management periodically evaluates positions taken in tax returns with
respect to situations in which applicable tax regulation is subject to interpretation
and considers whether it is probable that a tax authority will accept an uncertain
tax treatment. The Group measures its tax balances either based on the most
likely amount or the expected value, depending on which method provides a
better prediction of the resolution of the uncertainty.

Deferred income tax is recognised for all temporary differences arising between
the tax bases of assets and liabilities and their carrying amounts in the financial
statements except when the deferred income tax arises from the initial recognition
of an asset or liability that affects neither accounting nor taxable profit or loss at
the time of the transaction.

Deferred income tax is measured at the tax rates that are expected to apply when
the related deferred income tax asset is realised or the deferred income tax
liability is settled, based on tax rates and tax laws that have been enacted or
substantively enacted by the balance sheet date.

Current and deferred income taxes are recognised as income or expenses in

profit or loss, except to the extent that the tax arises from a transaction which is
recognised directly in equity.

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

2. Significant accounting policies (continued)

2.14 Employee compensation

Employee benefits are recognised as an expense, unless the cost qualifies to be

capitalised as an asset.

(a) Defined contribution plans

Defined contribution plans are post-employment benefit plans under which the
Company pays fixed contributions into separate entities such as The Central
Provident Fund on a mandatory, contractual or voluntary basis. The Group has
no further payment obligations once the contributions have been paid.

(b) Employee leave entitlement

Employee entitlements to annual leave are recognised when they accrue to

employees. An accrual is made for the estimated liability for annual leave as a
result of services rendered by employees up to the balance sheet date.

2.15 Cash and cash equivalents

For the purpose of presentation in the consolidated cash flow statement, cash and
cash equivalents include cash at bank and on hand, deposit with financial
institutions which are subject to an insignificant risk of change in value.

3. Critical accounting estimates, assumptions and judgements

Estimates, assumptions and judgements are continually evaluated and are based
on historical experience and other factors, including expectations of future events
that are believed to be reasonable under the circumstances.

Impairment of non-financial assets

Goodwill is tested for impairment annually and whenever there is indication that
the goodwill may be impaired. Intangible assets, plant and equipment and
investments in subsidiaries are tested for impairment whenever there is any
objective evidence or indication that these assets may be impaired.

The recoverable amounts of these assets and, where applicable, cash-generating

units have been determined based on value-in-use calculations.

15
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

4. Revenue

Group
2022 2021
USD USD

Service charges 1,246,794 597,424

5. Other income

Group
2022 2021
USD USD

Interest income 15,699 15,842

Other miscellaneous income 172 -
15,871 15,842

6. Other losses

Group
2022 2021
USD USD

Currency exchange loss 4,930 1,641

7. Employee compensation

Group
2022 2021
USD USD

Wages and salaries 710,155 347,698

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UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

8. Income tax expense

There is no tax charge for the financial year as the Company has no chargeable
income. The tax on the Group’s loss before income tax differs from the theoretical
amount that would arise using the Singapore standard rate of income tax as
follows:

Group
2022 2021
USD USD

Loss before income tax (1,475,354) (286,273)

Tax calculated at tax rate of 17% (250,810) (48,667)

Effects of:
- Income not subject to tax - (123,290)
- Deferred tax asset not recognised 250,810 171,957
Tax charge - -

9. Cash and cash equivalents

Group Company
2022 2021 2022 2021
USD USD USD USD

Cash on hand 9,750 5,963 - -

Cash at bank 2,216,566 1,595,519 1,917,470 1,014,567
Fixed deposits 155,308 580,437 - -
2,381,624 2,181,919 1,917,470 1,014,567

Cash and cash equivalents are denominated in the following currencies:

Group Company
2022 2021 2022 2021
USD USD USD USD

Indian Rupee 464,154 1,167,352 - -

United States Dollar 1,917,470 1,014,567 1,917,470 1,014,567
2,381,624 2,181,919 1,917,470 1,014,567

17
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

10. Other receivables

Group Company
2022 2021 2022 2021
USD USD USD USD

Deposits 21,898 23,803 - -

Advances to supplier and other
advances 134,200 155,364 - -
Prepayments 5,817 2,921 - -
Crypto balance 1,105,786 1,469,808 - -
Locker deposits 660 682 - -
Security deposits 66 -
Income tax refundable 6,188 4,705 - -
GST available ITC 231,819 2,984 - -
Service tax credit - 1,850 - -
Other receivables 28,223 - 28,223 -
1,534,657 1,662,117 28,223 -

Other receivables are denominated in the following currencies:

Group Company
2022 2021 2022 2021
USD USD USD USD

Indian Rupee 1,506,434 1,662,117 - -

United States Dollar 28,223 - 28,223 -
1,534,657 1,662,117 28,223 -

18
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

11. Plant and equipment

Plant and Furniture

machinery and fixtures Total
Group USD USD USD
2022
Cost
Beginning of financial year 335,636 28,216 363,852
Additions 28,216 13,220 41,436
Currency translation differences (10,096) (849) (10,945)
End of financial year 353,756 40,587 394,343

Accumulated depreciation
Beginning of financial year 277,308 10,754 288,062
Depreciation charge 26,451 3,016 29,467
Currency translation differences (8,343) (323) (8,666)
End of financial year 295,416 13,447 308,863

Net book value

End of financial year 58,340 27,140 85,480

Plant and Furniture Total

machinery and fixtures
Group USD USD USD
2021
Cost
Beginning of financial year 315,689 26,681 342,370
Additions 11,871 852 12,723
Currency translation differences 8,076 683 8,759
End of financial year 335,636 28,216 363,852

Accumulated depreciation
Beginning of financial year 240,275 8,594 248,869
Depreciation charge 30,886 1,940 32,826
Currency translation differences 6,147 220 6,367
End of financial year 277,308 10,754 288,062

Net book value

End of financial year 58,328 17,462 75,790

19
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

12. Intangible assets

Group
2022 2021
USD USD

Goodwill (Note (a)) 3,173 4,215

(a) Goodwill arising on consolidation

Group
2022 2021
USD USD
Cost
Beginning of financial year 16,503 16,101
Currency translation differences (485) 402
End of financial year 16,018 16,503

Accumulated impairment
Beginning of financial year 12,288 10,739
Impairment charge 927 1,274
Currency translation differences (370) 275
End of financial year 12,845 12,288

Net book value 3,173 4,215

13. Investment in a subsidiary

Company
2022 2021
USD USD
Equity investments at cost
Beginning of financial year 1,327,765 1,327,765
Additions 1,331,777 -
End of financial year 2,659,542 1,327,765

Country of
Name of Principal incorporation Percentage of equity
subsidiary activities and business held
2022 2021
Unocoin Develop an India 99.99% 99.99%
Technologies online market
Private Limited* platform and
provide
equipment and
services for IT

*audited by S Viswanath

20
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

13. Investment in a subsidiary (continued)

On 5 April 2016, the acquisition was completed and Unocoin Technologies Private
Limited became a subsidiary of the Company. As of such date, the Company held
9,999 ordinary shares at a cash consideration of INR100,500.

14. Borrowings

Group Company
2022 2021 2022 2021
USD USD USD USD

Bank overdrafts (secured) - 428,300 - -

The bank overdrafts are secured by the Group’s fixed deposits and are
denominated in Indian Rupee.

15. Trade and other payables

Group Company
2022 2021 2022 2021
USD USD USD USD

Trade payables 1,333,691 1,889,198 - -

Other payables 149,944 78,705 13,442 21,937
Accruals 70,405 83,999 19,473 18,007
1,554,040 2,051,902 32,915 39,944

Trade and other payables are denominated in the following currencies:

Group Company
2022 2021 2022 2021
USD USD USD USD

Canadian Dollar - 3,973 - 3,973

Indian Rupee 1,521,125 2,011,958 - -
Singapore Dollar 22,915 31,471 22,915 31,471
United States Dollar 10,000 4,500 10,000 4,500
1,554,040 2,051,902 32,915 39,944

21
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

16. Share application money

Group Company
2022 2021 2022 2021
USD USD USD USD

Share application money 1,452,495 2,124,995 1,452,495 2,124,995

The share application money is the amount received from applicants who wish to
purchase its shares.

17. Amount due to shareholders

Group Company
2022 2021 2022 2021
USD USD USD USD

Amount due to shareholders 4,927 4,927 4,927 4,927

The amount due to shareholder (non-trade in nature) is unsecured, interest free

and has no fixed terms of repayment.

18. Share capital

No. of shares Amount

USD
Ordinary Preference Ordinary Preference
shares shares shares shares
Group and Company
2022
Beginning of financial year 190,000 151,549 1,900 1,915,797
Preference E shares issued - 93,962 - 3,176,899
End of financial year 190,000 245,511 1,900 5,092,696

2021
Beginning of financial year 190,000 145,412 1,900 1,772,007
Preference E shares issued - 6,137 - 143,790
End of financial year 190,000 151,549 1,900 1,915,797

Ordinary shares
All issued shares are fully paid. There is no par value for these ordinary shares.

Class A Preference Shares

The Class A Preference Shares are compulsorily convertible to ordinary shares
after 6 years from the date of issue. The Class A Preference Shares have voting
rights. The holders of the Class A Preference Shares are entitled to dividend on
an ‘as-converted basis’ whenever dividends to ordinary shareholders are
declared.

22
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

18. Share capital (continued)

Class A Preference Shares (continued)

Upon the winding up of the Company, the holders of the Class A Preference
Shares shall have the right to repayment of USD 25 per Preference Share, in
priority to all ordinary shares and preference shares of the Company (except
Class B Preference Shares which have a priority of payment) and shall have the
right to participate equally with the holders of the ordinary shares in the surplus
assets of the Company.

Class B Preference Shares

The Class B Preference Shares shall be convertible into ordinary shares at any
time at the option of the Class B Preference Shareholders. The Class B
Preference Shares have voting rights. The holders of the Class B Preference
Shares are entitled to cumulative preferred dividend of 0.001% per annum.

Upon liquidation of the company, each holder of Class B Preference Shares is

entitled to be paid in preference to the holders of all other classes of shares an
amount equal to the greater of (i) such holder’s pro rata proceeds of such
Liquidation Event and (ii) USD 5 per Class B Preference Share plus any accrued
and unpaid dividends.

Class C Preference Shares

The Class C Preference Shares are compulsorily convertible to ordinary shares
after 6 years from the date of issue. The Class C Preference Shares have voting
rights. The holders of the Class C Preference Shares are entitled to dividend on
an ‘as-converted basis’ whenever dividends to ordinary shareholders are
declared.

Upon the winding up of the Company, the holders of the Class C Preference
Shares shall have the right to repayment of USD 3 per Preference Share, in
priority to the holders of the ordinary shares of the Company but after any other
class of preference shares issued by the Company and shall have the right to
participate equally with the holders of the ordinary shares in the surplus assets of
the Company.

Class D Preference Shares

The Class D Preference Shares shall be convertible into ordinary shares at any
time at the option of the Class D Preference Shareholders. The Class D
Preference Shares have voting rights. The holders of the Class D Preference
Shares are entitled to dividend on an ‘as-converted basis’ whenever dividends to
ordinary shareholders are declared.

Upon the winding up of the Company, the holders of the Class D Preference
Shares shall have the right to repayment of USD 0.01 per Preference Share, in
priority to all ordinary shares but after all other classes of preference shares of the
Company. The holders of Class D Preference Shares shall have the right to
participate with the holders of the ordinary shares in the surplus assets of the
Company.

23
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

18. Share capital (continued)

Class E Preference Shares

The Class E Preference Shares shall be convertible into ordinary shares at any
time at the option of the Class E Preference Shareholders. The Class E
Preference Shares have voting rights. The holders of the Class E Preference
Shares are entitled to cumulative preferred dividend of 0.01% per annum.

Upon liquidation of the company, the holders of the Class E Preference shares
shall be entitled to receive the Liquidation Distributions prior to any payments to
the holders of ordinary shares and all other classes of preference shares (Class A,
B, C, and D).

19. Other reserves

Group Company
2022 2021 2022 2021
USD USD USD USD

Currency translation reserve (209,239) (187,249) - -

20. Financial risk management

The Group’s activities expose it to a variety of financial risks: market risk

(including currency risk and interest rate risk), credit risk and liquidity risk. The
Group’s overall risk management strategy seeks to minimise any adverse effects
from the unpredictability of financial instruments such as interest rate swaps to
hedge certain financial risk exposures.

The directors are responsible for setting the objectives and underlying principles
of financial risk management for the Group.

(a) Market risk

(i) Currency risk

The Group’s transactions are denominated primarily in United States

Dollars. There are some exposures in other currencies. Currency risk
arises within entities in the Group when transactions are denominated in
foreign currencies.

The Group does not use derivative financial instruments to protect against
the volatility associated with foreign currencies transactions. The Group
monitors the fluctuation in exchange rates closely to ensure that the
exposure to the risk is minimized.

The Group’s currency exposure based on the information provided to key

management is as follows:-

24
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

20. Financial risk management (continued)

(a) Market risk (continued)

(i) Currency risk (continued)

The Group’s currency exposure based on the information provided to key

management is as follows (continued):-

Group INR SGD Total

At 31 March 2022
Financial assets
Cash and cash equivalents 464,154 - 464,154
Other receivables 1,506,434 - 1,506,434
1,970,588 - 1,970,588

Financial liabilities
Trade and other payables (1,521,125) (22,915) (1,544,040)
(1,521,125) (22,915) (1,544,040)
Net financial assets / (liabilities) 449,463 (22,915) 426,548

Group CAD INR SGD Total

At 31 March 2021
Financial assets
Cash and cash equivalents - 1,167,352 - 1,167,352
Other receivables - 1,662,117 - 1,662,117
- 2,829,469 - 2,829,469

Financial liabilities
Borrowings - (428,300) - (428,300)
Trade and other payables (3,973) (2,011,958) (31,471) (2,047,402)
(3,973) (2,440,258) (31,471) (2,475,702)
Net financial (liabilities) /
assets (3,973) 389,211 (31,471) 353,767

Company SGD Total

At 31 March 2022
Financial liabilities
Trade and other payables (22,915) (22,915)
(22,915) (22,915)
Net financial liabilities (22,915) (22,915)

CAD SGD Total

At 31 March 2021
Financial liabilities
Trade and other payables (3,973) (31,471) (35,444)
(3,973) (31,471) (35,444)
Net financial liabilities (3,973) (31,471) (35,444)

25
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

20. Financial risk management (continued)

(a) Market risk (continued)

(ii) Interest rate risk

The Company has insignificant financial assets or liabilities that are

exposed to interest rate risk.

(b) Credit risk

Credit risk refers to the risk that counterparty will default on its contractual
obligation, resulting in financial loss to the Company.

(i) Risk management

The Company adopts the following policy to mitigate the credit risk.

The Company adopts the policy of dealing only with customers with
appropriate credit history, and obtaining sufficient security where
appropriate to mitigate credit risk. For other financial assets, the Company
adopts the policy of dealing with financial institutions and other
counterparties with high credit ratings.

(ii) Credit rating

The Company uses the following categories of internal credit risk rating for
financial assets which are subject to expected credit losses under the 3
stage general approach.

Category of Definition of category Basis for recognition of

internal credit expected credit losses
rating
Performing Debtors that have a low risk of default 12-month expected credit
and a strong capacity to meet losses
contractual cash flows.
Underperformin Debtors negotiating for new credit Lifetime expected credit
g terms, default in repayment and other losses
relevant indicators that showed debtors’
increased credit risk.
Non-performing Debtors with prolonged default in Lifetime expected credit
repayment and it is becoming probable losses
that the debtor will enter bankruptcy or
other financial reorganisation.
Write-off Debtors with no reasonable expectation Asset is written off
of recovery.

26
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

20. Financial risk management (continued)

(b) Credit risk (continued)

(iii) Impairment of financial assets

The Company’s financial assets, trade receivables, are subject to more

than immaterial credit losses where the expected credit loss model has
been applied.

Given (i) the debtor of the Group is mainly holding company and there was
no history of default in prior years, the directors of the Group considered
the default rate of financial assets is minimal; and (ii) no adverse change in
the business environment is anticipated, management considered that the
expected credit loss rate of their customers is minimal for all ageing bands.
As a result, no additional provision for impairment of trade receivables is
necessary for the year ended 31 March 2022 and 2021.

(c) Liquidity risk

Liquidity risk is the risk that the Group will encounter difficulty in meeting financial
obligations due to shortage of funds. The Group’s exposure to liquidity arises
primarily from the timing of the maturities of financial assets and liabilities.

In the management of liquidity risk, the Group ensures the availability of funding
through advances from its shareholders to finance the Group’s operations.

The Group does not have any significant liquidity risk exposure.

(d) Capital risk

The Group’s objectives when managing capital are to safeguard the Group’s
ability to continue as a going concern and to maintain an optimal capital structure
so as to maximize shareholder value. In order to maintain or achieve optimal
capital structure, the Company may adjust the amount of dividend payment, return
capital to shareholders, issue new shares, obtain new borrowings or sell assets to
reduce borrowings.

There were no changes in the Group’s approach to capital management during

the financial year.

The Group is not subject to externally imposed capital requirements.

(e) Fair value measurement

The fair values of current financial assets and liabilities carried at amortised cost
approximate their carrying amounts.

27
UNOCOIN TECHNOLOGIES PTE. LTD. AND ITS SUBSIDIARY

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 March 2022

20. Financial risk management (continued)

(f) Financial instruments by category

The aggregate carrying amounts of financial assets and liabilities at amortised

cost are as follows:

Group Company
2022 2021 2022 2021
USD USD USD USD

Financial assets at amortised 3,910,464 3,841,115 1,945,693 1,014,567

cost
Financial liabilities at amortised 3,011,462 4,610,124 1,490,337 2,169,866
cost

21. Related party transactions

Other than the information disclosed elsewhere in the financial statements, there
are no other transactions which took place between the Group and the related
parties at terms agreed between the parties.

22. New or revised accounting standards and interpretations

Certain new accounting standards and interpretations have been published that
are not mandatory for 31 March 2022 reporting periods and have not been early
adopted by the Company. These standards are not expected to have a material
impact on the Company in the current or future reporting periods and on
foreseeable future transactions.

23. Authorisation of financial statements

These financial statements were authorised for issue in accordance with a

resolution of the Board of Directors of Unocoin Technologies Pte. Ltd. on 10
November 2022.

28