Siyaram Recycling Industries Ltd Management Discussions

OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS

You should read the following discussion in conjunction with our restated financial statements attached in the chapter titled "Financial Information of the Company" beginning on page 126. You should also read the section titled "Risk Factors" on page 24 and the section titled "Forward Looking Statements" on page 17 of this Draft Red Herring Prospectus, which discusses a number of factors and contingencies that could affect our financial condition and results of operations. The following discussion relates to us, and, unless otherwise stated or the context requires otherwise, is based on our Restated financial Statements.

Our financial statements have been prepared in accordance with Indian GAAP, the Companies Act and the SEBI (ICDR) Regulations and restated as described in the report of our auditor March 23, 2023 which is included in this Draft Red Herring Prospectus under "Financial Statements". The Restated Financial Information has been prepared on a basis that differs in certain material respects from generally accepted accounting principles in other jurisdictions, including US GAAP and IFRS. Our financial year ends on March 31 of each year, and all references to a particular financial year are to the twelve-month period ended March 31 of that year

OVERVIEW

Incorporated in 2007, we are primarily engaged in (i) segregation of brass scrap (ii) manufacturing of brass ingots, billets and brass rods and (iii) manufacturing of brass based components (plumbing and sanitary parts).

Manufacturing of brass based components (plumbing and sanitary parts)- We manufacture various brass components (plumbing and sanitary parts) such as brass inserts, brass ceramic cartridges (brass spindles), brass valves, extension nipples etc. as per the customers requirements, from our two manufacturing units (Unit-I and Unit-II) located at village Lakhabaval, district Jamnagar. Some of the renowned brands which are our customers include Hindware, ROCA, Eauset, Somany, Supreme, AGI Greenpac (formerly known as HSIL) and Ashirvad Pipes. For Fiscal 2022 and 2023, our revenue from brass based components were

? 5,277.44 lakhs and ? 3,550.52 lakhs respectively, which contributed 12.47% and 7.20% respectively of our revenue from operations.

Manufacturing of brass ingots, billets and rods – We manufacture brass ingots, billets and rods through brass scrap from our manufacturing unit-II located at Village Lakhabaval, District Jamnagar. We mainly export these products to China. Additionally, we supply brass ingots to esteemed customers in India such as Astral Limited, Kajaria Bathware and AGI Greenpac (formerly known as HSIL). For Fiscal 2022 and 2023, our revenue from sale of brass ingots, billets and rods were ? 13,337.55 lakhs and ? 19,864.72 respectively, which contributed 31.51% and 40.30% respectively of our revenue from operations.

Segregation of brass scrap – We procure brass scrap mainly from international market such as USA, UK, Europe and Middle East. Post procurement, segregation of brass is done at our unit-III located at Village Lakhabaval, District Jamnagar. Post segregation, the segregated brass is termed as Brass scrap honey. The brass scrap is mainly sold by us in Gujarat. For Fiscal 2022 and 2023, our revenue from sale of brass scrap were ? 23,646.29 lakhs and ? 25,830.18 lakhs respectively, which contributed 55.87% and 52.41% respectively of our revenue from operations.

Brass is an alloy generally made from Copper and Zinc. Copper is a malleable and ductile metallic element that is an excellent conductor of heat and electricity as well as being corrosion resistant and antimicrobial. (Source: https://mines.gov.in/webportal/copper). The ability to conduct electricity and heat are two of the most important properties of copper. When alloyed with other metals, it acquires additional properties including increased hardness, tensile strength and improved corrosion resistance. Brass and Bronze are two of the most important alloys of copper. Copper and brass are the materials of choice for plumbing, taps, valves and fittings for their aesthetic appeals. (Source: https://ibm.gov.in/writereaddata/files/07072014112340marketsurvey_copper.pdf). Owing to its corrosion resistance in varied types of environment, zinc is used for protecting steel by way of galvanising. (Source: https://mines.gov.in/webportal/internationalmineralscenario).

Recycling brass helps to conserve natural resources by reducing the need to mine and extract new metals. Recycling also reduces energy consumption, as it takes less energy to recycle brass than it does to produce new brass. Additionally, recycling brass helps to minimise the environmental impact of mining and processing new metals, as well as reducing waste in landfills. Brass is used in a wide range of applications which include:

• Plumbing fixtures and fittings such as valves, faucets, sanitary and other plumbing components;
• Electrical connectors and terminals such as electrical connectors, terminals, and switches;
• Decorative objects such as sculptures, ornaments and doorknobs; and
• Mechanical components such as gears, bearings, and bushings

We currently operate through 3 facilities, all of which are located in the district of Jamnagar, which is considered as a hub of brass components. We manufacture brass billets & ingots, brass rods and brass components (plumbing parts) from our unit-I situated at

land of 4970 sq. mtrs. and the brass components (sanitary parts) are manufactured from our unit-II situated at land of 3629 sq. mtrs. And, our Unit-III, situated at land of 3346 sq. mtrs. is used for segregation of scrap. As on date of this DRHP, we have an installed capacity to produce 9,900 Mt for manufacturing of brass billets and ingots, 8,250 Mt for manufacturing brass rods and 3,300 Mt for manufacturing of brass components. Our units have requisite testing equipments to ensure that the products conform with the pre- determined standards.

Currently, we market our products to around 18 states & Union Territories in India of which majority portion of the revenue comes from the state of Gujarat. We also export our products to countries such as China, Germany, Belgium and Oman. Our revenue from exports for fiscal 2023 and 2022 was ? 16,235.87 lakhs and ? 11,335.13 lakhs respectively which constituted 32.94% and 26.78% of our revenue from operations for the respective fiscal.

Our existing Promoters, Mr. Ramgopal Ochhavlal Maheshwari and Mr. Bhavesh Ramgopal Maheshwari has more than 34 years and 6 years of experience in the brass industry. We have benefited immensely from the vast experience of our promoters on account of their sound knowledge of the brass market, high contacts with clients and suppliers and better decision-making power.

Key performance indicators of our Company

(? In Lakhs except percentages and ratios)

Key performace indicator	F.Y. 2022-23	F.Y. 2021-22	F.Y. 2020-21
Revenue from operations(1)	49,287.35	42,323.27	13,867.05
EBITDA(2)	1,157.48	513.94	375.97
EBITDA Margin(3)	2.35%	1.21%	2.71%
PAT(4)	765.42	322.47	142.28
PAT Margin(5)	1.55%	0.76%	1.03%
RoE(%)(6)	17.97%	8.68%	8.01%
RoCE (%)(7)	13.42%	10.38%	5.39%

Notes:

(1) Revenue from operation means revenue from sales, service and other operating revenues

(2) EBITDA is calculated as Profit before tax + Depreciation + Interest Expenses - Other Income

(3) EBITDA Margin is calculated as EBITDA divided by Revenue from Operations

(4) PAT is calculated as Profit before tax – Tax Expenses

(5) PAT Margin is calculated as PAT for the period/year divided by revenue from operations.

(6) Return on Equity is ratio of Profit after Tax and Average Shareholder Equity

(7) Return on Capital Employed is calculated as EBIT divided by capital employed, which is defined as shareholders equity plus Long term borrowings and Short term borrowings.

Explanation for KPI metrics

KPI	Explanations
Revenue from Operations	Revenue from Operations is used by our management to track the revenue profile of the business and in turn helps to assess the overall financial performance of our Company and volume of our business
EBITDA	EBITDA provides information regarding the operational efficiency of the business
EBITDA Margin (%)	EBITDA Margin (%) is an indicator of the operational profitability and financial performance of our business
PAT	Profit after tax provides information regarding the overall profitability of the business.
PAT Margin (%)	PAT Margin (%) is an indicator of the overall profitability and financial performance of our business.
RoE(%)	RoE provides how efficiently our Company generates profits from shareholders funds.
RoCE (%)	RoCE provides how efficiently our Company generates earnings from the capital employed in the business.

STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

For details in respect of Statement of Significant Accounting Policies, please refer to "Annexure IV of Restated Financial Statements" beginning on page 126 of this Draft Red Herring Prospectus.

Factors Affecting our Results of Operations

Our business is subjected to various risks and uncertainties, including those discussed in the section titled "Risk Factors" beginning on page 24 of this Draft Red Herring Prospectus. Our results of operations and financial conditions are affected by numerous factors including the following:

1. General economic and business conditions in the markets in which we operate and in the local, regional, national and international economies;
2. Changes in consumer demand;
3. Failure to successfully upgrade our product portfolio, from time to time;
4. Any change in government policies resulting in increases in taxes payable by us;
5. Our ability to retain our key managements persons and other employees;
6. Changes in laws and regulations that apply to the industries in which we operate.
7. Our failure to keep pace with rapid changes in technology;
8. Our ability to grow our business;
9. Our ability to make interest and principal payments on our existing debt obligations and satisfy the other covenants contained in our existing debt agreements;
10. general economic, political and other risks that are out of our control;
11. Inflation, deflation, unanticipated turbulence in interest rates, equity prices or other rates or prices;
12. Companys ability to successfully implement its growth strategy and expansion plans;
13. failure to comply with regulations prescribed by authorities of the jurisdictions in which we operate;
14. inability to successfully obtain registrations in a timely manner or at all;
15. occurrence of Environmental Problems & Uninsured Losses;
16. conflicts of interest with affiliated companies, the promoter group and other related parties;
17. any adverse outcome in the legal proceedings in which we are involved;
18. Concentration of ownership among our Promoter;
19. The performance of the financial markets in India and globally;
20. Global distress due to pandemic, war or by any other reason.

Discussion on Result of Operations

The following discussion on results of operations should be read in conjunction with the Restated Financial Statements for the financial years ended on March 31, 2023, March 31, 2022 and March 31, 2021.

Particulars	March 31, 2023	% of Total Income	March 31, 2022	% of Total Income	March 31, 2021	% of Total Income
Revenue from operations	49,287.35	99.00%	42,323.27	99.25%	13,867.05	99.24%
Other income	498.91	1.00%	321.07	0.75%	105.88	0.76%
Total Income	49,786.27	100.00%	42,644.34	100.00%	13,972.93	100.00%
Expenses
Raw Material Consumption	45,130.06	90.65%	37,024.95	86.82%	11,961.74	85.61%
Change in inventories of finished goods, work in progress and stock in trade	-0.2	0.00%	592.26	1.39%	450.75	3.23%
Employee Benefit Expenses	342.03	0.69%	325.32	0.76%	352.02	2.52%
Finance Costs	442.82	0.89%	245.24	0.58%	153.89	1.10%
Depreciation and Amortisation Expenses	169.07	0.34%	177.68	0.42%	135.74	0.97%
Other Expenses	2,621.92	5.27%	3,829.13	8.98%	723.35	5.18%
Total expenses	48,705.71	97.83%	42,194.59	98.95%	13,777.48	98.60%
Profit/(Loss) Before Exceptional & extraordinary items & Tax	1,080.56	2.17%	449.75	1.05%	195.45	1.40%
Exceptional and Extra-ordinary items	-		-		-
Profit/(Loss) Before Tax	1,080.56	2.17%	449.75	1.05%	195.45	1.40%
Tax Expense:
Tax Expense for Current Year	314.08	0.63%	152.97	0.36%	67.88	0.49%
Less: MAT Credit entitlement	-		(11.40)	-	(22.73)	-
Deferred Tax	1.06	0.00%	(14.30)	(0.03%)	8.02	0.06%
Net Current Tax Expenses	315.14	0.63%	127.28	0.30%	53.17	0.38%
Profit/(Loss) for the Year	765.42	1.54%	322.47	0.76%	142.28	1.02%

Revenue from operations:

Revenue from operations mainly consists of segregation of brass scrap, manufacturing of brass ingots, billets and brass rods and manufacturing of brass based components (plumbing and sanitary parts).

Other Income:

Our other income primarily comprises of discount income, scrap, interest income and other miscellaneous income.

Expenses:

Companys expenses consist of raw material consumption, change in inventories of finished goods, work in progress and stock in trade, Employee benefits expense, Finance costs, Depreciation and amortization and other expenses.

Raw material consumption:

Our Raw Material consumption comprises primarily of brass scrap for manufacturing of brass ingots, billets and brass rods and manufacturing of brass based components (plumbing and sanitary parts).

Change in inventories of finished goods, work in progress and stock in trade:

Our changes in the inventory comprises of changes in the finished goods, work in progress and stock in trade.

Employee benefits expense:

Our employee benefits expense primarily comprises of Salary & Wages, Managerial Remuneration and Staff Welfare Expenses.

Finance Costs:

Our finance cost includes Interest expense and Other Borrowing cost.

Depreciation and Amortization Expenses:

Depreciation includes depreciation on Property, Plant & Equipments etc.

Other Expenses:

Our other expenses includes Manufacturing Expenses such as Job work expenses, Custom duty, Motive Power Expenses etc., also includes Import Expenses such as Clearing & Forwarding (Import), Ocean Freight, THC Charges on Import, Transportation (Import) and includes Export Expenses such as Insurance Expenses (Export), Transportation (Export), Air Freight, Commission/Service Charges. It also includes Administrative and general Expenses such as Insurance Premium, GST Expenses, Rent Expenses, Travelling Expenses, Discount Charges etc.

Comparison of Financial Year 2023 with Financial Year 2022 (Based on Restated Financial Statements)

Total Income:

Total income for the financial year 2022-23 stood at ? 49,786.27 Lakhs whereas in Financial Year 2021-22 the same stood at ?

42,644.34 Lakhs representing significant increase of 16.75%. The main reason of increase in total income was:

1. Increase in revenue from sale of Brass Billets & Ingots from ? 11287.65 lakhs in FY 2021-22 to ? 17,293.14 lakhs in F.Y. 2022-23, representing an increase of 53.20% (y-o-y)
2. Increase in revenue from sale of Brass Rods from ? 2049.90 lakhs in F.Y. 2021-22 to ? 2571.58 lakhs in F.Y. 2022-23, representing an increase of 25.45% (y-o-y)

Revenue from Operations:

Revenue from Operations for the F.Y. 2022- 23 stood at ? 49,287.35 Lakhs whereas in F.Y. 2021-22 the same stood at ? 42,323.27 Lakhs representing an increase of 16.45%. The main reason for increase in revenue from operations were:

1. Increase in revenue from sale of Brass Billets & Ingots from ? 11287.65 lakhs in FY 2021-22 to ? 17,293.14 lakhs in F.Y. 2022-23, representing an increase of 53.20% (y-o-y)
2. Increase in revenue from sale of Brass Rods from ? 2049.90 lakhs in F.Y. 2021-22 to ? 2571.58 lakhs in F.Y. 2022-23, representing an increase of 25.45% (y-o-y)

Other Income:

For F.Y. 2022-23, other income has been increased to ? 498.91 Lakhs as against ? 321.07 Lakhs in the Financial Year 2021-22 representing an increase of 55.39% which is mainly due to increase in income from Duty Drawback and Freight on Sales.

Total Expenses:

For F.Y. 2022-23, total expense has significantly increased to ? 47,750.35 Lakhs from ? 42,194.59 Lakhs in the financial year 2021- 22 representing a significant increase of 13.17%. Such increase was due to increase in the volume of business operations of the Company.

Raw material consumption:

For F.Y. 2022-23, raw material consumption was increased to ? 45,130.06 lakhs from ? 37,024.95 lakhs in the F.Y. 2021-22 representing an increase of 21.89%. Such increase was due to increase in volume of business operations of the Company.

Change in inventories of finished goods, work in progress and stock in trade:

The Change in inventories of finished goods, work in progress and stock in trade for the financial year ended on March 31, 2023 stood at ? (0.20) Lakhs. There is increase in the inventory of finished goods, work in progress and stock in trade for financial year 2022-23 as compared to the financial year 2021-22, due to increase in closing stock of finished goods and stock in trade and decrease in work-in-progress as on March 31, 2023.

Employee benefits expense:

Our Company has incurred employee benefits expenses of ? 342.03 Lakhs during the financial year 2022-23 as compared to ?

325.32 Lakhs in the financial year 2021-22, representing an increase of 5.14%. The said increase is due the increase in salaries and wages.

Finance costs:

Finance costs for the F.Y. 2022-23 has increased to ? 442.82 Lakhs as against ? 245.24 Lakhs during the financial year 2021-22, representing an increase of 80.56%, which is mainly due to the increase in Interest Expenses.

Depreciation and Amortization Expenses:

Depreciation for F.Y. 2022-23 stood at ? 169.07 Lakhs as against ? 177.68 Lakhs during the financial year 2021-22, representing a decrease of 4.85% due to no significant addition in assets in F.Y. 2022-23.

Other Expenses:

For F.Y. 2022-23, other expenses were ? 2621.92 Lakhs as against ? 3,829.13 Lakhs during the financial year 2021-22. The decrease of 31.53% was mainly due to decrease in job work charges and sundry balance written off expenses.

Restated Profit/ (Loss) before tax:

For financial year 2022-23, it has increased to ? 1080.56 Lakhs as compared to ? 449.75 Lakhs in the financial year 2021-22, representing an increase of 140.26% majorly due to:

• Total income of the company has increased from ? 42644.34 lakhs in F.Y. 2021-22 to ? 49786.27 lakhs in F.Y. 2022-23.

• EBITDA margin has increased from 1.21% in F.Y. 2021-22 to 2.35% in F.Y. 2022-23, since the total expenses has not increased in proportion in F.Y. 2022-23 as compared to F.Y. 2021-22.

Restated Profit/ (Loss) after tax:

The Company reported Restated Profit after tax for the financial year 2022-23 at ? 765.42 Lakhs in comparison to ? 322.47 Lakhs in the financial year 2021-22, representing an increase of 137.36% majorly due to:-

• Total income of the company has increased from ? 42644.34 lakhs in F.Y. 2021-22 to ? 49786.27 lakhs in F.Y. 2022-23.

• EBITDA margin has increased from 1.21% in F.Y. 2021-22 to 2.35% in F.Y. 2022-23, since the total expenses has not increased in proportion in F.Y. 2022-23 as compared to F.Y. 2021-22.

Financial Year 2022 Compared to Financial Year 2021 (Based on Restated Financial Statements)

Total Income:

Total income for the financial year 2021-22 stood at ? 42,644.34 Lakhs as compared to ? 13,972.93 Lakhs in Financial Year 2020- 21 representing an increase of 205.19% which was on account of below reasons:

1. Increase in revenue from segregated scrap from ? 5996.96 lakhs in FY 2020-21 to ? 23646.29 lakhs in F.Y. 2021-22, representing an increase of 294.30% (y-o-y).
2. Increase in revenue from sale of Brass rods, billets and Ingot from ? 4007.14 lakhs in F.Y. 2020-21 to ? 13,337.55 Lakhs in F.Y. 2021-22, representing an increase of 232.84% (y-o-y) respectively.

Revenue from Operations:

During the financial year 2021-22 the revenue from operation of our Company increased to ? 42,323.27 Lakhs as against ? 13,867.05 lakhs in the Financial Year 2020-21, representing increase of 205.21% which was on account of below reasons:-

1. Increase in revenue from segregated scrap from ? 5996.96 lakhs in FY 2020-21 to ? 23646.29 lakhs in F.Y. 2021-22, representing an increase of 294.30% (y-o-y).
2. Increase in revenue from sale of Brass rods, billets and Ingot from ? 4007.14 lakhs in F.Y. 2020-21 to ? 13,337.55 Lakhs in F.Y. 2021-22, representing an increase of 232.84% (y-o-y) respectively.

Other Income:

During the F.Y. 2021-22, the other income of our Company increased to ? 321.07 Lakhs as against ? 105.88 lakhs in the Financial Year 2020-21. The increase in the other income was mainly due to currency rate difference and duty drawback received.

Total Expenses:

The Total Expenses for the financial year 2021-22 increased to ? 42,194.59 Lakhs from ? 13,777.48 lakhs in the Financial Year 2020-21 representing increase of 206.26%. Such increase was due to increase in the volume of business operations of the Company.

Raw material consumption:

The Raw material consumption for the financial year 2021-22 stood ? 37,024.95 Lakhs against ? 11,961.74 Lakhs in the Financial Year 2020-21 representing an increase of 209.53%. Such increase was due to increase in business operations of the Company.

Change in inventories of finished goods, work in progress and stock in trade:

The Change in inventories of finished goods, work in progress and stock in trade for financial year 2021-22 has been increase as compared to the financial year 2020-21 of 31.40% was due to decrease in closing stock of finished goods and work in progress as on March 31, 2022.

Employee benefits expense:

Our Company has incurred ? 325.32 Lakhs as Employee benefits expense during the financial year 2021-22 as compared to ? 352.02 Lakhs in the financial year 2020-21 representing a decrease of 7.59%, which was on account of decrease in salary and wages and Gratuity expenses.

Finance costs:

These costs were for the financial Year 2021-22 increase to ? 245.24 Lakhs as against ?153.89 Lakhs during the financial year 2020-21, representing an increase of 59.36% which was due to increase in interest expenses.

Depreciation and Amortization Expenses:

Depreciation for the financial year 2021-22 stood at ? 177.68 Lakhs as against ? 135.74 Lakhs during the financial year 2020-21, representing an increase of 30.90% which was due to significant increase in fixed assets.

Other Expenses:

Our Company has incurred ? 3,829.13 Lakhs during the Financial Year 2021-22 on other expenses as against ? 723.35 Lakhs during the financial year 2020-21 representing increase of 429.36% due to increase in Custom duty, job work expenses, THC charges on import and Transportation charges.

Restated Profit/ (Loss) before tax:

Restated Profit before Tax for the financial year 2021-22 was ? 449.75 Lakhs as compared to Restated Profit before Tax of ? 195.45 Lakhs during the financial year 2020-21, representing an increase of 130.11%

Restated Profit/ (Loss) after tax:

The Restated Profit after tax for the financial year 2021-22 was ? 322.47 Lakhs as compared to Restated Profit after Tax of ? 142.28 lakhs during the financial year 2020-21, representing an increase of 126.65% on account of below reasons:

• Total income of the company has increased to ? 42,644.34 lakhs in F.Y. 2021-22 from ? 13,972.93 lakhs in F.Y. 2020-21.

Information required as per Item (II) (C) (iv) of Part A of Schedule VI to the SEBI Regulations:

An analysis of reasons for the changes in significant items of income and expenditure is given hereunder:

1. Unusual or infrequent events or transactions

There has not been any unusual trend on account of our business activity. Except as disclosed in this Draft Red Herring Prospectus, there are no unusual or infrequent events or transactions in our Company.

2. Significant economic changes that materially affected or are likely to affect income from continuing operations.

There are no significant economic changes that may materially affect or likely to affect income from continuing operations.

3. Known trends or uncertainties that have had or are expected to have a material adverse impact on sales, revenue or income from continuing operations.

Apart from the risks as disclosed under Section "Risk Factors" beginning on page 108 of the Draft Red Herring Prospectus, in our opinion there are no other known trends or uncertainties that have had or are expected to have a material adverse impact on revenue or income from continuing operations.

4. Future changes in relationship between costs and revenues

Other than as described in the sections "Risk Factors", "Our Business" and "Managements Discussion and Analysis of Financial Condition and Results of Operations" on pages 24, 86 and 164 respectively, to our knowledge, no future relationship between expenditure and income is expected to have a material adverse impact on our operations and finances.

5. Total turnover of each major industry segment in which our Company operates

Our business activity primarily falls within a single business and geographical segment, i.e., is engaged in the business of event management services, wedding planning services and adventure tourism, as disclosed in "Restated Financial Statements" on page 126 of this Draft Red Herring Prospectus, we do not follow any other segment reporting.

6. Status of any publicly announced New Products or Business Segment

Except as disclosed in the Chapter "Our Business" on page 86 of this Draft Red Herring Prospectus, our Company has not announced any new product or service.

7. Seasonality of business

Our business is not subject to seasonality. For further information, see "Industry Overview" and "Our Business" on pages 78 and 86 of this Draft Red Herring Prospectus, respectively.

8. Dependence on single or few customers

The substantial portion of our revenues has been dependent upon few customers. For instance, our top ten customers for the F.Y. ended March 31, 2023 and March 31, 2022 accounted for 48.70% and 42.01% of our revenue from operations for the respective year. Our reliance on a limited number of customers for our business exposes us to risks, that may include, but are not limited to, reductions, delays or cancellation of orders from our significant customers, a failure to negotiate favourable terms with our key customers or the loss of these customers, all of which would have a material adverse effect on the business, financial condition, results of operations, cash flows and future prospects of our Company. For further details, refer Risk Factor "Substantial portion of our revenues has been dependent upon few customers, with which we do not have any firm commitments. The loss of any one or more of our major customer would have a material adverse effect on our business, cash flows, results of operations and financial condition" on page 24 of this Draft Red Herring Prospectus.

9. Competitive conditions

Competitive conditions are as described under the Chapters "Industry Overview" and "Our Business" beginning on pages 78 and 86 respectively of this Draft Red Herring Prospectus.

10. Details of material developments after the date of last balance sheet i.e. March 31, 2023

After the date of last Balance sheet i.e., March 31, 2023, the following material events have occurred after the last audited period

1. The Authorized Share Capital of the Company was increased from ? 14,00,00,000/- divided into 1,40,00,000 Equity Shares of ? 10/- each to ? 20,00,00,000 divided into 2,00,00,000 vide Extra Ordinary General Meeting held on July 24, 2023.
2. A special resolution was passed by the shareholders at the Extra Ordinary General Meeting held on July 24, 2023 for change of name of the Company from "Siyaram Impex Private Limited" to "Siyaram Recycling Industries Private Limited" and a fresh certificate of incorporation pursuant to change of name was issued by the Registrar of Companies, Ahmedabad vide its letter dated July 27, 2023.
3. A special resolution passed by the shareholders at the Extra Ordinary General Meeting held on August 05, 2023, the status of our Company was changed from Private Limited Company to Public Limited Company consequent the name of the company was changed from "Siyaram Recycling Industries Private Limited" to "Siyaram Recycling Industries Limited" and a Certificate of Incorporation Consequent upon conversion to public company was issued by the Registrar of Companies, Ahemdabad dated August 24, 2023.
4. We have passed a Resolution in the meeting of Board of Directors dated August 25, 2023 authorizing the Board of Directors to raise funds by making an Initial Public Offering.
5. We have passed a special resolution in the Extra-ordinary General meeting dated August 25, 2023 authorizing the Board of Directors to raise funds by making an Initial Public Offering.
6. Our company has approved the restated audited financial statements for the financial year ending March 31, 2023, March 31, 2022, and March 31, 2021 in the Board meeting dated September 12, 2023
7. Our Company has approved the Draft Red Herring Prospectus vide resolution in the Board Meeting dated September 23, 2023

CAPITALISATION STATEMENT

(? in Lakhs)

Particulars	Pre-Issue	Post-Issue
Borrowings
Short term debt (A)	6,004.14	6,004.14
Long Term Debt (B)	702.81	702.81
Total debts (C)	6,706.95	6,706.95
Shareholders funds
Equity share capital	1,380.55	*
Reserve and surplus - as restated	3,261.57	*
Total shareholders funds	4,642.12	*
Long term debt/ shareholders funds (in ?)	0.15	*
Total debt/ shareholders funds (in ?)	1.44	*

(*) The corresponding post issue figures are not determinable at this stage pending the completion of public issue and hence have not been furnished.

Notes:

4. Short term Debts represent which are expected to be paid/payable within 12 months.
5. Long term Debts represent debts other than Short term Debts as defined above but excludes installment of term loans repayable within 12 months grouped under other current liabilities.
6. The figures disclosed above are based on restated statement of Assets and Liabilities of the Company as at 31.03.2023