Galactico Corporate Services Limited is a Securities Exchange Board of India (SEBI) registered Category I Merchant Banker.
The Company is engaged in Investment Banking and Issue Management Activities whereby the Company provide services to
the Mid-cap, SME and Startup segment in the form of Corporate Restructuring, Main Board and SME Listings on Stock
Exchanges, QIB Placement, Corporate Advisory for Corporate Actions such as Open Offer, Buyback, Delisting,
Amalgamation, Demerger and providing Corporate Valuations or Fairness Opinion. The Company incorporated on June 15,
2015 and have registered office at Nashik.
The functional and presentation currency of the Company is Indian Rupee (“?”) which is the currency of the primary economic
environment in which the Company operates.
Note 2: SIGNIFICANT ACCOUNTING POLICIES:
2.1: STATEMENT OF COMPLIANCE
The financial statements comply in all material aspects with Indian Accounting Standards (Ind AS) notified under Section 133
of the Companies Act, 2013 (the Act) [Companies (Indian Accounting Standards) Rules, 2015] and other relevant provisions
of the Act.
2.2. BASIS OF PREPARATION OF FINANCIAL STATEMENTS
The financial statements have been prepared on the historical cost basis except for certain financial instruments that are
required to be measured at fair value by Ind AS.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between
market participants at the measurement date, regardless of whether that price is directly observable or estimated using another
valuation technique.
In addition, for financial reporting purposes, fair value measurements are categorised into Level 1, 2, or 3 based on the degree
to which the inputs to the fair value measurements are observable and the significance of the inputs to the fair value
measurement in its entirety, which are described as follows:
Ý Level 1: Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can
access at the measurement date;
Ý Level 2: Inputs are inputs, other than quoted prices included within Level 1, that are observable for the asset or
liability, either directly or indirectly; and
Ý Level 3: Inputs are unobservable inputs for the asset or liability.
2.3. USE OF ESTIMATES
The preparation and presentation of financial statements requires the management to make estimates, judgements and
assumptions that affect the amounts of assets and liabilities reported as on the date of financial statements and the reported
amount of revenues and expenses during the reporting period. Accounting estimates could change from period to period. Actual
results could differ from these estimates. Appropriate changes in estimates are made as and when the Management becomes
aware of the changes in the circumstances surrounding the estimates. Changes in estimates are reflected in the financial
statements in the period in which the changes are made and if material, their effects are disclosed in the notes to the financial
statements.
Information about significant areas of estimation, uncertainty, and critical judgements in applying accounting policies that may
have significant impact on the amounts recognized in the financial statements are as below:
Ý Useful lives of property, plant & equipment: The Company reviews the useful life of property, plant and equipment
and intangible assets at the end of each reporting period. This reassessment may result in change in depreciation and
amortisation expense in future periods. The details of the same has been mentioned in below notes to the standalone
financial statements.
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