Finaventure Capital Ltd Management Discussions

Majority of the investments of the Company is in the form of strategic investments in Dr. Datsons Labs Limited and other listed companies .

OPERATIONS OF THE COMPANY:

The main operations of the Company are that of an investment company and majority of the investments of the Company are in the nature of strategic investments in DR. Datsons Labs Limited. The source of income for the Company is in the form of dividends as declared by that company. Because of the successful investment in DR. Datsons Labs Limited., your company will in future look to have strategic investments in listed companies in small caps segment.

HUMAN RESOURCES:

As on 31 March 2014, the Company has 6 employees on its roll, including the Executive Director and others. During the year under review, the organization structure and human resource policies have been put in place.

CONCERNS AND THREATS:

Fluctuations in the securities market and global economic scenario, may pose a risk of devaluation of the investments made by the Company. Only source of income for the Company is dividend, mainly from its investment Companies. The risks and concerns associated with the businesses/operations of these investee companies, which may impact the performance of these companies, could result in variation in dividends declared by these companies.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

The Company has adequate internal control systems to ensure operational efficiency, accuracy and promptness in financial reporting and compliance of various laws and regulations. The internal control system is supported by the internal audit process. An Internal Auditor has been appointed for this purpose. The Audit Committee of the Board reviews the Internal Audit Report and the adequacy and effectiveness of internal controls periodically.

ENVIRONMENT

It is committed to maintain highest standards of Occupational Health, Safety and Environment protection and comply with all applicable Laws & requirements. The Company conducts its business in a manner that is compatible with the environmental and economic needs of the societies in which it operates. In the projects operated by the investee Company, it ensures that the investee company complies with all applicable environmental laws and regulations.

CORPORATE SOCIAL RESPONSIBILITY

The Company is committed to create a positive and lasting social impact by developing successful partnerships built on mutual trust and respect, ultimately raising the standard of living and the stability of the invested companies. The Company makes valuable contribution in many ways: through payment of tax revenues to governments; by investing in education and training and improving employment opportunities for providing medical/sports/agricultural facilities to the local community etc.

CAUTIONARY STATEMENT:

Statements in this Report, particularly those which relate to Management Discussion and Analysis, describing the Companys objectives, projections, estimates and expectations may constitute forward looking statements within the meaning of applicable laws and regulations. Actual results might differ materially from those either expressed or implied.