GMM Pfaudler Ltd. — Annual Report 2021

Jun 21, 2021

June 21, 2021

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GMM/SEC/2021-22/13

To, BSE Limited

Phiroze Jeejeebhoy Towers, 1[st] Floor, Dalal Street, Mumbai – 400 001

NSE Limited

Exchange Plaza, C-1, Block G, Bandra Kurla Complex, Bandra (E) Mumbai – 400 051

Scrip Code: 505255

Symbol: GMMPFAUDLR

Dear Sir/ Ma’am,

Sub.: Submission of half yearly disclosure of Related Party Transactions

Pursuant to Regulation 23(9) of SEBI (Listing Obligation and Disclosure Requirements) (Amendments) Regulations, 2018, please find enclosed herewith disclosure of Related Party Transactions for the half year from October 1, 2020 to March 31, 2021, drawn in accordance with the applicable Accounting Standards.

Kindly take the same on record and acknowledge receipt of the same.

Thanking you,

Yours faithfully,

For GMM PFAUDLER LIMITED

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Mittal Mehta

Company Secretary & Compliance Officer FCS. No. 7848

Encl.: As above

GMM Pfaudler Limited Corporate Office: 902, Lodha Excelus, Commercial Tower 1, New Cuffe Parade, Sewri - Chembur Road, Mumbai-400022. • O: +91 22 6650 3900 Registered Office & Works: Vithal Udyognagar, Anand - Sojitra Road, Karamsad - 388 325 • O: +91 2692 661700 • F: +91 2692 661888 • CIN : L29199GJ1962PLC001171 sales@gmmpfaudler.com • www.gmmpfaudler.com

GMM PFAUDLER LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2021

38 Related Party Disclosures

(I) List of Related parties (a) Parties where control exists: (i) Ultimate Holding Company Pfaudler International s.a.r.l. Upto 31/01/2021 (ii) Holding Company Pfaudler Inc. Upto 31/01/2021 (b) Fellow Subsidiaries Pfaudler GMBH Pfaudler Balfour Ltd. Edlon PSI Inc. Suzhou Pfaudler Glass Lined Equipment Co. Ltd. Glasteel Parts and Services, Inc. United States Pfaudler s.r.l. Pfaudler Limited Pfaudler Rochester,USA Upto 31/01/2021 Pfaudler Process Solution Group U.K. Limited Pfaudler LtdA, Brazil Normag Labournd Prozees Technik GMBH Interseal Dipl. - Ing. Rofl Schmitz GMBH Pfaudler Services Benelux B.V Pfaudler Normag System GMBH Pfaudler Interseal Gmbh (c) Key management personnel Mr. Tarak A. Patel Managing Director Mr. Ashok C. Pillai Chief Operating Officer Mr. Manish Poddar Chief Integration Officer from 21/10/2020 to 19/01/2021 Mr. Manish Poddar Chief Financial Officer w.e.f 20/01/2021 Ms. Mittal Mehta Company Secretary Mr. Jugal Sahu Chief Financial Officer Upto 19/01/2021 (d) Relative of Key management personnel Mr. Ashok J Patel Father of Mr. Tarak A. Patel Mrs. Urmi A. Patel Mother of Mr. Tarak A. Patel Mrs. Uttara G. Gelhaus Sister of Mr. Tarak A. Patel Mrs. Payal T. Patel Wife of Mr. Tarak A. Patel

(e) Enterprises over which key managerial personnel have significant influence Skyline Millars Ltd. Ready Mix Concrete Ltd. Ashok J Patel - HUF A J Patel Charitable Trust JV Patel & Co. Prestige Tefparts Private Ltd Millars Concrete Technologies Private Ltd Solaris Chemtech Industries Ltd

GMM PFAUDLER LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2021

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(II) Transactions with related parties (` in Millions)
Transaction Relative of Key
Key Management Other Related
Holding Company Fellow Subsidiaries Management
Personnel Parties
Personnel
For the Period For the Period For the Period For the Period For the Period
from 01/10/20 to from 01/10/20 to from 01/10/20 to from 01/10/20 to from 01/10/20 to
31/03/21 31/03/21 31/03/21 31/03/21 31/03/21
Purchase of goods - 11.36 - - -
Sale of goods 9.53 192.28 - - 0.41
Services received - - - - 0.21
Services provided 1.91 0.13 - - -
Royalty 14.14 - - - -
Lease Rent paid - - - - 29.51
Remuneration * - - 60.83 5.41 -
Dividend paid 9.55 - 0.87 3.98 2.65
Directors Sitting Fees - - 7.15 - -
Loan Given - - - - -
Commission Payment 1.14 - - - -
Repayment of Loan - 168.76 - - -
Balance outstanding [#]
Payables - - 49.29 - 0.18
Receivables - - - - -
Loan Given - - - - -
Advance Received - - - - 4.49
Advance Given - - - - -
Deposit outstanding - - - - 24.15
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Balance outstanding are exclusive of unrealised foreign exchange gain / (loss)

• Additional remuneration of Rs. 6.08 million is proposed to be paid to the Managing Director for the financial year 2020-21 subject to the approval of shareholders at the ensuing Annual General Meeting (for additional details kindly refer to explanatory note to item no. 8 of the Notice of AGM)

GMM PFAUDLER LIMITED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2021

(III) Significant Related Party Transactions are as under: Nature of transactions Name of Party Purchase of goods Pfaudler GMBH Pfaudler Interseal GmbH Sale of goods Pfaudler Inc. Pfaudler S.r.l Services received Millars Machinery Company Pvt. Ltd. Services provided Pfaudler Inc. Lease rent paid Ready Mix Concrete . Ltd. J V Patel & Co. Royalty Pfaudler Inc. Remuneration paid Mr. Ashok Patel Mr. Tarak A. Patel Mr. Ashok Pillai Mr. Jugal Sahu (upto 20th January 2021) Mr. Manish Poddar (from 21st October 2020) Dividend paid Pfaudler Inc Commission Payment Pfaudler Inc Repayment of loan Pfaudler GMBH Balances outstanding as on March 31, 2021 Deposit outstanding Ready Mix Concrete . Ltd. J V Patel & Co. Key Managerial Personal Payable Mr. Tarak A. Patel Mr. Ashok Pillai Mr. Jugal Sahu Compensation of key managerial personnel

H2 FY 20-21 From 01/10/20 to 31/03/21 1.45 7.41 9.54 19.36 0.20 1.91 14.68 13.77 21.62 5.41 40.27 9.00 3.26 4.90 9.55 1.14 168.76 12.30 11.40 44.30 3.64 0.75

The remuneration of directors and other members of key managerial personnel during the year was as follows:

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Particulars Year ended
31/03/2021
Short-term employee benefits 100.87
Post-employment benefits 2.61
Other long-term benefits 0.12
Total 103.60
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The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of individuals and market trends.

GMM PFAUDLER LIMITED NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31,2021

38 Related Party Disclosures

**38 **	Related Party Disclosures
(I)	List of Related parties
	(a) Parties where control exists:
	(i) Ultimate Holding Company
	Pfaudler International S.a.r.l	Upto 31/01/2021
	(ii) Holding Company
	Pfaudler Inc.	Upto 31/01/2021
	(b) Subsidiary Companies
	GMM International S.a.r.l	w.e.f 20/08/2020
	Mavag AG
	Pfaudler GMBH
	Edlon PSI Inc.
	Suzhou Pfaudler Glass Lined Equipment Co. Ltd.
	Pfaudler s.r.l.
	Pfaudler Limited
	Pfaudler LtdA, Brazil
	Pfaudler Services Benelux B.V
	Pfaudler Normag System GMBH	Subsidiary of GMM International S.a.r.l w.e.f 01/02/2021
	Pfaudler (Changzhou) Process
	Pfaudler Interseal Gmbh
	Glasteel Parts and Services, Inc. United States
	Pfaudler Private Limited Singapore
	Pfaudler S.A. de C.V. Mexico
	Pfaudler France S.à r.l. France
	GMM Pfaudler US Inc. United States
	(c) Fellow Subsidiaries	:
	Pfaudler GMBH
	Pfaudler Balfour Ltd.
	Edlon PSI Inc.
	Suzhou Pfaudler Glass Lined Equipment Co. Ltd.
	Glasteel Parts and Services, Inc. United States
	Pfaudler s.r.l.
	Pfaudler Limited
	Pfaudler Rochester,USA	Upto 31/01/2021
	Pfaudler Process Solution Group U.K. Limited
	Pfaudler LtdA, Brazil
	Normag Labournd Prozees Technik GMBH
	Interseal Dipl. - Ing. Rofl Schmitz GMBH
	Pfaudler Services Benelux B.V
	Pfaudler Normag System GMBH
	Pfaudler Interseal Gmbh
	(d) Key management personnel	:
	Mr. Tarak A. Patel	Managing Director
	Mr. Ashok C. Pillai	Chief Operating Officer
	Mr. Manish Poddar	Chief Integration Officer	from 21/10/2020 to 19/01/2021
	Mr. Manish Poddar	Chief Financial Officer	w.e.f 20/01/2021
	Ms. Mittal Mehta	Company Secretary
	Mr. Jugal Sahu	Chief Financial Officer	Upto 19/01/2021
	(e) Relative of Key management personnel	:
	Mr. Ashok J Patel	Father of Mr. Tarak A. Patel
	Mrs. Urmi A. Patel	Mother of Mr. Tarak A. Patel
	Mrs. Uttara G. Gelhaus	Sister of Mr. Tarak A. Patel
	Mrs. Payal T. Patel	Wife of Mr. Tarak A. Patel
	(f) Enterprises over which key managerial personnel have significant influence
	Skyline Millars Ltd.
	Ready Mix Concrete Ltd.
	Ashok J Patel - HUF
	A J Patel Charitable Trust
	JV Patel & Co.
	Prestige Tefparts Private Ltd
	Millars Concrete Technologies Private Ltd
	Solaris Chemtech Industries Ltd

GMM PFAUDLER LIMITED NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31,2021

(II) Transactions with related p

Transactions with relatedparties
Transaction	Holding Company	Subsidiary Companies	Fellow Subsidiaries	Key Management Personnel	Relative of Key Management Personnel	Other Related Parties
	For the period from 1st Oct 20 to 31st March 21	For the period from 1st Oct 20 to 31st March 21	For the period from 1st Oct 20 to 31st March 21	For the period from 1st Oct 20 to 31st March 21	For the period from 1st Oct 20 to 31st March 21	For the period from 1st Oct 20 to 31st March 21
Royalty Dividend paid Services received Purchase of goods Sale of goods Services provided Lease Rent paid Remuneration * Directors Sitting Fees Investment Made Repayment of Loan	- 11.03 - 1.91 14.14 - - 31.67 - - -	14.99 142.99 1.69 0.20 7.48 - - - - 1,296.62 -	7.44 39.35 - - - - - - - - -	- - - - - - 59.84 0.87 7.15 - -	- - - - - - - 3.98 - - -	- 0.41 0.21 - - 29.51 - 2.65 - - -
Balance outstanding# Deposit outstanding Payables Receivables Advance Received Investment	- - - - -	74.47 57.47 87.63 1,510.52 -	- - - - -	49.29 - - - -	- - - - -	0.18 - 4.49 - 24.15

Balance outstanding are exclusive of unrealised foreign exchange gain / (loss)

• • Additional remuneration of Rs. 6.08 million is proposed to be paid to the Managing Director for the financial year 2020-21 subject to the approval of shareholders at the ensuing Annual General Meeting (for additional details kindly refer to explanatory note to item no. 8 of the Notice of AGM)

GMM PFAUDLER LIMITED

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31,2021 (III) Significant Related Party Transactions are as under:

Nature of transactions Name of Party Purchase of goods Pfaudler GMBH Mavag AG GMM Pfaudler US Inc. United States Pfaudler Interseal Gmbh Oerlikon Textile India Pvt.Ltd Pfaudler Normag System GmbH Sale of goods Mavag AG Pfaudler Inc. Pfaudler S.r.l Services received Pfaudler S.r.l Pfaudler Gmbh Millars Concrete Technologies Private Ltd Mavag AG Pfaudler Inc. Services provided Mavag AG Pfaudler Inc. Suzoh Pfaudler Lease rent paid Ready Mix Concrete . Ltd. J V Patel & Co. Royalty Pfaudler Inc. GMM Pfaudler US Inc. United States Remuneration paid Mr. Tarak A. Patel Mr. Ashok Pillai Mr. Jugal Sahu (upto 20th January 2021) Mr. Manish Poddar (from 21st October 2020) Dividend paid Pfaudler Inc Investment Made GMM International S.a.r.l Balances outstanding as on March 31, 2021 Payables GMM Pfaudler US Inc. United States Pfaudler GMBH Receivables Mavag AG Pfaudler s.r.l Pfaudler Inc Advance Received Against Order Mavag AG GMM Pfaudler US Inc. United States Pfaudler s.r.l Deposit outstanding Ready Mix Concrete . Ltd. J V Patel & Co. Investment GMM International S.a.r.l Mavag Key Managerial Personal Payable Mr. Tarak A. Patel Mr. Ashok Pillai Mr. Jugal Sahu Compensation of key managerial personnel

H2 FY 20-21 From 1st Oct 21 to 31st March 21

7.54 2.86 7.00 4.70 - - 117.38 0.67 23.57 0.52 1.17 0.21 - - 0.20 1.91 - 14.68 13.77 14.14 7.48 39.28 9.00 3.26 4.90 9.55 1,296.62 66.54 1.17 8.36 31.68 - 65.27 17.20 - 12.30 11.40 1,296.62 213.90 44.30 3.64 0.75

The remuneration of directors and other members of key managerial personnel during the year was as follows:

Particulars	Year ended 31.03.2021
Short-term employee benefits Post-employment benefits Other long-term benefits	98.26 2.61 0.12
Total	100.99

The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of individuals and market trends.