Vakrangee Limited — Capital/Financing Update 2021

Jun 19, 2021

Vakrangee Limited "Vakrangee Corpora te House". Pl ot No. 93. Road No. 16. MI.O C. Maral. Andheri (East). Mumbai 400093, Maharashtra Vakrangee W wwwvakrangeei n I L: +91 22 28 ^{5034 12} / +9 ^{12267765 100} c:rmm~ F +91222850 20 17 1 CIN • L65990MH1 990PLC056669

June 19, 2021

To,

Department of Corporate Relationship	Corporate Relationship Department
BSE Ltd.	National Stock Exchange of India Ltd.
Phiroze Jeejeebhoy Towers ,	Exchange Plaza, Bandra Kurla Complex,
Dalal Street, Fort,	Bandra (East), Mumbai - 400 051
Mumbai ·400001

Sub.: Outcome of the meeting of the Board of Directors of Vakrangee Limited held on June 19, 2021 and disclosure under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations 2015, as amended ("SEBI LODR Regulations").

Dear Sirs/Madam,

Pursuant to Regulation 30 of the SEBI (LODR) Regulations, 2015, we hereby inform that based on the recommendation of the Audit Committee and the Committee of Independent Directors, the Board of Directors of the Company at its meeting held today, i.e. June 19, 2021 has inter-alia, considered and approved to restructure the business of the Demerged Company by way of a Scheme of Arrangement for Demerger ("Scheme") whereby the Digital division (Demerged Undertaking) of Vakrangee Limited ("Demerged Company") will be demerged into the Vakrangee Digital Ventures Limited ("Resulting Company") as a going concern basis with effect from the Appointed Date.

The transaction is proposed through a Scheme of Arrangement for Demerger under Section 230-232 read with Section 52 ,66 and other applicable provisions of the Companies Act, 2013.

The sa id Scheme would be subject to requisite approvals of the National Company Law Tribunal, BSE Limited, National Stock Exchange of India Limited, Securities and Exchange Board of India and other statutory / regulatory authorities, including those from the shareholders and/or creditors of the Demerged Company.

The information pursuant to Regulation 30 of the Listing Regulations read with SEBI Circular No. CIR/CFD/CMD/4/2015 dated September 09, 2015 is enclosed herewith as Annexure I.

We are also enclosing herewith a detailed Demerger Rationale of our Digital Business - Bharat Easy Super App for the information of the stakeholders as Annexure B.

Thanking you,

Yours faithfully,

For Vakrangee Limited

~d *, fY* . 'Bk.00~

Jay Bha nsa Ii Company Secretary (Mem. No.: A48251) Encl.: A/a

Annexure I

Disclosure of information pursuant to Regulation 30 of SEBllODR Regulations with SEBI Circular No. CIR/CFD/CMD/4/2015 dated 9th September, 2015.

Sr. No	Particular.	Detail.
1	Brief details of the dlvlslon(s) to be demerged;	The Demerged Company Is, Inter alia, engaged In the business of Physical Vakrangee Kendras and Digital division through its Bharat Easy Super App.
		The Demerged Company would demerge its
		Digital Division (hereinafter referred to as the
		"Demerged Undertaking") including all its assets, investments, liabilities, rights, benefits, interests and obligations (as specifically set out in the
		Scheme). to the Resulting Company and it would
		continue to run and operate the Digital Division.
2	Turnover of the demerged division and as percentage to the total turnover of the listed entity in the immediately preceding financial year/ based on financials of the last financial year.	Not Applicable.
3	Rationale for demerger	The significant rationale for demerger is enclosed as Annexure A.
4	Brief details of chan,e In shareholdln, patt.ern (If any) of all entities;	In terms of the Scheme, the Resulting Company to will Issue and allot equity shares the shareholders of the Demerged Company on the basis of share entitlement ratio. The shares will be issued by the Resulting Company in the same proportion in which the shareholders hold the shares in the Demerged Company, subject to receipt of regulatory approvals . The overall economic interest of the equity shareholders of the Demerged Company shall remain the same in both the Companies. post Scheme The shareholding pattern of Demerged Company and resulting company will be as follows: Demerged Company No. of Equity Category %
		Shares
		45,13,53,165 42.60 Promoter
		Public 60,80,52,475 57.40
		Total 1,05,94,05,640 100.00
		R••ultlnlll Company
		No. of Equity Category % Shares
		45,13,53,165 42.60 Promoter
		57.40 Public
		100.00

5	In case of cash consideration - Amount or	No cash consideration is payable under the
	otherwise share exchange ratio;	Scheme. The Resulting Company will issue equity
		shares to the shareholders of the Demerged
		Company as under:
		Upon this scheme coming into effect, in
		consideration of the transfer of the Demerged
		Undertaking by the Demerged Company to the
		Resulting Company, in terms of this scheme, the
		Resulting Company shall, without any further act
		or deed, issue and allot to every member of the
		Demerged Company holding fully paid up equity
		shares in the Demerged Company and whose
		names appear in the Register of Members of the
		Demerged Company on the record date in respect
		of every One (1) Equity Shares of the face value of
		Re.1/- each fully paid up held by him / her / it in the
		Demerged Company, One (1) new Equity share of
		the Resulting Company of the face value of Re. 1/­
		each fully paid up.
6	Whether listing would be sought for the	will The Resulting Company make an Yes,
	resulting entity.	application with BSE Ltd and National Stock
		Exchange of India Limited for listing of its equity
		shares in compliance with SEBI Circular No
		SEBI/HO/CFD/DILl/CIR/P/2020/249 dated
		December 22, 2020 and relevant regulations
		thereof.

Annexure A

Significant rationale for the Demerger is as under:

The Demerged Company currently has business interest in diverse businesses. The Company offer an extensive array of services across various sectors by providing BFSI, ATM, Assisted E-Commerce, Telemedicine, Online Pharmacy & Logistics Services. Vakrangee has emerged as a well-diversified distribution platform offering various goods and services under one roof to citizens at affordable prices Vakrangee has emerged as one of the largest financial inclusion player (Banking business correspondent) in the country and has also emerged the third largest ATM operator in Rural India. Vakrangee has developed Strong on-ground execution skills with deep rural presence. Vakrangee currently has 11,700+ operational Exclusive Branded outlets and is well placed to achieve its March-2022 target of 25,000 operational outlets across the country. Vakrangee's growth plan is well defined with a long term target of 75,000 kendra outlets by 2025 and to emerge as the Largest Rural Distribution platform in India.

The Demerged Company is also providing online digital platform to enable seamless services for the consumer at the comfort of their homes. Through thiS, company has evolved into the unique 020 (Online to Offline) platform, whereby there is Assistance available through the Physical Kendra network along with Digital Online Services. It has also Initiated Unique Hybrid proposition with launch of first Digital service of Telemedicine services The company plans to make many more services live through this platform. The Company is also launching a Mobile Super App based business platform.

The Company would be providing various services digitally through its Mobile Super app platform such as :

• Online Shopping
• Total Healthcare services (Doctor consultation, Home Blood Test facility, Covid Care packages)
• Online Pharmacy
• Money Transfer
• Insurance
• Loan products / Financial products
• Mutual funds / Credit Cards
• All type of Bill payments
• Mobile / DTH recharges
• Travel services (Bus / Train / Flights / Hotel Bookings)
• Movie Tickets / Entertainment
• Online Education
• Online Agri Products Seeds &Pesticides
• Courier Booking

Sustainable Competitive Advantage

Over the years, Vakrangee has built a pan India level offline presence with a strong brand in Rural India. The Company has built a strong platform with wide array of services and products. Online app is a channel to reach customers more efficiently.

o It is being developed as a super app platform various consumer products and services under one umbrella. Consumers would use it every day because our app would offer a multi-service, contextualized and efficient

a A unique differentiator and a Sustainable Competitive advantage is whereby our Digital Super App platform would be able to the On-Ground - a vast well.

oDiversified pan India level physical store network of Vakrangee as pOint of Physical Assistance especially to consumers to Semi Urban and rural remote locations.

o This Unique Proposition of Digital along with Physical: "Phygital" would help the Digital channel to scale up fast and would significantly reduce the costs related to acquiring customers, fulfilling and Return management of online orders. Further, leveraging physical presence would result into better customer Brand recall and better service and Trust for the customers.

o Also unique business cases would be feasible. Examples include the consumer can return the online products at the nearest physical store, drop/coilect the courier parcel, understand / grievance mechanism for the service in person at the store level.

Access to Customer Base & brand Recall of the Parent Company: Vakrangee has built a strong brand recall especially in Rural India as the company is one of the leading Financial inclusion player as well as third ATM operator in Rural India. The mobile app would significantly benefit from the Strong Vakrangee r",n,T:><,'" Brand especially in Rural India, thereby the Digital channel would scale up fast and would significantly benefit in terms ofCustomer acquisition costs

In view of benefits and looking at synergy in operations of businesses of both the Companies, cost and other benefits, it is now considered expedient to demerge the Physical Vakrangee Kendra Outlets and Digital (Online) division (Demerged undertaking) of Limited (Demerged Company) and merge the same into Vakrangee Digital Ventures Limited, the Company.

The transfer and of the Demerged Undertaking of the Demerged Company to the Resulting Company through this Scheme is with a view to unlock the economic value of both the diviSions.

The Demerger of Demerged Undertaking and vesting of the same with Resulting Company would enable the Resulting Company to enhance Operational efficiencies, ensuring synergies through pooling of the financial, managerial, personnel skills and and the management is of the view that of the Undertaking would lead to the following benefits;

a. The is likely to enable the business and activities comprised in the undertaking and remaining business and activities of VL to be pursued and carried on with focus and attention through two separate companies each having its own administrative set up. Independent management of each of the undertakings will ensure required depth and focus on each of the businesses and adoption of necessary for the growth of businesses. The structure to the management in decisions regarding the use of their respective cash flows for dividends, capital expenditure or other reinvestment in their business.

• b. The focus is on enhancing strategic flexibility to build a viable platform solely focusing on each of these businesses (Physical as well as Digital).
• c. The Demerger will enable both the Companies to enhance business operations by streamlining operations more efficient management control and outlining independent growth strategies.
• d. Enable dedicated management focus, resources and skill set allocation to each business, which will in turn accE'lerate growth and unlock value for the shareholders.
• e. Each undertaking will be able to target and attract new customers corresponding to their own business.
• f. The segregation of the business of Physical Vakrangee Kendra Outlets and Digital Vakrangee Kendra (Online based business) would enable focused management to explore the potential business opportunities more effectively and efficiently. This would also set the platform for "value discovery" of the digital business at a later stage with the ultimate objective of maximising shareholder returns.
• g. The demerger will unlock value of both business and result in shareholder value maximization.
• h. Pursuant to the scheme, the equity shares issued by the Resulting Company would be listed on BSE and NSE and will unlock the value of the PhYSical Vakrangee Kendra Outlets and Digital (Online) division for the shareholders of the Demerged Company. Further the existing Shareholders of the Demerged Company would hold the shares oftwo listed entities after the scheme becoming effective; giving them flexibility in managing their investments in the two businesses having differential dynamics.
• i. The Scheme shall be in the beneficial interest of the shareholders of the companies. The Scheme shall not be in any manner prejudicial to the interest of the concerned members, creditors, employees or general public at large.

In view of the above-mentioned reasons, it is considered desirable and expedient to demerge the Demerged Undertaking of the Demerged Company and vest the same with the Resulting Company.

The Scheme is in the interest of all shareholders and creditors and there is no likelihood that any shareholder or creditor of either Demerged Company or Resulting Company would be prejudiced as a result of this Scheme of Arrangement.

Annexure B

VAKRANGEE LIMITED

DEMERGER RATIONALE

Digital Business - BharatEasy Mobile Super App

1. Rationale of the Scheme:

• Vakrangee is a technology-driven company focussed around building India's largest network of last-mile physical retail outlets to deliver services to the unserved and the underserved rural, semi-urban and urban population of the country. The Assisted Digital Convenience stores are called as Nextgen Vakrangee Kendras, which act as the 'One Stop Shop' for availing multiple products and services. The Company offer an extensive array of services across various sectors by providing BFSI, ATM, Assisted E-Commerce, Telemedicine, Online Pharmacy & Logistics Services. Vakrangee has emerged as a well-diversified distribution platform offering various goods and services under one roof to citizens at affordable prices, same time and same quality.
• Vakrang•• hal .m.rsed al on. of the larsest financial Inclusion player (Banklna business correspondent) In the country and has also emerged the third largest ATM operator in Rural India. Vakrangee has developed Strong on-ground execution skills with deep rural presence . Vakrangee currently has 11,700+ operational Exclusive Branded outlets and is well placed to achieve its March-2022 target of 25,000 operational outlets across the country. Vakrangee's growth plan is well defined with a long term target of 75,000 kendra outlets by 2025 and to emerge as the Largest Rural Distribution platform in India.

Sr. No.	P.rtlculan	Count
	Total Throughput - Vakrangee Platform ­	Rs. 303.7 Billion
1	FY2020 (Gross Transaction Value)	(US\$4.16 BN)
2	Number of transactions - FY2020	96.8 Million
	Total Throughput - Vakrangee Platform ­	Rs. 376.1 Billion
3	FY2021 (Gross Transaction Value)	(US\$5.15 BN)
4	Number of transactions - FY2021	126.8 Million
	No of Customers Acquired over Last 5	~30 million
5	Years
6	No of Vakrangee Kendra Outlets - FY21	11,730
7	No of Vakrangee Kendra Outlets - FY22 Est	25,000

• Vakrangee Key Parameters:

• Vakranlee has recently launched an online digital platform to enable seamless lervlces for the consumer at the comfort of their hamel. Throulh thll, company hal evolved into the unique 020 (Online to Offline) platform, whereby there is Assistance available through the Physical Kendra network along with Digital Online Services The company has Initiated this Unique Hybrid proposition with launch of first Digital service of Telemedicine services The company plans to make many more

services live through this platform. The Company is also launching a Mobile Super App based business platform.

• The Company would be providing various services digitally through its Mobile app platform as :
• o Online Shopping
• o Total Healthcare services (Doctor consultation, Home Blood Test facility, Covid Care packages)
• o Online Pharmacy
• o Money
• o Insurance
• o Loan products / Financial products
• o Mutual funds I Credit Cards
• o All type of Bill payments
• o Mobile I DTH recharges
• o Travel services (Bus I Train I I Hotel Bookings)
• o Movie Tickets / Entertainment
• o Online Education
• o Online Agri Products Seeds &Pesticides
• o Courier Booking

• Our Sustainable Competitive Advantage (Key USPs) : (Detailed explanation in Competitive Strength Section)

• o Over the years, Vakrangee has built a pan India level offline presence with a brand in Rural India. Company has built a strong platform with wide array of services and products. Online Super app is a channel to reach customers more
• o It is being developed as a super app platform whereby offering various consumer products and services under one umbrella. Consumers would use it every day because our app would offer a seamless, multi-service, integrated, contextualized and efficient experience.
• o A unique differentiator and a Sustainable Competitive advantage is whereby our Digital Super App platform would be able to leverage the Vakrangee On-Ground Eco-system a vast well diverSified pan India level physical store network of Vakrangee as pOint of Assistance especially to consumers to Semi Urban and rural remote locations.
• o This Unique Proposition of Digital with Physical: "Phygital" would help the Digital channel to scale up fast and would significantly reduce costs related to acquiring customers, fulfiliinS and Return management of online orders. Further, leveraging physical presence would result into better customer interaction, Brand recall service and Trust for customers.

o Also unique business cases would be feasible. Examples include the consumer can return the online purchased products at the n~arest physical store, drop/collect the courier parcel, understand / grievance mechanism for the service in person at the store level.

• Proposal for Segregation of the Business

• o We believe that both the businesses require greater attention and possess hlah arowth potential, due to which the Company has decided for the segregation of the business.
• o The focus is on enhancing strategic flexibility to build a viable platform solely focusing on each of these businesses (Physical as well as Digital).
• o Th" Demeraer will "nable both the Companies to enhance business operations by streamlining operations more efficient management control and outlinina independent arowth strateaies.
• o Enable dedicated management focus, resources and skill set allocation to each business, which will in turn accelerate growth and unlock value for the shareholders.
• o Each undertaking will be able to target and attract new customers corresponding to their own business.
• The segregation of the two business i.e. Physical Vakrangee Kendra Outlets and Digital Vakrangee Kendra (Online based business) would enable focused management to explore the potential business opportunities more effectively and efficiently. This would also set the platform for "value discovery" of the digital business at a later stage with the ultimate objective of maximising shareholder returns.
• The demerger will unlock value of both business and result in shareholder value maximization.
• Pursuant to the scheme, the equity shares issued by the Resulting Company would be listed on SSE and NSE and will unlock the value of the PhYSical Vakrangee Kendra Outlets and Digital (Online) division for the shareholders of the Demerged Company. Further the existing Shareholders of the Demerged Company would hold the shares of two listed entities after the scheme becoming effective; giving them flexibility in managing their investments in the two busine~ses having differential dynamics.

The Scheme shall be in the beneficial interest of the shareholders of the companies. The Scheme shall not be in any manner prejudicial to the interest of the concerned members, creditors, employees or general public at large.

Our Business Model: Digital BharatEaasy Super App

• is a company around building India's largest network of last-mile physical retail outlets to deliver services to the unserved and the underserved rural, semi-urban and urban population of the country. The Assisted Digital Convenience stores are called as Nextgen Vakrangee Kendras, which act as the 'One Stop Shop' for multiple and services. The Company an extensive array of services across various sectors by providing BFSI, ATM, Assisted Online Pharmacy & Services. has as a well-diversified distribution platform offering various and services under one roof to citizens at affordable prices, same time and same quality.
• has recently an online digital platform to enable seamless services for the consumer at the comfort of their homes. Through company has evolved into the unique 020 (Online to Offline) platform, there is Assistance available through the Physical Kendra network with Online Services The company has Initiated this Unique Hybrid proposition with launch of first Digital service of Telemedicine services The company plans to make many more existing Vakrangee services live through this platform. The Company is launching a Mobile Super App based business platform.
• The Company would be providing various services digitally through its Mobile app platform such as :
• o Online Shopping
• o Total Healthcare services (Doctor consultation, Home Blood Test facility, Covid Care packages)
• o Online Pharmacy
• o Money Transfer
• o Insurance
• o Loan products / Financial products
• o Mutual funds I Credit Cards
• o All type of Bill payments
• o Mobile 10TH recharges
• o Travel services (Bus I Train I Flights I Hotel Bookings)
• o Movie I Entertainment
• o Online Education
• o Online Agri Products Seeds & Pesticides
• o Courier Booking

1. Our Mobile Super App : Our Competitive Strengths

• AII-in-one platform for all Customer needs

• o By downloading a single Vakrangee's BharatEasy Super App mobile application, our customers get access to a wide array of Products and Services which would significantly reduce their requirement to switch between multiple apps. This would lead to superior customer experience and convenience for the customer.
• o The Mobile super app platform would be offering various consumer products and services under one umbrella. Consumers would use it every day because our app would offer a seamless, multi-service, integrated, contextualized and efficient experience.
• o The Company would be providing various services digitally through its Mobile app platform such as :
• Online Shopping
• Total Healthcare services (Doctor consultation, Home Blood Test facility, Covid Care packages)
• Online Pharmacy
• Money Transfer
• Insurance
• loan products / Financial products
• Mutual funds / Credit Cards
• All type of Bill payments
• Mobile / DTH recharges
• Travel services (Bus / Train / Flights / Hotel Bookings)
• Movie Tickets / Entertainment
• Online Education
• Online Agri Products Seeds & Pesticides
• Courier Booking
• Widespread Pan India Physical Network with Strong Presence in Rural India
• o Over the years, Vakrangee has built a pan India level offline presence with a strong brand in Rural India. Vakrangee currently has a Pan India network of more than 11,700+ physical outlets across 28 States/UTs, 510 districts and 4580+ postal codes. 70% of these outlets are spread across Tier 5 and 6 locations.
• o No other App Players have any setup of Physical network of stores especially in Rural locations or underserved parts of the country.

• Unique Proposition of Digital along with Physical: "Phygital"

• o A unique differentiator and a Sustainable Competitive advantage is whereby our Digital Super App platform would be able to leverage the Vakrangee On-Ground Eco-system - a vast well diversified pan India level store network of Vakrangee as point of Physical Assistance especially to consumers to Semi Urban and rural remote locations.
• o This Unique Proposition of Digital along with Physical: "Phygital" would help the Digital channel to scale up fast and would significantly reduce the costs related to acquiring customers, fulfilling and Return management of online orders. Further, leveraging physical presence would result into better customer interaction, strong Brand recall and better service experience and Trust for the customers.
• o Customers will have several unique advantages over the standard benchmarks apps as detailed below
• Store Pick Up Facility Feature:
  • Customers will have the option to select a nearby physical Vakrangee Kendra outlet whereby he/she can pick up the online placed order.
  • Instead of delivering a package to your home or business address, Customer can have his/her order delivered to an nearby Vakrangee kendra Store. Then, customer can collect it at a time that suits him/her.

• While selecting a delivery address for the order, Customers will have the feature in the Mobile App to search for a nearby Vakrangee Kendra Store and select it as your delivery address.
• Pay at store Feature:
• Customers can place order on the Mobile App and will have the option to pay at nearby physical Vakrangee Kendra store
• Easy Order Return Management:
• Customers will have the option to return the product either through home pick-up or through return at a nearby Physical Kendra store.
• This is significantly important for Urban unserved locations such as Slum areas or Rural unserved or underserved locations where there is Location Address challenges, also Customers especially in Rural locations have more comfort and trust if they have the option to physically return the product at a nearby store. This is a huge competitive advantage as compared other Apps in the same space.

• Strong Technology Expertise: Technology and product-first approach to business

• o Vakrangee has over two decades of System Integration Capabilities and built strong Technology expertise. We have built an advanced technology platform that allows us to offer services through systematic real-time integration with our partner systems. We have also successfully Implemented Interoperable banking - Integration with the Core Banking servers of the Banks.
• o We are a technology first organization leveraging artificial intelligence, machine learning and deep data science to continuously drive innovations on our platform for our community of customers and service partners.
• o Our Product / Services offering are highly customized, personalized, intuitive, simple to use, visually appealing and are designed to drive high engagement with our customers.
• o We also have a qualified team of in-house professionals to provide anytime technical assistance to our entire Eco-system including the Mobile Super App.
• Vakrangee is a strong consumer brand recognized across the length and breadth of India
• o Vakrangee has built a strong brand recall especially in Rural India as the company is one of the leading Financial inclusion player as well as third Largest ATM operator in Rural India.
• o The BharatEasy mobile Super app would significantly benefit from the Strong Vakrangee Parentage Brand especially in Rural India, thereby the Digital

channel would scale up fast and would significantly benefit in terms of Customer acquisition costs.

• Mobile App to Leverage the Existing Vakrangee Eco-System

• o Over the years, Vakrangee has built a pan India level offline presence with a strong brand in Rural India. The Company has built a strong platform with wide array of services and products. Online Super app is a channel to reach customers more efficiently.
• o The Mobile super app platform would be offering various consumer products and services under one umbrella. Consumers would use it every day because our app would offer a seamless, multi-service, integrated, contextualized and efficient experience.
• o All the Product & Service Partnerships and Relationships Built by the Parent Company Vakrangee Limited over the last many years, the Mobile App would have direct access to them from Day l.
• o Further the technology Integration and API integration for all these various services has already been done and thereby saves a lot of costs as well Time to Market for the Digital Mobile App venture.

• Unique Rural Focused Loyalty Program for transition to Mobile Super App

• o Company has launched India's first Rural focussed Vakrangee Kendra loyalty program to recognize its customers loyalty by providing them extra benefits and a more rewarding & better experience across its network of Nextgen Vakrangee Kendras as well as special offers and reward benefits which can also be realized on BharatEasy Mobile Super App thereby resulting into enhanced customer transition to the Mobile app.
• o The reward program aims to be one of the India's largest rural focussed loyalty programs with a clear focus on the untapped and underserved Rural customer base. The program is more personal and relevant to customer by rewarding customers for what and how they shop on the Mobile Super App or at their nearest Nextgen Vakrangee Kendra.
• o The program offers personalized offers, access to exclusive events and services as well as opportunities to earn points for its loyal customers.
• o Our focus has always been on our customer's convenience and we put them at the forefront of our platform, offering them a wide range of products and services to choose from, now with loyalty program we shall be able to leverage Artificial Intelligence and build our knowledge on their behavioural spending, thus resulting into new offerings, deals and more transactions. At the same time, we are cognizant of Customer's Data privacy, hence have built a robust and secure system accordingly. We saw a significant opportunity to improve how we connect with our customers and put smiles on customer's

faces. By increasing our focus on customer loyalty we would ensure that our customers feel valued, are rewarded & recognized, and receive communications that are more engaging.

• Access to Captive Customer Base and Franchisee network to acquire Customers
• o Vakrangee has built a strong brand recall especially in Rural India as the company is one of the leading Financial inclusion player as well as third Largest ATM operator in Rural India.
• o Vakrangee has an existing franchisee network of more than 11,700 franchisees and captive customer base of ~30 million customers.
• o BharatEasy App will have access to this captive customer base as well as have on ground franchisee network which would help in customer acquisition and help build scalability.
• o Vakrangee Franchisee Referral program: The mobile app is unique as it has a franchisee referral program whereby Vakrangee franchisees would also drive the customer acquisition process for the mobile app and they would be compensated by the recurring commissions for every transaction that the customer does throu'gh the mobile app.

,.	,-, L ~_ .• < ~. "­ T	.­
	Total Throughput - Vakrangee Platform -	Rs. 303.7 Billion
1	FY2020 (Gross Transaction Value)	(US\$4.16 BN)
2	Number of transactions - FY2020	96.8 Million
	Total Throughput - Vakrangee Platform -	Rs . 376.1 Billion
3	FY2021 (Gross Transaction Value)	(US\$5.15 BN)
4	Number of transactions - FY2021	126.8 Million
6	No of Kendra Outlets - FY2021	11,730
7	No of Kendra Outlets FY2022E	25,000

2. Our Digital Platform Service Offerings Details:

Vakrangee has recently launched an online digital platform to enable seamless services for the consumer at the comfort of their homes. Through this, company has evolved into the unique 020 (Online to Offline) platform, whereby there is Assistance available through the Physical Kendra network along with Digital Online Services The company has Initiated this Unique Hybrid proposition with launch of first Digital service of Telemedicine services The company plans to make many more existing Vakrangee services live through this platform. The Company is launching a Mobile Super App based business platform.

We have carefully curated an array of offerings including banking, finance, insurance, logistics, online shopping, healthcare, travel, telecom and bill payment services, to maximize benefits to people. Moreover, we enhance trust and loyalty of our stakeholders by offering the same product and services, at the same time, competitive price and same service levels.

The Company would be providing various services digitally through its Mobile app platform such as :

• o Online Shopping
• o Total Healthcare services (Doctor consultation, Home Blood Test facility, Covid Care packages)
• o Online Pharmacy
• o Banking / Money Transfer
• o Insurance
• o Loan products / Financial products
• o Mutual funds / Credit Cards
• o All type of Bill payments
• o Mobile / DTH recharges
• o Travel services (Bus / Train / Flights / Hotel Bookings)
• o Movie Tickets / Entertainment
• o Online Education
• o Online Agrl Products Seeds & Pesticides
• o Courier Booking

The detail description of the current Vakrangee services is as follows:

1. Online Shopping Services:

Our Online shopping platform provides our customers with access to multiple product options from daily staples, fashion items, to electronics. Additionally, we also offer the convenience of getting the products delivered to our Kendra.

We would be providing a trusted, secure and convenient option to its customers in the unserved and underserved rural locations to get access to a wide range of products at the most competitive

..

• ;.. Customer access to millions of products at competitive
• ;.. Original and authentic products
• ;.. Pick up at Store facility
• ;.. return
• ;.. at Store facility
• ;.. Assistance at the outlet trust and rnrnrnrT to customers
• ;.. No

2.

Our online healthcare platform provides our customers with access to Healthcare services including telemedicine and pharmacy services. We offer medicines at a discounted and cost-effective telemedicine services.

We are providing customers professional telemedicine services in the rural locations in a very cost-effective manner. We plan to revolutionise the way healthcare is delivered across rural India. The service is set to patients, in rural locations, a very different when they see a doctor, discuss their concerns, and do a virtual consultation. We also arrange home blood doorstep delivery medicines through our partner network .

• ..
• Customers access to trained telemedicine nurses, and behavioural health clinicians
• Privileged and discounted access to a large network of physical clinics and hospitals
• Professional telemedicine services in the underserved rural locations in a very cost-effective manner

Citizens can also order, pay and delivered I collect at a nearby store a wide range of prescription, OTC rnPI'"l.(',m and other health products. The customers can also avail various discount and make significant savings on purchases of medicines and health products.

• Features:

• Genuine medicines at discounted price
• Access to wide variety of medicines

3. Online Travel Services:

Our travel services platform provides our customers with the comfort of booking their travel tickets (Bus / Train / Flights /Hotel Booking) within the convenience of their homes as well as all kinds of payment mechanism in place.

4. Online Banking Service:

Vakrangee has emerged as leading player at the forefront driving financial inclusion and social inclusion initiatives through its network of Kendras providing Business Correspondent Banking Services. Vakrangee is a Business Correspondent that offers an advanced platform for real-time, paperless, inter-operability banking, which provides a unique service experience to the customers.

Through the Mobile Super App, we would be offering online digital banking services.

• Service Offerings

• ^~Bank Account Opening
• ^~Cash Deposits, Withdrawals, Money Transfer
• ^~Fixed and Recurring Deposits
• ^~Balance Enquiry, Statement of Accounts
• ^~Disbursement of money under Direct Benefit Transfer
• ^~Lead generation for loan products

• Key Unique Features and Benefits

• ^~Our Physical outlets are located at the Gram Panchayat level or village locations so that the customers can visit the stores for any Assistance
• ^~Facility to open zero balance accounts under the scheme PMJDY, which is a financial inclusion initiatives

• Benefits of Pradhan Mantri Jan Dhan Yojana (PM.lDY) Account

• ^~No minimum balance required
• ~ Accidental insurance cover of Rs . 2,00,000

• ).> Life insurance cover of Rs. 30,000 payable on death of the beneficiary, subject to fulfilment of eligibility conditions
• ).> Beneficiaries Government schemes will get Direct Benefit Transfer in these accounts
• ).> Overdraft facility up to Rs. 10,000 is available for one account per household, preferably to the female member of the household

5. Insurance Service:

We have partnered with the topmost Life General Insurance and Health Insurance companies in an attempt to meet the ever-changing insurance requirements of our customers living in the urban as well as rural areas.

• ).> Life Insurance
• ).> Generallnsurance (~otorlnsurance)
• ).> Health Insurance products
• ).> Social such as Atal Pension Yojna, and Pradhan ~antri Suraksha BimaYojna and micro insurance Jeevan Jyoti Bima

Encouraged by the success of the Pradhan ~antri Jan Dhan Yojana, the Government of India proposed to work towards creating a universal social security system for all Indians, especially for the poor, underprivileged and the workers in unorganised sector, using the bank accounts as the basis for launching the schemes.

P~JDV has provided a platform for the three social security schemes viz. Pradhan ~antri Jeevan Jyoti Beema Vojana (P~JJBV), Pradhan ~antri Suraksha Bima Vojana (P~SBV), Pradhan Mantri ~udra Vojana (P~~V).

Atal Pension Vojna: Atal Pension Vojana is a government-backed pension in India, primarily at workers in unorganised sector like personal gardeners amongst

Jeevan Jyoti Bima Vojana: Pradhan ~antri Jeevan Jyoti Bima Vojana (P~JJBV) is a one-year life insurance scheme, renewable from year to year, offering coverage for death. The cover under P~JJBV is for death only and hence benefit will accrue only to the nominee. People, who join this scheme before completing the age of 50, can continue to have risk of cover up to the age of 55 years,

subject to the payment of premium. The scheme has an annual premium of Rs.330, with a risk coverage of Rs.2,OO,OOO.

Pradhan Mantri Suraksha BimaYojna: Pradhan Mantri Suraksha Bima Yojana is a government-backed accident insurance scheme in India that provides risk coverage in case of accidental death, partial or full disability. The insured amount for accidental death or full disability is Rs. 2,00,000 and Rs. 1,00,000 for partial disability. It has an annual premium of Rs. 12 only.

• Features and Benefits

• ^~Partnership with top insurance players
• ^~Existing physical store network of outlets to provide Assistance and Grievance mechanism leading to more Customer convenience and Trust
• ^~Paperless insurance
• ^~Instant issuance of policy
• ^~Extensive network coverage
• ^~No medical test required

6. Financial Service:

We would be providing a range of financial services right from domestic money transfers credit cards, to lead generation of various types of loan products as well as other Investment products like Mutual funds.

• Service Offerings

• ^~Lead generation for Loan Products
• ^~Mutual Funds
• ^~Credit Cards
• ^~Consumer Loans
• ^~Housing Loans
• ^~SME and Working Capital Loans
• ^~Domestic Money Transfer Services
• ^~CIBIL Score and Report

• Features

• ^~Zero hidden charges
• ^~Cheapest deal for instant money transfer
• , Wide variety of loan products available
• ~ Seamless assistance and support available at Physical outlet

A. Home loans and loan Against Property

• ^~Home and loan property for both formal and informal business
• );> Attractive interest rates and benefits of PMAY available for eligible customers of home loan
• );> Minimum documentation required
• );> Loans offered without income proof or ITR as well

B. Business loans

• );> Business loans up to Rs. 1 crore available in quick time
• );> Loans without income proof
• );> No collateral required
• );> Attractive interest rates and
• );> Zero foreclosure
• y Available for first time borrowers with no CIBIL record

7.

Our telecom and bill payments services platform our customers the convenience of their bills before the due dates without having to travel far from their homes.

o

We would be providing bill payment services.

o

To offer pre-paid mobile services for various service

o To offers top-up Direct-to-Home (DTH) recharge services.

8. Online Education

W. would b. off.rina knowleda. buildina servil;1I1i throuah e-Learnina slirviclis and gain meaningful knowledge at par with any standard level of educational competence for our students.

With the help of this education related service offering, we aims to cover wide range of students along-with professional competitive examinations i.e. JEE and NEET and build long-term alliance with our business partners with the unmatched reach in remotest parts of the country as well as access to a unique untapped customer base .

9. Online Commerce - Agri-Products

We would be offering a unique online offering of Agri products such as seeds, pesticides along with our business partners specifically focus on unserved and underserved Rural locations. We would be offering complete range of products across every category that farmers can access conveniently.

10. Logistic~

We would be offering last mile courier and logistiCS services through leveraging the Vakrangee Ecosystem. We leverage our physical presence of Vakrangee Kendras to offer various delivery services. Through our Mobile app, Customers would be able to do Cowrl.r bookln••nd c.n h.v. f••tur••uch e. perc.1 pick up or .1•• perc.1 drop off facility at the nearest vakrangee Kendra outlet.

• Features:

• ~ Courier Booking Services
• ^~Delivery Services
• ^~Reverse Logistics Services
• ~ Store Pickup Services