Final Results

Ashoka India Equity Investment Tst

07 October 2026

 

LEI: 213800KX5ZS1NGAR2J89

ASHOKA INDIA EQUITY INVESTMENT TRUST PLC

ANNUAL REPORT AND ACCOUNTS

FOR THE YEAR ENDED 30 JUNE 2026

Ashoka India Equity Investment Trust plc (the “Company”) hereby submits its annual report and financial statements for the year ended 30 June 2026 as required by the Financial Conduct Authority’s Disclosure Guidance and Transparency Rule 4.1.

The Company's annual report and financial statements for the year ended 30 June 2026 is being published in hard copy format and an electronic copy will shortly be available to download from the Company's website at www.ashokaindiaequity.com. It will also be made available to the public at the Company's registered office, 46-48 James Street, London W1U 1EZ.

The Company's annual report and financial statements has been uploaded to the Financial Conduct Authority's National Storage Mechanism and is available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism.

Enquiries:

NSM Funds (UK) Limited

[e-mail]

HIGHLIGHTS

• Relative outperformance of +2.6%. The Company’s net asset value (NAV) fell by 5.9% compared to a fall in the (untaxed) index of 8.5%, a relative outperformance of +2.6%.
• Absolute return of 164.2%. Since launch, the Company has delivered 88.2% of net cumulative outperformance, with a 164.2% absolute return compared to the benchmark return of 76.1%, both in sterling terms. Strong stock selection, especially in mid and small caps, has been a significant contributing factor.
• The manager believes that India is on the cusp of realising its true economic potential while benefitting from several secular tailwinds.  Rising household incomes, favourable demographics, increasing business-friendly regulation of the economy, rapid digital adoption, manufacturing expansion and improving infrastructure are creating opportunities across all sectors.  
• The country’s expanding middle class, entrepreneurial culture and increasing integration into global supply chains provide a combination of growth characteristics that few large economies can match.  

Investment Objective
The investment objective of the Company is to achieve long-term capital appreciation, mainly through investments in securities listed in India and listed securities of companies with a significant presence in India.

Financial information

	As at 30 June 2026	As at 30 June 2025
Net asset value (“NAV”) per Ordinary Share (cum income)	261.9p	278.9p
Ordinary Share price	251.0p	281.5p
Ordinary Share price premium to NAV1	(4.2)%	0.9%
Net assets	£443.5 million	£476.2 million

Performance summary

	For the	For the
	Year ended	Year ended
	30 June 2026	30 June 2025
	%2,3	%3
Share price total return per Ordinary Share1	–10.7%	–0.9%
NAV total return per Ordinary Share1	–5.9%	–0.2%
MSCI India Investable Market Index (‘IMI’) total return (sterling terms)2,3	–8.5%	–6.6%

1 These are Alternative Performance Measures.

2 Total returns in sterling for the year ended 30 June 2026 and 2025.

3 Source: Ashoka WhiteOak Capital Pte. Ltd.

Alternative Performance Measures (“APMs”)
The disclosures as indicated in the footnote above represent the Company’s APMs.

STRATEGIC REPORT

Chairman’s Statement

It is my pleasure to present the eighth annual results of Ashoka India Equity Investment Trust plc for the year ended 30 June 2026.

Looking back at my statement last year, it is disappointing to note that geopolitical tensions have, if anything, worsened. Russia’s war on Ukraine continues without the likelihood of an end in sight and the war waged by America and Israel on Iran has spilled over dangerously to other Arab states. This has badly affected global shipping in the Strait of Hormuz causing a serious knock-on effect to global trade and energy prices to rise. As I write, any uneasy peace has not fully materialised and the threats continue, affecting virtually all the world’s economies.

Investment markets have a remarkable ability to ensure that humility remains one of an investor’s most valuable assets. This is especially pertinent to my annual optimism; every year seems to begin with a relatively confident assessment about what lies ahead only for markets and world events to prove that such certainty can be considerably overrated. Fortunately, however, the philosophy of our investment teams has never relied upon predicting next quarter’s headlines, good or bad, but, instead, it rests upon identifying exceptional businesses capable of compounding growth over many years.

Performance

With this in mind, I am pleased to report that your Company has, once again, delivered a resilient performance for the period under review, outperforming its benchmark index, the MSCI India IMI. The Company’s net asset value (NAV) fell by –5.9% compared to a fall in the (untaxed) index of –8.5%, an outperformance of +2.6%. Whilst a negative return for shareholders – and disappointing in the great scheme of things – this performance must be viewed in the context of the continuing challenging backdrop outlined and as just a minor setback since the Company’s launch eight years ago.

As I have alluded to before, markets do not move in a straight line and periods of exuberance are inevitably followed by phases of consolidation. When one also factors in the geopolitical tensions already mentioned and their direct impact on India, the resolute way in which the Company’s investment teams have gone about their daily business is to be admired. Such episodes should not be confused with a deterioration in the underlying investment rationale; on the contrary, they frequently provide fertile ground for active managers able to detect and exploit opportunities. As always, the Investment Manager’s Report that follows explains how these headwinds are being navigated and the consequential impacts on the Indian economy. As you will read, the portfolio has only very limited exposure to companies directly affected by US tariffs but it would be impossible to imagine that these and other global issues have had no impact.

The Company’s investment teams concentrate on identifying businesses with durable competitive advantages, high quality management teams and the ability to compound earnings over long periods. For them, disciplined stock selection rather than macroeconomic forecasting will be the main driver of future shareholder returns.

Share Issuance

The Company continued to respond to demand and issued new shares at a small premium to the prevailing net asset value. In total, 1,125,000 new shares were issued during the year under review, raising a total of £3.2 million.

Revenue and Dividends

The Company’s principal objective is to provide returns through long-term capital appreciation, with income being a secondary consideration. Therefore, shareholders should not expect that the Company will pay an annual dividend, under normal circumstances. However, the Company continued to generate a small amount of revenue during the year under review as the portfolio’s investee companies distributed available and excess cash to their shareholders. As a result, this will be the second year that the Company pays a dividend in order to comply with rules governing investment trust status. Added to reserves retained in previous years, this dividend amounts to 0.6p per share and will be paid on 30 October 2026 to shareholders on the register as at 9 October 2026.

Redemption Facility

The Company has a redemption facility through which shareholders are entitled to request the redemption of all or part of their holding of Ordinary Shares on an annual basis. The Redemption Point for the Ordinary Shares this year is 30 September 2026.

As announced on 4 September 2026, the total number of ordinary shares in respect of which valid redemption requests were received for this Redemption Point was 9,369,072 shares which equated to 5.5% of the shares in issue.

Performance Fee

To remind shareholders of the Company’s fee arrangements, no annual management fee is paid; the Investment Manager, Acorn Asset Management Ltd, is remunerated solely by means of a NAV performance fee based on the level of performance relative to the Company’s benchmark index, the MSCI India IMI, over discrete three-year periods. The first such period ended on 30 June 2021, the second on 30 June 2024 and we are now two thirds into the measurement period that runs from 1 July 2024 to 30 June 2027. It is for this latest period that a performance fee is being accrued to the Investment Manager and as at 1 October 2026, the latest practicable date prior to the publication of this report, this amounts to £23.1 million. Full details of the performance fee can be found in note 7 of this Annual Report. I also remind shareholders that any performance fee is fully accrued in the daily NAV calculation.

The Company’s portfolio is actively managed and seeks an excess return relative to its benchmark index (known as “alpha”). This investment style may lead to occasional greater volatility than the benchmark index but has produced outstanding returns for shareholders since inception. The Board remains fully supportive of this investment approach and remuneration structure.

Operational Developments and Governance

The Company started life in July 2018 and the Board has been together since that time. Inevitably and in order to comply with best-practice corporate governance, succession planning must be contemplated as the nine-year mark approaches for all Directors. The Board takes such matters seriously so renewal has begun.

Rita Dhut retired from the Board on 30 June 2026. It was Rita’s decision to “start the ball rolling” so to speak and she will be much missed. However, Rita gave us six months’ notice of her intentions which allowed us plenty of time to recruit her successor. The Board employed a specialist independent search agency for this formidable task and after an extensive interview process to identify the best possible candidate, we came up with not one, but two. I am delighted to say that Sarah MacAulay joined the Board as a Director on 24 February 2026 and Karen Roydon on 5 June 2026.

I wish to extend my sincere thanks to Rita for her years of dedicated service, support and friendship but am pleased to confirm that both Sarah and Karen have the exceptional skills and expertise necessary to guide the Company forward for many years to come.

The succession planning will continue over the coming two years. My fellow Directors have requested that I extend my stay and remain Chairman until the 2028 AGM in order to successfully complete the integration of new Directors and to leave the Company in the best possible position for the coming years. Although the Board now comprises five Directors, it is anticipated that this will revert to four once this round of succession is completed upon my retirement at the conclusion of the AGM in December 2028.

The Board has continued to engage with shareholders and undertook an externally-facilitated evaluation in 2026 to ensure all Directors remain committed to achieving the Company’s objectives and to maintaining high standards of governance, oversight and accountability.

Annual General Meeting

The Company will hold its Annual General Meeting on 9 December 2026 at the offices of Stephenson Harwood LLP, 1 Finsbury Circus, London EC2M 7SH starting at 11am. An on-line presentation will be given by the Investment Manager and the Board will be delighted to see all shareholders who are able to attend.

Outlook

India continues to offer one of the most compelling investment opportunities anywhere in the world. The structural drivers that attracted us at launch remain firmly in place and, if anything, have strengthened. Rising household incomes, favourable demographics, increasing business-friendly regulation of the economy, rapid digital adoption, manufacturing expansion and improving infrastructure are creating opportunities across all sectors. As I have said before, these are not themes measured in years but decades. India’s economic story is still being written and I believe the most exciting chapters lie ahead. The country’s expanding middle class, entrepreneurial culture and increasing integration into global supply chains provide a combination of growth characteristics that few large economies can match.

Your Board is also encouraged by the continued development of the Company since its launch in 2018. Growth in assets under management, strong shareholder engagement and the Company’s increasing profile within the investment trust sector all reflect confidence in the investment strategy, the investment team and the long-term prospects for India itself.

As ever, there will be setbacks along the way. Elections will surprise, predictably unpredictable geopolitical events will create volatility, currencies will fluctuate and markets will occasionally behave as though optimism has gone permanently out of fashion. Experience suggests that these moments often prove to be opportunities for astute investors rather than periods of retreat.

As ever, my sincere thanks for being a shareholder in this Company. I also extend my continued thanks and appreciation to Prashant Khemka, Ayush Abhijeet, Hiren Dasani and their support teams for their disciplined execution of the investment strategy, and to all our service providers for their professionalism and diligence throughout the year.

I remain excited about what lies ahead. If the recent past has taught us anything, it is that India’s long-term trajectory has consistently exceeded the expectations of most observers. I see no reason why that should not continue.

Andrew Watkins

Chairman

6 October 2026

Investment Manager’s Report

Performance Review

During the full year ending 30 June 2026, the Company’s total NAV return outperformed its benchmark index by 2.6%, delivering –5.9%, compared to –8.5% for the MSCI India IMI Index (in sterling terms)1. Since 31 July 2018 (the date post the initial public offering (“IPO”) when the Company was fully invested), the Company has delivered 88.2% of net cumulative outperformance, with a 164.2% absolute return compared to the benchmark return of 76.1%, both in sterling terms. Strong stock selection, especially in mid and small caps, has been a significant contributing factor.

1 Shareholders should note that the MSCI India IMI Index (sterling terms) does not deduct taxes, unlike active and passive funds, such as the Company.

Key contributors & detractors

	Portfolio
	Ending	Portfolio
	Weight	Total Return
Contributors	(%)	(%)1
TD Power Systems Limited	0.6	+132.5
Acutaas Chemicals Ltd	0.7	+188.5
Aditya Infotech Limited	0.5	+129.4
	Portfolio
	Ending	Portfolio
	Weight	Total Return
Detractors	(%)	(%)
OneSource Specialty Pharma Limited	2.6	–29.6
Info Edge India Ltd.	0.8	–38.1
Bharti Airtel Limited	4.4	–13.1

Contributors

TD Power Systems (TDPS) is an Indian company engaged in the design and manufacture of air-conditioning generators for a wide range of prime movers, including steam turbines, gas turbines, hydro turbines, diesel engines and gas engines. TDPS supplies generators to leading global turbine and engine OEMs, including Innio and Caterpillar. The stock’s outperformance was supported by strong demand visibility from end customers in the gas turbine and engine segment, driven by increased investments in areas such as fracking, data centres, AI server farms, and grid stabilisation. This combination of robust end-market demand and healthy order visibility supported the stock’s performance during the period.

Acutaas Chemicals is a leading research and development driven specialty chemicals manufacturer, with exposure to advanced pharmaceutical intermediates as well as agrochemical and fine chemical segments. The company has delivered strong double-digit growth in recent years, driven by its contract development and manufacturing organisation (“CDMO”) business. It continues to build a robust pipeline, with four products already validated in  India’s fiscal year ended 31 March 2026 (“FY26”) and meaningful revenue contribution expected from FY27 onwards. Its management also guides for margin expansion in this segment, supported by portfolio rationalisation and a declining mix of lower-margin products. In addition, Acutaas is expanding into semiconductor specialty chemicals through its subsidiary BFC and South Korean JV Indichem, where initial client traction has been encouraging across South Korea, Japan, and Taiwan. Its capex is expected to be completed by the end of the calendar year 2026 (“CY2026”), with revenues commencing from CY2027. A strong order book, revenue growth and an upgraded operating margin guidance has likely led to its outperformance.

Aditya Infotech (CP Plus) is India's leading provider of video security and surveillance solutions, serving both enterprise and consumer segments with a nationwide presence. A key growth catalyst has been the Standardisation Testing and Quality Certification (“STQC”) regulation, under which the government mandated certification for all network closed-circuit television (“CCTV”) cameras from April 2025, effectively phasing out low-cost, non-compliant imports and driving demand toward certified systems. CP Plus, with the largest STQC-certified portfolio, has been a key beneficiary, gaining significant market share—rising to 45% by the third quarter (“Q3”) of FY26 from 20% in Q4 FY25. This momentum has translated into strong financial performance for the business. The company’s strong execution and better-than-expected operating performance resulted in its outperformance during the period.

Detractors

OneSource Specialty Pharma is a speciality-focused CDMO with capabilities in biologics, complex injectables, and drug-device combinations. The key business growth driver is its Drug-Device Combination (DDC) segment, focused on fill-finish manufacturing of generic semaglutide (“GLP-1”) for multiple global pharma partners. Despite giving a strong FY28 guidance (~$400 million revenues, 25% EBITDA margins), the company’s near-term performance was impacted by execution and approval-related delays in Canada, one of its key markets. The management had indicated that the next few quarters were likely to remain soft, and this near-term earnings uncertainty, driven by delays in customer approval timelines, likely weighed on the stock’s performance.

Info Edge, founded in 1995, is India’s dominant internet classifieds company. Info Edge owns naukri.com (No.1 online jobs website), 99acres.com (Real estate listings website), jeevensathi.com (matrimonial website), Shiksha (leading educational information website), Zomato (12% equity stake, leading food delivery aggregator and quick-commerce player), and Policybazaar (12% stake, largest online insurance aggregator). Info Edge derives most of its value from the Naukri business which is the dominant online jobs website with 75% traffic share and 55-60% EBITDA margins. Info Edge has maintained its dominant market share and exhibited strong profitable growth across cycles while continuing to enhance its comprehensive range of offerings. We see the recent decoupling between Info Edge’s recruitment billing and revenue growth compared with the IT services industry revenue growth as an illustration of the company’s ability to diversify its customer base beyond traditional IT services companies. However, the stock had underperformed amid some near-term uncertainty in hiring demand, driven by concerns around general IT services growth and headcount expansion across both tech services firms and global capability centres (“GCC”).

Bharti Airtel is India’s leading telecom company with presence across wireless, fixed broadband, enterprise and satellite TV services alongside wireless and mobile money operations in Africa. The company is well-positioned to benefit from an improving industry structure and pricing outlook in the domestic wireless market. Bharti continues to demonstrate strong execution, outperforming peers post tariff hikes across key metrics reflecting the superior quality of its subscriber base and operational discipline. Over the past seven years, the average revenue per user (“ARPU”), revenue, and EBITDA have grown at 12%, 16%, and 28% CAGR, respectively. The stock’s recent underperformance was likely driven by consolidation following a strong run, potential delays in tariff hike timelines and an improving financial outlook for a key competitor (Vodafone India).

Change in Portfolio Positioning

The portfolio’s sector exposures are a result of the team’s robust and rigorous bottom-up stock selection process. They do not make any top-down sectoral bets as they believe such investment decisions are fraught with high risk of substantial absolute and relative losses. Having said that, from a bottom-up perspective, the key shifts in positioning were:  the underweight to Materials and Energy reduced by 2.4% and 2.1% respectively. Also, the overweight to Industrials and Communication Services reduced by 3.3% and 1.2% respectively. The key stocks added to the portfolio were Fractal Analytics and Aye Finance, whereas the key exits were Angel One and Bharat Dynamics.

Fractal Analytics is a leading data analytics company with presence across Consumer-Packaged Goods (“CPG”), Retail, Technology, Media and Telecom (“TMT”), Healthcare and Lifesciences (“HLS”) and Financial Services. Fractal’s differentiated capabilities lie at the intersection of deep technical expertise in AI, engineering, and design, combined with strong functional knowledge across industry verticals. This has enabled the company to consistently deliver measurable business impact for its clients. Its product-led approach, deep client relationships and consistent execution have helped Fractal move up the value chain and solidify its position as a market leader over the past two decades, evidenced by its strategic long-term partnerships with marquee clients. The investment manager believes the company is well poised to deliver strong free-cashflow growth over the next few years on the back of its deep domain expertise, strong execution track record and being positively indexed to the fast-growing data analytics and AI theme.

Aye Finance is a Non-Banking Financial Company - Middle Layer, that lends to micro and small enterprises — for secured and unsecured working capital, hypothecation and mortgage/property loans — using a cluster-based, data-driven underwriting model across semi-urban and underserved markets. It runs a branch-led "phygital" distribution model and is one of the few players in this segment with demonstrated history of performing well across business cycles. The stock was added to the portfolio as the valuation became very attractive for a uniquely positioned lender which is expected to deliver strong double-digit return on capital.

Angel One is one of India's largest retail brokers, offering equity cash, derivatives, commodity and currency trading. Beyond broking, it has built out a wider financial services platform spanning mutual fund distribution, client funding, credit distribution through lender partnerships, wealth management via Ionic Wealth and a growing passive-focused asset management arm — the aim being to monetise its 38 million user base well beyond the initial trading relationship. That said, its share of active clients has continued to drift lower, reaching 14.6% in June 2026, while retail cash and Futures & Options turnover shares appear to be settling into the 20-22% range rather than building further. Alongside it has an elevated cost structure in the near term as newer initiatives are scaled up. This led to its exit from the portfolio.

Bharat Dynamics Limited (BDL) is a public sector enterprise under the Ministry of Defence, engaged in the manufacture of guided missiles and allied defence equipment such as surface-to-air missiles, air-to-air missiles, anti-tank guided missiles, torpedoes and underwater weapon platforms, supplying primarily to India's armed forces. The portfolio exited the position as the company's execution fell well short of its expectations through the third and fourth quarters of FY26, with persistent delays across key missile programmes, weighing on revenue and profitability, despite a healthy underlying order book. Given this consistent underperformance versus expectations, we chose to redeploy the capital towards more attractive investment opportunities elsewhere.

Investment Outlook

India’s macro environment has been tested by a series of external and domestic shocks over the past two years, ranging from tariff-related pressures and AI-driven uncertainty to geopolitical volatility in the Middle East (which pushed up oil prices sharply) and evolving weather-related risks from El Niño. While Indian equities have underperformed both emerging markets and the S&P 500 indices over the past two years, there have been shorter periods witnessing a reversal of sorts. This happens whenever there is an easing of crude oil prices, a correction in global technology stocks or any positive news on economy, trade deals or tariffs.

Indian policymaking has remained active and responsive, helping cushion the economy from recent external shocks. Despite the sharp rise in oil prices this year, the pass-through to domestic prices was relatively mild which has helped contain broader inflationary pressures. In addition, the broader market and the Company’s portfolio specifically only have minor exposure to the direct impact of US tariffs. The foreign currency deposit mobilisation scheme announced has helped India raise a provisional total of $127.23 billion thereby bolstering the capital account and stabilising the currency. For commercial banks, this provides a vital funding stream to sustain credit growth and generate healthy margins. The central bank’s foreign-exchange reserves rose to a record US$740.8 billion by the end of August 2026, providing a sizeable external buffer. In the medium term, the recent energy crisis has prompted a policy shift from pure energy transition to broader energy security and domestic capacity creation. The government is accelerating renewables, coal reliability, nuclear expansion, fertiliser diversification, defence indigenisation, and data centre infrastructure to reduce external vulnerabilities. Over the last year, India has signed trade agreements with the UK and EU. While contingent on effective implementation, regulatory alignment, and capacity expansion, the key positives are enhanced market access and competitiveness over the medium term.

Despite the conflict, high-frequency indicators continued to point to a resilient domestic demand environment. Consumption was steady, as reflected in passenger vehicle and 2-wheeler sales and GST collections, while investment activity has been showing signs of improvement as seen in project announcements, supported by public spending, improving credit growth, and a recovery in manufacturing. Temporary energy supply constraints did lead to some industrial disruptions in the initial days of the Middle East crisis but strategic trade deals and supply-chain normalisation should support improving strength in both domestic and external demand, with consensus projecting full year FY27 estimated real GDP growth to over 6.5%. The recent real GDP growth of 7.8% YoY in the first quarter of FY27 was comfortably ahead of the market expectations, reflecting broad-based improvement across manufacturing and services. Healthy capital-goods activity, bank credit growth and sustained government infrastructure spending all point to an improving investment cycle.

Notably, the government has introduced targeted programmes to accelerate domestic manufacturing across India’s chemicals, electrical and electronics value chains. The India Semiconductor Mission 2.0 is a prominent example. India’s ambition to become the world’s largest smartphone manufacturer is supporting a broader shift from electronics assembly towards domestic semiconductor capability. ISM 1.0 has committed approximately INR 760bn (US$ 8.0bn) spanning chip design, fabrication, packaging and supporting infrastructure, while ISM 2.0, a six-year government programme, increases the fiscal outlay to INR1.28tn (US$ 13.2bn) and extends support beyond fabs and packaging to equipment, materials, testing, domestic IP, R&D and talent. Alongside earlier schemes for electronics manufacturing and India’s growing share of Apple and Samsung smartphone production, the programme is likely to create anchor demand, deepen domestic value addition and improve supply-chain resilience.

Over the past few months, there has been intense debate around the challenges and opportunities that AI presents for the listed IT-services sector. The Investment Adviser believes that two countervailing forces are at play – AI poses deflationary risks to traditional IT services while creating new, fast-growing revenue streams across the technology value chain. Near-term productivity gains in coding and other repeatable tasks could compress billable effort and pricing in legacy contracts. However, adoption should also create new demand across data engineering, legacy modernisation, AI-agent orchestration, governance, and cybersecurity. Industry growth may moderate but the addressable market size is unlikely to shrink. The Trust is focused on companies that are well-positioned to capture AI-led opportunities through strong execution, deep domain expertise and agile delivery models.

India’s corporate earnings trajectory remains broadly stable despite a short-term slowdown over the last year. The first quarter of FY27 saw earnings tracking ahead of expectations, with net-profit growth for reporting Nifty companies in mid-teens, while small-and mid-cap earnings growth has been closer to 20% YoY. Indian companies have largely protected their margins despite higher input and logistics costs through pricing, premiumisation, mix improvement and cost control. However, given continuous geopolitical uncertainty, corporate commentaries on future growth/profitability could be more important for the market than past earnings.

Given the near-term underperformance of Indian markets, India’s valuation premium to emerging markets has moderated and remained in the range of approximately 50–75% over the past few months (long term average of 40-45%), below its peak of 80-90% premium observed over 2023 and 2024. On an absolute basis, India is trading at 18.4 times 1 year forward price-to-earnings, below its 10 year average of 20.7 times. Drivers of foreign inflows and potential increase in positioning seem favourable – (a) earnings recovery from medium-term lows (b) high global bond yields pushing investors to favour fundamentally strong growth markets (c) global AI trade is witnessing some volatility; (d) India’s weight in MSCI EM & investor’s active weight on India at 10-year lows. Near term key catalysts include: a) geopolitics b) management commentary on the future earnings and capacity expansion c) El Niño and spatial/temporal distribution of rainfall d) domestic policy/reform environment.

A distinctive feature of the Company is its ability to invest in pre-IPO companies, accessing opportunities before they enter public markets. This less researched and inefficient segment offers substantial potential for alpha generation through disciplined stock selection. The Investment Adviser brings extensive IPO experience across India and global markets, complemented by deep relationships with entrepreneurs, private equity investors and investment bankers that enable early access to promising businesses. Recent strength in India’s IPO market further supports alpha generation from this opportunity set.

The Investment Manager believes that India is on the cusp of realising its true economic potential while benefitting from several secular tailwinds, the most important being its favourable demographics and rising income levels, which will allow domestic consumption to flourish, with the demand for discretionary goods, travel and leisure, financial and healthcare services on the rise. The country is also experiencing a rapid digitalisation of services, supported by increasing internet penetration and formalisation on the back of ongoing structural reform. Additionally, the most attractive aspect of investing in India in our opinion is the outsized alpha opportunity that the market presents compared to any other equity market globally, particularly as the Indian market is still relatively under-researched. Such alpha opportunities are present across the large, mid, and small cap spectrum. All these factors place India as one of the most promising economies over the medium term and make for a highly compelling investment proposition.

Backed by the well-resourced team of the Investment Manager, Ashoka India Equity Investment Trust plc is well positioned to capitalise, from a bottom-up perspective, on the investment opportunities on offer within the Indian equities space.

Acorn Asset Management Ltd

Investment Manager

6 October 2026

Top Ten Holdings

			Percentage
			of net
		Value	asset
As at 30 June 2026	Sector	(£'000)	(%)
Bharti Airtel	Communication Services	21,331	4.8
ICICI Bank	Financials	17,998	4.1
Onesource Specialty Pharma	Healthcare	12,411	2.8
Bajaj Finserv	Financials	11,093	2.5
State Bank of India	Financials	9,649	2.2
HDFC Bank	Financials	9,260	2.1
Alternicq	Industrials	8,956	2.0
Bharat Electronics	Industrials	8,484	1.9
Computer Age Management Services	Industrials	7,781	1.8
Fractal Analytics	Information Technology	7,015	1.6
Top ten holdings			25.8
Other holdings			80.3
Total holdings in companies			106.1
Capital gains tax provision plus cash and other assets/liabilities			(6.1)
Total			100.0

Investment Policy

The Company shall invest primarily in securities listed on any recognised stock exchange in India and securities of companies with a Significant Presence in India that are listed on stock exchanges outside India. The Company may also invest up to 15% of Gross Assets (calculated at the time of investment) in unquoted companies with a Significant Presence in India.

A company has a “Significant Presence in India” if, at the time of investment, it has its registered office or principal place of business in India, or exercises a material part of its economic activities in India.

The Company shall primarily invest in equities and equity-related securities (including preference shares, convertible unsecured loan stock, rights, warrants and other similar securities). The Company may also, in pursuance of the investment objective:

• hold publicly traded and privately placed debt instruments (including bonds, notes and debentures);

• hold cash and cash equivalents including money market liquid/debt mutual funds;

• hold equity-linked derivative instruments (including options and futures on indices and individual securities);

• hedge against directional risk using index futures and/or cash;

• hold participation notes; and

• invest in index funds, listed funds and exchange traded funds.

Notwithstanding the above, the Company does not intend to utilise derivatives or other financial instruments to take short positions, nor to increase the Company’s gearing in excess of the limit set out in the borrowing policy, and any restrictions set out in this investment policy shall apply equally to exposure through derivatives.

The Company will invest no more than 15% of Gross Assets in any single holding or in the securities of any one issuer (calculated at the time of investment) and will typically invest no more than 40%  of Gross Assets in any single sector (calculated at the time of investment).

The Company is not restricted to investing in the constituent companies of any benchmark. It is expected that the Company’s portfolio will comprise a minimum of ​50 investments.

In order to comply with the UK Listing Rules (“UKLR”), the Company will not invest more than 10% of Gross Assets in other listed closed-ended investment funds, except that this restriction shall not apply to investments in listed closed-ended investment funds which themselves have stated investment policies to invest no more than 15% of their gross assets in other listed closed-ended investment funds. Additionally, in any event the Company will itself not invest more than 15% of its Gross Assets in other investment companies or investment trusts which are listed on the Official List.

The Company does not expect to take controlling interests in investee companies and will at all times invest and manage the portfolio in a manner consistent with spreading investment risk and in accordance with the FPI Regulations and applicable law.

It is expected that the Company’s investments will predominantly be exposed to non-​sterling currencies (principally Indian rupees) in terms of their revenues and profits. The base currency of the Company is Sterling, which creates a potential currency exposure. Whilst the Company retains the flexibility to do so, it is expected in the normal course that this potential currency exposure will not be hedged using any sort of foreign currency transactions, forward transactions or derivative instruments.

No material change will be made to the investment policy without the approval of Shareholders by ordinary resolution.

Borrowing policy

The Company may deploy gearing to seek to enhance long-term capital growth and for the purposes of capital flexibility and efficient portfolio management. The Company may be geared through bank borrowings, the use of derivative instruments that have the effect of gearing the Company’s portfolio, and any such other methods as the Board may determine. Gearing will not exceed 20% of Net Asset Value at the time of drawdown of the relevant borrowings or entering into the relevant transaction, as appropriate. The Company has no borrowing facility in place and was not geared during the year.

Asset allocation at year end

The breakdown of the top ten holdings and the industrial classification of the portfolio at the Company’s year-end are shown in the Top Ten Holdings section of this Annual Report.

Dividend policy

The Board intends to manage the Company’s affairs to achieve Shareholder returns through capital growth rather than income. Therefore, it should not be expected that the Company will pay an annual dividend.

Regulation 19 of the Investment Trust (Approved Company) (Tax) Regulations 2011 provides that, subject to certain exceptions, an investment trust may not retain more than 15% of its income in respect of each accounting period. Accordingly, the Company may declare an annual dividend from time to time for the purpose of seeking to maintain its status as an investment trust.

Results and dividend

The Company’s revenue surplus after tax for the year amounted to £1,266,000 (30 June 2025: revenue surplus of £675,000). The Company made a capital loss after tax of £29,319,000 (30 June 2025: capital loss of £1,728,000). Therefore, the total loss after tax for the Company was £28,053,000 (30 June 2025: loss of £1,053,000).

The Board has declared an interim dividend of 0.6p per Ordinary Share in respect of the year ended 30 June 2026 in accordance with the Company’s Dividend policy as outlined in the above paragraph.

Key performance indicators

The Board measures the Company’s success in attaining its investment objective by reference to the following KPIs:

(i) Achievement of NAV and share price growth over the long term

The Board monitors both the NAV and share price performance and compares them with the MSCI India IMI​ (in sterling terms). A review of performance is undertaken at each quarterly Board meeting and the reasons for relative under and over performance against various comparators is discussed. The Company’s NAV and share price total returns for the year to 30 June 2026 were –5.9% and –10.7% (30 June 2025: –0.2% and –0.9%) respectively compared to a total return of –8.5% (30 June 2025: –6.6%) for the MSCI India IMI​ (in sterling terms).

The Chairman’s statement incorporates a review of the highlights during the year. The Investment Manager’s Report highlights investments made during the year and how performance has been achieved.

(ii) Performance of premium or discount of share price to NAV that is comparable to its peers

The Company’s Broker monitors the premium or discount on an ongoing basis and keeps the Board updated as and when appropriate. At quarterly Board meetings the Board reviews the premium or discount in the period since the previous meeting in comparison with other investment trusts within the AIC India/Indian Subcontinent sector. The Company has a redemption facility through which Shareholders will be entitled to request the redemption of all or part of their holding of Ordinary Shares on an annual basis. The Company’s shares traded at a discount of 4.2% on 30 June 2026 (30 June 2025: premium of 0.9%).

(iii) Maintenance of a comparable level of ongoing charges (excluding performance fee)

The Board receives monthly management accounts which contain an analysis of expenditure, and these are formally reviewed at quarterly Board meetings. The Management Engagement Committee formally reviews the fees payable to the Company’s main service providers on an annual basis. The Board reviews the ongoing charges on a quarterly basis and considers these to be reasonable in comparison to other investment trusts within the AIC India/Indian Subcontinent sector.

Based on the Company’s average net assets during the year ended 30 June 2026, the Company’s ongoing charges figure calculated in accordance with the AIC methodology was 0.2% (30 June 2025: 0.2%).

Principal and emerging risks and uncertainties

The Board is responsible for the management of risks faced by the Company and delegates the review process of this to the Audit Committee (the “Committee”). The Committee carries out, at least annually, a robust assessment of principal and emerging risks and uncertainties and monitors the risks on an ongoing basis. The last review was carried out in October 2026. The Committee has a dynamic risk register and heat map in place to help identify key risks in the business and oversee the effectiveness of internal controls and processes, providing a visual reflection of the Company’s identified principal and emerging risks. The Committee considers both the impact and the probability of each risk occurring and ensures appropriate controls are in place to reduce risk to an acceptable level.

The Board has carried out a robust assessment of the principal and emerging risks facing the Company, including those that would threaten its business model, future performance, solvency or liquidity. As part of this assessment, the Committee received updates from the Investment Manager, the Investment Adviser, the Company Secretary and other service providers. The Committee considered a number of emerging risks that could potentially impact the Company’s ability to meet its strategic objectives. Risks such as trade tariffs and global armed conflicts were considered but were not identified as new principal or emerging risks but those that exacerbate existing risks and have been incorporated accordingly in the table below.

The following table provides a summary of the Board’s assessment of the Company’s principal risks as well as an explanation of how these are being managed or mitigated. The “Trend” column on the right highlights at a glance the Board’s assessment of any increases or decreases in risk during the year after mitigation and management. The arrows show the risks as increased, decreased or unchanged.

Description	Mitigation	Trend
Investment Objective and Strategy The Company’s objective becomes unattractive to investors leading to a widening discount. Investment performance may not be meeting the Company’s investment objective.	Regular review of the investment mandate and the long-term investment strategy. The Investment Adviser has a proven and extensive successful track record. The Board regularly reviews the Company’s investment performance against its stated objective together with the investment portfolio diversification and country risk factors.	unchanged
Economic, market and geopolitical risks Changes in general economic and market conditions in India including, for example, interest rates, cost increase, rates of inflation, industry conditions, competition, tax laws, national and international conflicts, AI driven uncertainty and other factors could substantially and adversely affect the Company’s prospects. Weak economic and market conditions in Europe and the US may lead to foreign disinvestment in Indian equities (the “flight to quality”). Political developments globally might materially affect the ability of the Company to achieve its investment objective. Factors such as armed conflicts, sanctions and trade tariffs could impact market volatility and sentiment.	The Investment Adviser has a proven and extensive track record with a focus on good corporate governance and continuously monitors the position and report regularly to the Board on market developments. India is to a degree protected from global economic downdrafts and increases in world inflation as it is a relatively closed economy and its exposure to high and rising energy prices remains contained. In addition, India is not saddled with the debt problems of Europe and the US and the currency should therefore remain stable or appreciate against the currencies of its main trading partners. Whilst not immune from disrupted global trade, including those caused by US tariff policies and global conflicts, including the US/Iran war, India may benefit from a change of supply lines from China in particular. The Company does not have any direct or indirect exposure to conflict prone regions in Europe or the Middle East. The Board addresses geopolitical risks through regular challenge of the Investment Adviser and continues to monitor these issues as they arise.	increased
Sectoral diversification The Company's objective states that it shall invest primarily in securities listed on any recognised stock exchange in India and securities of companies with a Significant Presence in India that are listed on stock exchanges outside India. This might lead to a lack of geographic diversification in the portfolio. Concentration of investments in any one sector may result in greater volatility in the value of the Company’s investments and consequently its NAV and may materially and adversely affect the performance of the Company and returns to Shareholders.	The Company’s investment policy states that no single holding will represent more than 15% of the Company’s Gross Assets and no more than 40% of Gross Assets will be invested in any single sector (calculated at the time of investment). The investment policy allows a minimum of 50 investments to be held in the portfolio to assist with diversification. The Investment Adviser seeks to invest in high quality companies with strong balance sheets and sustainable business models. The Board measures the Company’s performance for reference purposes against the MSCI India IMI (in sterling terms). The Board also monitors performance relative to the Company’s peer group over a range of periods, taking into account the differing investment policies and objectives.	unchanged
Operational risks The Board has contractually delegated to external agencies the management of the investment portfolio, the custodial services (which include the safeguarding of the assets), the registration services and the accounting and company secretarial services. The Company is reliant upon the performance of its key third party service providers for its executive function. Failure by any service provider to carry out its obligations to the Company in accordance with the terms of its appointment could have a material adverse effect on the operation of the Company. Cyber security risks could lead to breaches of confidentiality, loss of data records and the inability to make investment decisions. The growing use of artificial intelligence has increased the risk from cyber crime.	Each of the contracts with the Company’s key service providers are entered into after full and proper consideration of the quality and cost of services offered, including the financial control systems in operation in so far as they relate to the affairs of the Company. All of the key service providers are subject to ongoing oversight by the Management Engagement Committee and their services are reviewed on an annual basis. The Board monitors key personnel risks as part of its oversight of the Investment Manager and the Investment Adviser and seeks assurance of appropriate succession planning and the adoption of a team based approach to mitigate this risk. The Company’s key service providers report periodically to the Board on their control procedures including those in respect of cyber security risks.	increased
Legal and Regulatory risks Breaches of Section 1158 of the Corporation Tax Act could result in loss of investment trust status. Loss of investment trust status would lead to the Company being subject to tax on any gains on the disposal of its investments. Breaches of the Financial Conduct Authority (“FCA”)’s rules applicable to listed entities could result in financial penalties or suspension of trading of the Company’s shares on the London Stock Exchange (“LSE”). Breaches of the Companies Act 2006, The Alternative Investment Fund Managers’ Directive, Accounting Standards, The UK Listing Rules, Disclosure Guidance and Transparency Rules, Prospectus Rules or other regulations with which the Company is required to comply could result in financial penalties or legal proceedings against the Company or its Directors. Failure of the Investment Manager to meet its regulatory obligations could have adverse consequences on the Company.	The Company has contracted out relevant services to appropriately qualified professionals. The Investment Manager and the Company Secretary report on regulatory matters to the Board on a quarterly basis. The assessment of regulatory risks forms part of the Board’s risk assessment programme. The Board reviews compliance and internal controls reports provided by its service providers, as well as the Company’s financial statements and revenue forecasts. Shareholder documents and announcements, including the Company’s published half yearly and annual reports and financial statements, are subject to stringent review processes. The Company Secretary presents a quarterly report on changes in the regulatory environment, including AIC updates, and how changes have been addressed.	unchanged
Financial risks The Company’s investment activities expose it to a variety of financial risks which include foreign currency risk and interest rate risk.	The investment policy states that while the Company retains the flexibility to do so, it is expected in the normal course of business that currency exposure will not be hedged. The Company does not currently have any borrowings, therefore is not exposed to interest rate risk. The Company’s financial risks are disclosed in note 15 to the financial statements.	unchanged
Sustainability and Climate Change The company may be mispositioned relative to prevailing investor sustainability preferences, impacting demand for its shares. The Company could suffer as a result of increased investor demand for products which promote sustainable investments. Climate change and climate change policies may lead to additional costs and risks for portfolio companies. Weather-related risks could create sudden or slow-onset hazards to portfolio companies.	The Investment Adviser considers various factors when evaluating potential investments, including environmental, social and governance and sustainability-related climate change risk. The Investment Adviser has implemented a sustainability policy statement which ensures integration of sustainability methodology into the investment process, with a strong focus on all these areas. The Investment Adviser is a signatory to the UN Principles for Responsible Investment and integrates these principles into its investment approach. In addition, the Investment Adviser uses its own proprietary internal framework, ABLExTM, for sustainability-related risk assessment. The Investment Adviser closely monitors businesses which have a greater exposure to climate change related risks and their progress towards a low-carbon transition. Implementation of the sustainability policy statement, including the ABLEx™ framework and climate-related monitoring described above, is overseen by the Investment Adviser’s Sustainability Committee. The Investment Adviser supports the recommendations of the Task Force on Climate-related Financial Disclosures (“TCFD”) which promotes increased transparency, encourages the development of tools and methods to manage climate-related risks and opportunities and contributes to the best practices in the industry.	unchanged

Statement of Directors’ Responsibilities

The Directors are responsible for preparing the Annual Report and Accounts in accordance with applicable laws and regulations.

The Companies Act 2006 (the “company law”) requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to prepare the Company financial statements in accordance with UK-adopted international accounting standards.

Under company law, the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company during and as at the end of the year. In preparing these financial statements, the Directors are required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and estimates, which are reasonable and prudent;

• present information including accounting policies and additional disclosures as required to ensure the report is presented in a manner that provides relevant, reliable, comparable and understandable information;

• state whether applicable UK-adopted international accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on a going concern basis unless it is inappropriate to presume that the Company will continue in business.

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s transactions and which disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The accounts are published on the Company’s website at https://ashokaindiaequity.com, which is maintained by the Investment Manager. The work carried out by the auditors does not involve consideration of the maintenance and integrity of this website and, accordingly, the auditors accept no responsibility for any changes that have occurred to the accounts since being initially presented on the website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Directors’ confirmation statement

The Directors each confirm to the best of their knowledge that:

(a) the financial statements, prepared in accordance with UK-adopted international accounting standards give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company as required by DTR 4.1.12R; and

(b) this Annual Report comprising the Strategic Report and Governance Statements includes a fair review of the development and performance of the business and position of the Company, together with a description of the principal and emerging risks that it faces as required by DTR 4.1.8R and DTR 4.1.9R.

Having taken advice from the Audit Committee, the Directors consider that the Annual Report and financial statements taken as a whole is fair, balanced and understandable and provides the information necessary for Shareholders to assess the Company’s performance, business model and strategy.

For and on behalf of the Board

Andrew Watkins

Chairman

6 October 2026

FINANCIAL STATEMENTS

Statement of Comprehensive Income

		For the year ended			For the year ended
		30 June 2026			30 June 2025
		Revenue	Capital	Total	Revenue	Capital	Total
	Note	£’000	£’000	£’000	£’000	£’000	£’000
(Losses)/gains on investments	4	–	(20,804)	(20,804)	–	27,199	27,199
Losses on currency movements		–	(368)	(368)	–	(2,204)	(2,204)
Net investment (losses)/gains		–	(21,172)	(21,172)	–	24,995	24,995
Income	5	3,162	–	3,162	3,011	–	3,011
Total income		3,162	(21,172)	(18,010)	3,011	24,995	28,006
Performance fees	7	(428)	(6,706)	(7,134)	(957)	(14,997)	(15,954)
Operating expenses	8	(1,022)	–	(1,022)	(1,007)	–	(1,007)
Operating (loss)/profit before taxation		1,712	(27,878)	(26,166)	1,047	9,998	11,045
Taxation	9	(446)	(1,441)	(1,887)	(372)	(11,726)	(12,098)
(Loss)/profit for the year		1,266	(29,319)	(28,053)	675	(1,728)	(1,053)
Earnings per Ordinary Share	10	0.75p	(17.27)p	(16.52)p	0.41p	(1.05)p	(0.64)p

There is no other comprehensive income and therefore the ‘(Loss)/profit for the year’ is the total comprehensive income for the year ended 30 June 2026.

The total column of the above statement is the profit and loss account of the Company. The supplementary revenue and capital columns, including the earnings per Ordinary Shares, are prepared under guidance from the Association of Investment Companies.

All revenue and capital items in the above statement derive from continuing operations.

Statement of Financial Position

		As at	As at
		30 June	30 June
		2026	2025
	Note	£’000	£’000
Non-current assets
Investments held at fair value through profit or loss	4	470,575	482,867
Current assets
Cash and cash equivalents		10,413	27,374
Dividend receivable		240	201
Other receivables		214	110
		10,867	27,685
Total assets		481,442	510,552
Current liabilities
Trade and other payables	6	(156)	(349)
Non-current liabilities
Performance fee payable	7	(23,088)	(15,954)
Capital gains tax provision	9	(14,671)	(18,094)
Total liabilities		(37,915)	(34,397)
Net assets		443,527	476,155
Equity
Share capital	12	1,706	1,720
Share premium account		251,497	248,415
Special distributable reserve	13	37,490	44,276
Capital reserve		151,434	180,753
Revenue reserve		1,400	991
Total equity		443,527	476,155
Net asset value per Ordinary Share	14	261.9p	278.9p

Approved by the Board of Directors on 6 October 2026 and signed on its behalf by:

Andrew Watkins

Chairman

Ashoka India Equity Investment Trust plc incorporated in England and Wales with registered number 11356069.

Statement of Changes in Equity

For the financial year ended 30 June 2026

			Share	Special
		Share	premium	distributable	Capital	Revenue
		Capital	account	reserve	reserve	reserve	Total
	Notes	£’000	£’000	£’000	£’000	£’000	£’000
Opening balance as at		1,720	248,415	44,276	180,753	991	476,155
1 July 2025
(Loss)/profit for the year		–	–	–	(29,319)	1,266	(28,053)
Issue of Ordinary Shares	12	11	3,156	–	–	–	3,167
Redemption of Ordinary Shares	12	(25)	–	(6,786)	–	–	(6,811)
Share issue costs		–	(74)	–	–	–	(74)
Dividends paid	11	–	–	–	–	(857)	(857)
Closing balance as at
30 June 2026		1,706	251,497	37,490	151,434	1,400	443,527
For the financial year ended 30 June 2025
			Share	Special
		Share	premium	distributable	Capital	Revenue
		Capital	account	reserve	reserve	reserve	Total
	Notes	£’000	£’000	£’000	£’000	£’000	£’000
Opening balance as at		1,572	206,794	44,276	182,481	316	435,439
1 July 2024
(Loss)/profit for the year		–	–	–	(1,728)	675	(1,053)
Issue of Ordinary Shares	12	148	42,070	–	–	–	42,218
Share issue costs		–	(449)	–	–	–	(449)
Closing balance as at
30 June 2025		1,720	248,415	44,276	180,753	991	476,155

The Company's distributable reserves consist of the special distributable reserve, revenue reserve and capital reserve attributable to realised profit.

Statement of Cash Flows

		For the year	For the year
		ended	ended
		30 June 2026	30 June 2025
	Note	£’000	£’000
Cash flows from operating activities
Operating (loss)/profit before taxation		(26,166)	11,045
Taxation paid		(5,310)	(11,161)
(Increase)/decrease in receivables		(143)	152
Increase in payables		6,941	13,267
Foreign exchange losses		368	–
Adjustment for losses/(gains) on investments	4	20,804	(27,161)
Net cash flow used in operating activities		(3,506)	(13,858)
Cash flows from investing activities
Purchase of investments		(121,743)	(264,317)
Sale of investments		113,231	258,103
Net cash flow used in investing activities		(8,512)	(6,214)
Cash flows from financing activities
Proceeds from issue of Ordinary Shares	12	3,167	42,218
Redemption of Ordinary Shares		(6,811)	–
Share issue costs		(74)	(449)
Dividends paid		(857)	–
Net cash flow (used in)/from financing activities		(4,575)	41,769
(Decrease)/increase in cash and cash equivalents		(16,593)	21,697
Effect of exchange rate changes on cash and cash equivalents	12	(368)	–
Cash and cash equivalents at start of year		27,374	5,677
Cash and cash equivalents at end of year		10,413	27,374

Notes to the Financial Statements

1. Reporting entity

Ashoka India Equity Investment Trust plc is a closed-ended investment company, registered in England and Wales on 11 May 2018. The Company’s registered office is 4th Floor 46-48 James Street, London, England, W1U 1EZ. Business operations commenced on 6 July 2018 when the Company’s Ordinary Shares were admitted to trading on the LSE. The financial statements of the Company are presented for the year from 1 July 2025 to 30 June 2026.

The Company primarily invests in securities listed on any stock exchange in India and can invest in the securities of companies with a significant presence in India that are listed on stock exchanges outside India.

2. Basis of preparation

Statement of compliance

These financial statements have been prepared in accordance with applicable law and the UK-adopted international accounting standards (“IAS”) and the applicable requirements of the Companies Act 2006. The financial statements have been prepared on a historical cost basis, except for the measurement at fair value of investments.

When presentational guidance set out in the Statement of Recommended Practice (“SORP”) for Investment Companies issued by the Association of Investment Companies (“the AIC”) in July 2022 is consistent with the requirements of IAS, the Directors have sought to prepare the financial statements on a basis compliant with the recommendations of the SORP.

In preparing these Financial Statements the Directors have considered the impact of climate change risk as a Principal and emerging risk. In line with the UK-adopted international accounting standards, investments are valued at fair value, being primarily quoted prices for investments in active markets at the balance sheet date, and therefore reflect market participant’s view of climate change risk. Unlisted investments, valued by reference to appropriate valuation techniques (see note 3), similarly reflect market participants’ view of climate change risk.

Going concern

The Directors have concluded that there is a reasonable expectation that the Company will have adequate liquidity and cash balances to meet its liabilities, including those from the Company’s annual redemption facility, as they fall due and continue in operational existence for the foreseeable future and continue as a going concern for the period to 31 December 2027. As such the Directors have adopted the going concern basis in preparing the financial statements.

Use of estimates and judgements

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results.

Estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected.

The Indian capital gains tax provision represents an estimate of the amount of tax payable by the Company. Tax amounts payable may differ from this provision depending on when the Company disposes of investments. The current provision for Indian capital gains tax is calculated based on the long-term or short-term nature of the investments and the applicable tax rate at the year end. Currently, the short-term tax rate is 20% and the long-term tax rate is 12.5% (30 June 2025: 20% and 12.5% respectively). The estimated tax charge is subject to regular review including a consideration of the likely period of ownership, tax rates and market valuation movements.

As disclosed in the statement of financial position, the Company made a capital gains tax provision as at 30 June 2026 of £14,671,000 (30 June 2025: £18,094,000) in respect of unrealised gains on investments held.

The key estimate in the financial statements is the determination of the fair value of the unlisted investments by the Investment Manager for consideration by the Directors. This estimate is key as it significantly impacts the valuation of the unlisted investments at the year end. The fair valuation process involves estimation using subjective inputs that are unobservable (for which market data is unavailable). The key inputs considered in the valuation are described in note 15.

Fair value estimates are cross-checked to alternative estimation methods where possible to improve the robustness of the estimates. The risk of an over or under estimation of fair values is greater when methodologies are applied using more subjective inputs.

Basis of measurement

The financial statements have been prepared on the historical cost basis except for financial instruments at fair value through profit or loss, which are measured at fair value.

The Company’s investments are denominated in Indian rupees. However, the Company’s shares are issued in sterling and the majority of its investors are UK based. The Company’s expenses and dividends are also paid in sterling. Therefore, the financial statements are presented in sterling, which is the Company’s functional currency. All financial information has been rounded to the nearest thousand pounds.

3. Accounting policies

(a) Investments

Listed investments

Changes in the fair value of investments held at fair value through profit or loss and gains or losses on disposal are included in the capital column of the Statement of Comprehensive Income within “(Losses)/gains on investments”.

Investments are derecognised on the trade date of their disposal, which is the point where the Company transfers substantially all the risks and rewards of the ownership of the financial asset. Any dividend declared between the disposal trade and settlement date is not attributable to the Company.

Transaction costs directly attributable to the acquisition of investments at fair value through profit or loss are recognised under gains/(losses) on investments.

Unlisted investments

The Investment Manager unlisted investment valuation policy applies techniques consistent with the IPEV Guidelines.

The techniques applied are predominantly market-based approaches. The market-based approaches available under IPEV Guidelines are set out below and are followed by an explanation of how they are applied to the Company’s unlisted portfolio:

— Multiples;

— Price of Recent Investment (“PORI)) with calibration.

The nature of the unlisted portfolio will influence the valuation technique applied. The valuation approach recognises that, as stated in the IPEV Guidelines, the price of a recent investment, if resulting from an orderly transaction, generally represents fair value as at the transaction date and may be an appropriate starting point for estimating fair value at subsequent measurement dates. However, consideration is given to the facts and circumstances as at the subsequent measurement date, including changes in the market or performance of the investee company.

Additionally, the background to the transaction must be considered. As a result, various multiples-based techniques are employed to assess the valuations, particularly for those companies with established revenues. The PORI, together with appropriate calibration where applicable, is used where appropriate. An absence of relevant industry peers may preclude the application of the multiples-based approach. All valuations are cross-checked for reasonableness by employing relevant alternative techniques. Ancillary costs that are directly attributable to the acquisition of unlisted investments are recognised as part of the book cost of investment.

(b) Foreign currency

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing on the dates of the transactions. At the date of each Statement of Financial Position, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on that date. Non-monetary assets and liabilities carried at fair value that are denominated in foreign currencies are translated at the rates prevailing at the date when the fair value was determined. Gains and losses arising on retranslation are included in the Statement of Comprehensive Income within the revenue or capital column depending on the nature of the underlying item. Foreign exchange movements on investments are included in the Statement of Comprehensive Income within “Losses on currency movements”.

(c) Income from investments

Dividend income from shares is accounted for on the basis of ex-dividend dates. Overseas income is grossed up at the appropriate rate of tax.

Special dividends are assessed on their individual merits and may be credited to the Statement of Comprehensive Income as a capital item if considered to be closely linked to reconstructions of the investee company or other capital transactions. All other investment income is credited to the Statement of Comprehensive Income as a revenue item.

Interest on fixed income instruments is accounted on an accrual basis.

(d) Capital reserves

Profits or losses arising on the sale of investments and changes in fair value arising upon the revaluation of investments are credited or charged to the capital column of the Statement of Comprehensive Income and allocated to the Capital reserve.

The Company’s redemption facility is subject to approval by the Board and as such the redemption facility does not represent a contractual obligation on the Company and the shares are accordingly classified as equity.

(e) Expenses

All expenses are accounted for on an accrual basis. Expenses are recognised through the Statement of Comprehensive Income as revenue items. For the year ended 30 June 2026, performance fees payable are allocated in accordance with the AIC guidance where that part of the Performance fee directly attributable to the revenue performance of the Company is allocated to revenue and shown in the revenue column of the Statement of Comprehensive Income, and the part that is directly attributable to the capital performance of the Company’s investments is allocated to capital and shown in the capital column of the Statement of Comprehensive Income. For further details on performance fee, see note 7.

No other management fees are payable by the Company.

(f) Cash and cash equivalents

Cash comprises cash at bank and demand deposits. For purposes of the statement of cash flows, cash equivalents, including bank overdrafts, are short-term, highly liquid investments that are readily convertible to known amounts of cash, are subject to insignificant risks of changes in value, and are held for the purpose of meeting short-term cash commitments rather than for investment or other purposes.

(g) Taxation

Irrecoverable taxation on dividends is recognised on an accrual’s basis in the Statement of Comprehensive Income. Indian tax rates for dividends with ex-dividend dates post 1 April 2020 are subject to 20% withholding tax. See note 9 for further details.

The tax charges on Indian capital gains taxes are shown in the Statement of Comprehensive Income, recognised on an accrual basis. The Company is not subject to UK capital gains tax. The Company is subject to Indian capital gains tax on realised and unrealised gains arising on its investments. A provision for Indian capital gains tax is recognised on an accrual basis and is measured using the applicable tax rates in force at the reporting date, taking account of the long-term or short-term nature of the underlying gains. For further details on Indian capital gains tax, see note 9.

Deferred taxation

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit and is accounted for using the statement of financial position liability method. Deferred tax liabilities are recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Investment trusts which have approval as such under Section 1158 of the Corporation Tax Act 2010 are not liable for UK taxation on capital gains.

(h) Adoption of new IFRS standards

A number of new standards, amendments to standards and interpretations are effective for the annual periods beginning on or after 1 January 2025. None of these have a material impact on the measurement of the amounts recognised in the financial statements of the Company.

(i) New standards and amendments issued but not yet effective

The relevant new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the Company’s financial statements are disclosed below. These standards are not expected to have a material impact on the entity in future reporting periods and on foreseeable future transactions.

Amendments to IFRS 9 and IFRS 7: Contracts Referencing Nature-dependent Electricity

In May 2024, the IASB issued amendments to IFRS 9 and IFRS 7 to provide guidance on the classification and measurement of contracts referencing nature-dependent electricity. These amendments are effective for annual reporting periods beginning on or after 1 January 2026.

IFRS 18 Presentation and Disclosure in Financial Statements

In April 2024, the IASB published IFRS 18, including new requirements for presentation and disclosure in the financial statements with a focus on the income statement. IFRS 18 will not impact the recognition or measurement of items in the financial statements, but it might change what an entity reports as its operating profit or loss. IFRS 18 will be effective for annual reporting periods on or after 1 January 2027, with earlier application permitted.

IFRS 19: Subsidiaries without Public Accountability – Disclosures

In April 2024, the IASB issued IFRS 19, which provides disclosure requirements for subsidiaries without public accountability. IFRS 19 is effective for annual reporting periods beginning on or after 1 January 2027, with earlier application permitted.

Amendments to IFRS 9 and IFRS 7- Amendments to the Classification and Measurement of Financial Instruments

In May 2024, the IASB published Amendments to IFRS 9 and IFRS 7 - Amendments to the Classification and Measurement of Financial instruments. The Amendments will be effective for annual reporting periods beginning on or after 1 January 2026, with earlier application permitted.

Annual Improvements to IFRS Accounting Standards (2024)

In 2024, the IASB issued Annual Improvements to IFRS Accounting Standards (2024), which comprise a collection of minor amendments to a number of IFRS Accounting Standards intended to clarify wording or correct relatively minor unintended consequences. The amendments are effective for annual reporting periods beginning on or after 1 January 2026.

4. Investments held at fair value through profit or loss

(a) Investments held at fair value through profit or loss

	As at	As at
	30 June 2026	30 June 2025
	£’000	£’000
Quoted investments in India	440,034	450,591
Unquoted investments in India	30,541	32,276
Closing valuation	470,575	482,867

(b) Movements in valuation

	As at	As at
	30 June 2026	30 June 2025
	£’000	£’000
Opening valuation	482,867	451,026
Opening unrealised gains on investments	(91,843)	(121,134)
Opening book cost	391,024	329,892
Additions, at cost	121,477	262,282
Disposals, at cost	(100,107)	(201,150)
Closing book cost	412,394	391,024
Revaluation of investments	58,181	91,843
Closing valuation	470,575	482,867

These investments have been revalued over time and until they were sold any unrealised gains/(losses) were included in the fair value of investments.

Transaction costs on investment purchases for the year ended 30 June 2026 amounted to £266,000 (30 June 2025: £501,000) and on investment sales for the financial year to 30 June 2026 amounted to £329,000 (30 June 2025: £384,000). As at year end £26.0 million (30 June 2025: £32.7 million) of investments were subject to lock in periods.

(c) Gains/(losses) on investments

	For the	For the
	Year ended	Year ended
	30 June 2026	30 June 2025
	£’000	£’000
Realised gains on disposal of investments	13,453	57,337
Transaction costs	(595)	(885)
Movement in unrealised gains on investments held	(33,547)	(29,291)
Movement in unrealised gains on futures held	(115)	38
Total (losses)/gains on investments	(20,804)	27,199

Under IFRS 13 ‘Fair Value Measurement’, an entity is required to classify investments using a fair value hierarchy that reflects the significance of the inputs used in making the measurement decision.

The following shows the analysis of financial assets recognised at fair value based on:

Level 1

Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date.

Level 2

Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly or indirectly.

Level 3

Unobservable inputs for the asset or liability.

The classification of the Company’s investments held at fair value is detailed in the table below:

	As at 30 June 2026				As at 30 June 2025
	Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
	£’000	£’000	£’000	£’000	£’000	£’000	£’000	£’000
Investments at fair value through
profit and loss
– Quoted investments in India	440,034	–	–	440,034	450,591	–	–	450,591
– Unquoted investments in India	–	–	30,541	30,541	–	–	32,276	32,276
	440,034	–	30,541	470,575	450,591	–	32,276	482,867

The movement on the Level 3 unquoted investments during the period is shown below:

	As at	As at
	30 June 2026	30 June 2025
	£’000	£’000
Opening balance	32,276	2,614
Additions during the year	12,588	29,087
Disposals during the year	–	–
Conversion from level 3 to level 1 investments	(9,661)	–
Total (losses)/gains for the year recognised in profit or loss	(4,662)	575
Closing balance	30,541	32,276

As at year end, the Company had seven unquoted investments; Veeda Clinical Research Ltd 680,790 shares, Simpolo Vitrified Private Ltd 3,120,000 shares, Kusumgar Limited 958,904 shares, NSE India Limited 230,392 shares, Alternicq Limited 1,497,145 shares, La Renon Healthcare Private Limited 239,354 shares and Knack Packaging Limited 882,736 shares.

During the year, investments with a fair value of £9,661,000 were transferred from Level 3 to Level 1 following the investee company’s admission to trading on a recognised stock exchange, resulting in the availability of quoted market prices for the investment.

Unquoted investments are valued by the Investment Manager in accordance with the International Private Equity and Venture Capital Valuation Guidelines 2025 (“IPEV”) guidelines which are consistent with IAS. The Investment Manager applies techniques consistent with the IPEV.

Financial assets and liabilities are held at fair value in the financial statements with the exception of short-term assets and liabilities where their carrying value approximates to fair value.

5. Income

	For the	For the
	year ended	year ended
	30 June 2026	30 June 2025
	£’000	£’000
Income from investments:
Overseas dividends	2,673	2,299
Overseas income – REIT	469	662
Other income:
Bank interest Income	20	50
Total income	3,162	3,011

6. Trade and other payables

	As at	As at
	30 June 2026	30 June 2025
	£’000	£’000
Accrued expenses	156	349
Total trade and other payables	156	349

7. Performance fee

	For the year ended 30 June 2026			For the year ended 30 June 2025
	Revenue	Capital	Total	Revenue	Capital	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Performance fees expenses	428	6,706	7,134	957	14,997	15,954

The Investment Manager does not receive a fixed management fee in respect of its portfolio management services to the Company. The Investment Manager will become entitled to a performance fee subject to the Company delivering excess returns versus the MSCI India IMI Index (in sterling terms) in the medium term. The performance fee is measured over periods of three years (Performance Period) with this Performance Period ending on 30 June 2027. The performance fee in any Performance Period shall be capped at 12% of the time weighted average adjusted net assets during the relevant Performance Period. The Investment Management Agreement was updated during the year to clarify that under its terms, the Investment Manager has the optionality to receive the performance fee in cash. However, the Investment Manager has given written confirmation of their intention not to exercise this election and to receive any performance fee in Ordinary Shares.

The performance fee is calculated at a rate of 30% of the excess returns between adjusted NAV per share on the last day of the performance period and the MSCI India IMI Index (in sterling terms) over the performance period, adjusted for the weighted average number of Ordinary Shares in issue during the performance period. The Performance Fee in respect of each Performance Period will be paid at the end of the three year period.

The performance fee is allocated in accordance with the AIC guidance where that part of the Performance fee directly attributable to the revenue performance of the Company (6%) is allocated to revenue and shown in the revenue column of the Statement of Comprehensive Income, and the part that is directly attributable to the capital performance of the Company’s investments (94%) is allocated to capital and shown in the capital column of the Statement of Comprehensive Income.

As at 30 June 2026, there was a £23,088,000 provision for the performance fee liability to the Investment Manager for the two year performance period (30 June 2025: £15,954,000 for the previous one year performance period).

8. Operating expenses

	For the	For the
	year ended	year ended
	30 June 2026	30 June 2025
	£’000	£’000
Administration & secretarial fees	257	298
Auditor’s remuneration – Statutory audit fee1	87	75
Broker fees	47	41
Custody services	94	95
Directors’ fees	165	152
Tax compliance and advice	116	61
Marketing and public relations2	(26)	58
Registrar fees	33	26
Legal Fees	45	59
Regulatory fees	36	35
Other expenses3	168	107
Total	1,022	1,007

1  Auditor’s remuneration excludes VAT.

2 Marketing and public relations fees includes fees written back from prior years.

3 Other expenses include Employers National Insurance Contribution, LSE, KID fees, other license fees, bank charges and other professional, consultancy and miscellaneous fees.

9. Taxation

(a) Analysis of charge in the year:

	For the year ended 30 June 2026			For the year ended 30 June 2025
	Revenue	Capital	Total	Revenue	Capital	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Capital gains tax provision	–	(3,423)	(3,423)	–	937	937
Capital gains expense	–	4,864	4,864	–	10,789	10,789
Indian withholding tax	446	–	446	372	–	372
Total tax charge for the year	446	1,441	1,887	372	11,726	12,098

The Company is liable to Indian capital gains tax under Section 115 AD of the Indian Income Tax Act 1961. A tax provision on Indian capital gains is calculated based on the long term (securities held more than one year) or short term (securities held less than one year) nature of the investments and the applicable tax rate at the period end. The short-term tax rates are 20% and the long term tax rates are 12.5% (30 June 2025: 20% and 12.5% respectively).

(b) Factors affecting the tax charge for the year:

The standard UK corporation tax rate for the year is 25% (30 June 2025: 25%). The tax charge differs from the charge resulting from applying the standard rate of UK corporation tax for an investment trust company. The differences are explained below:

	For the	For the
	Year ended	Year ended
	30 June 2026	30 June 2025
	£’000	£’000
Operating (loss)/profit before taxation	(26,166)	11,045
UK Corporation tax at 25% (2025: 25%)	(6,542)	2,761
Effects of:
Indian capital gains tax charge	1,441	11,726
Losses/(gains) on investments not taxable	5,293	(6,249)
Overseas dividends not taxable	(785)	(740)
Other income not taxable	(5)	(12)
Unutilised management expenses	2,039	4,240
Indian withholding tax	446	372
Total tax charge for the year	1,887	12,098

The Company is not liable to UK Corporation tax on capital gains due to its status as an investment trust. The Company has an unrecognised deferred UK Corporation tax asset of £9,783,000 (30 June 2025: £8,034,000) based on the UK corporation tax rate of 25% (2025: 25%). This asset has accumulated because deductible expenses exceeded taxable income for the year ended 30 June 2026. No asset has been recognised in the accounts because, given the composition of the Company’s portfolio, it is unlikely that this asset will be utilised in the foreseeable future.

(c) Movements on the capital gains tax provision for the year

The capital gains tax provision represents an estimate of the amount of tax provisionally payable by the Company on direct investment in Indian equities. It is calculated based on the long term or short term nature of the investments and the unrealised gain thereon at the applicable tax rate at the year end. As of 30 June 2026, the Company made a capital gains tax provision of £14,671,000 (30 June 2025: £18,094,000) in respect of unrealised gains on investments held.

10. Earnings per Ordinary Share

	For the year ended 30 June 2026			For the year ended 30 June 2025
	Revenue	Capital	Total	Revenue	Capital	Total
(Loss)/profit for the year (£’000)	1,266	(29,319)	(28,053)	675	(1,728)	(1,053)
Earnings per Ordinary Share (pence)	0.75	(17.27)	(16.52)	0.41	(1.05)	(0.64)

Earnings per Ordinary Share is based on the loss for the year of £28,053,000 (30 June 2025: loss £1,053,000) attributable to the weighted average number of Ordinary Shares in issue during the year ended 30 June 2026 of 169,732,100 (30 June 2025: 164,187,886).

11. Dividend

(a) Dividends paid during the year

The Company’s objective is to provide shareholder returns through capital growth with income being a secondary consideration. It should not be expected that the Company will pay a significant annual dividend, but the Board intends to declare such annual dividends as are necessary to maintain the Company’s UK investment trust status. Dividends paid during the respective years are detailed in the table below:

	For the year ended		For the year ended
	30 June 2026		30 June 2025
	Rate	£’000	Rate	£’000
Final dividend – 30 June 2025	0.5p	857	–	–

(b) Dividends payable in respect of the financial year, which is the basis on which the requirements of s1158-1159 of the Corporation Tax Act 2010 are considered

	For the year ended		For the year ended
	30 June 2026		30 June 2025
	Rate	£’000	Rate	£’000
Proposed dividend for the year	[0.6]p	[1,016]	0.5p	857

12. Share capital

	As at 30 June 2026		As at 30 June 2025
	No. of shares	£’000	No. of shares	£’000
Allotted, issued and fully paid:
Redeemable Ordinary Shares of 1p each	169,317,811	1,693	170,741,893	1,707
(‘Ordinary Shares’)
Non-Redeemable Shares of £1.00 each	50,000	13	50,000	13
(‘Management Shares’)
Total	169,367,811	1,706	170,791,893	1,720

Ordinary Shares

On incorporation, the issued share capital of the Company was 1 Ordinary Share of £0.01.

During the year ended 30 June 2026, 1,125,000 Ordinary Shares (30 June 2025: 14,849,496) were issued, with aggregate gross proceeds of £3,167,000 (30 June 2025: £42,218,000).

The Company has a redemption facility through which shareholders are entitled to request the redemption of all or part of their holding of Ordinary Shares on an annual basis. At the Redemption Point of 30 September 2025, 2,549,082 Ordinary Shares were redeemed by the Company at a redemption price of 267.19 pence per share. Since the year end, at the Redemption Point of 30 September 2026, 9,369,072 shares where redeemed by the Company at a redemption price of 260.16 pence per share.

The Ordinary Shares have attached to them full voting, dividend and capital distribution rights. They confer rights of redemption. The Company’s special distributable reserve may also be used for share repurchases, both into treasury or for cancellation.

As at the date of this report, the total number of Ordinary Shares in issue is 169,317,811.

In addition to the above, on incorporation the Company issued 50,000 Management Shares of nominal value of £1.00 each.

Management shares

The holder of the Management Shares undertook to pay or procure payment of one quarter of the nominal value of each Management share on or before the fifth anniversary of the date of issue of the Management Shares. The Management Shares are held by WhiteOak Capital Management (UK) Limited.

The Management Shares do not carry a right or attend or vote at general meetings of the Company unless no other shares are in issue at that time. The Management Shares have been treated as equity in accordance with IAS.

13. Special distributable reserve

As indicated in the Company’s prospectus dated 19 June 2018, following admission of the Company’s Ordinary Shares to trading on the LSE, the Directors applied to the Court and obtained a judgement on 4 December 2018 to cancel the amount standing to the credit of the share premium account of the Company. The amount of the share premium account cancelled and credited to a special distributable reserve was £44,275,898. This reserve may also be used to fund dividend/distribution payments including the Company's annual redemption facility.

Under the Company’s redemption facility, at the redemption point of 30 September 2025, 2,549,082 Ordinary Shares were redeemed by the Company at a redemption price of 267.19 pence per share, with £6,786,000 paid from the special distributable reserve.

14. Net assets per ordinary share

Net assets per ordinary share as at 30 June 2026 of 261.9p (30 June 2025: 278.9p) is calculated based on £443,527,000 (30 June 2025: £476,155,000) of net assets of the Company attributable to the 169,317,811 (30 June 2025: 170,741,893) Ordinary Shares in issue as at 30 June 2026.

15. Financial instruments and capital disclosures

(i) Market risks

The Company is subject to a number of market risks in relation to economic conditions in India. Further details on these risks and the management of these risks are included in the Strategic report.

The Company’s financial assets and liabilities comprised:

	As at 30 June 2026			As at 30 June 2025
	Interest	Non-interest		Interest	Non-interest
	bearing	bearing	Total	bearing	bearing	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Investments	–	470,575	470,575	–	482,867	482,867
Total investment	–	470,575	470,575	–	482,867	482,867
Cash and cash equivalent	1,051	9,362	10,413	762	26,612	27,374
Short-term debtors	–	454	454	–	311	311
Short-term creditors	–	(156)	(156)	–	(349)	(349)
Long-term creditors	–	(37,759)	(37,759)	–	(34,048)	(34,048)
Other net assets	1,051	(28,099)	(27,048)	762	(7,474)	(6,712)
Total financial assets and liabilities	1,051	442,476	443,527	762	476,155	476,155

Market price risk sensitivity

The effect on the portfolio of a 10% increase or decrease in market prices would have resulted in an increase or decrease of £47,057,500 (30 June 2025: £48,286,700) in the investments held at fair value through profit or loss at the period end date, which is equivalent to 10.6% (30 June 2025: 10.1%) of the net assets attributable to equity holders. This analysis assumes that all other variables remain constant.

The Company’s portfolio of unlisted level 3 investments is not necessarily affected by market performance, however the valuations may be affected by the performance of the underlying securities in line with the valuation criteria in note 15.

The unlisted securities sensitivity analysis recognises that the valuation methodologies employed involve different levels of subjectivity in their inputs. With the exception of Knack Packaging Limited, the valuations as at 30 June 2026 were based on independent valuations prepared by KPMG Valuation Services LLP. These valuations were determined using market-based methodologies, specifically the Comparable Company method and the PORI plus calibration method. Knack Packaging Limited was valued using the Price of Recent Investment plus calibration, being the Anchor Investment Allocation price prior to the company's Initial Public Offering.

A. National Stock Exchange of India Limited

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
PORI plus calibration	3,861	For purposes of the sensitivity table, it has been determined that the calibrated recent transaction valuation is the appropriate basis to illustrate valuation sensitivity. The valuation was derived using the price of the most recent investment transaction, calibrated for changes in market conditions between the transaction date and the valuation date with reference to P/E multiples of comparable listed exchange businesses. For sensitivity purposes, the valuation- date P/E multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was then applied after taking into account the 15% discount applied to the selected multiple and the equity value adjustments reflected in the valuation in order to derive the revised valuation.	Median P/E multiple of comparable companies	56.0x – 62.0x	59.0x	386	(386)

B. Simpolo Vitrified Private

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
Comparable Companies method	5,861	For purposes of the sensitivity table, it has been determined that the median EV/EBITDA of Comparable Companies is the appropriate basis to illustrate valuation sensitivity. The valuation was derived with reference to EV/EBITDA multiples of comparable companies primarily operating in the similar sector, further shortlisted based on trading per cent higher than 10 per cent. For sensitivity purposes, the valuation-date EV/EBITDA multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was applied to the original investment cost to derive the revised valuation.	Median EV/EBITDA multiple of comparable companies	8.4x – 24.5x	14.1x	562	(562)

C. Kusumgar Limited

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
PORI plus calibration	2,793	For purposes of the sensitivity table, it has been determined that the calibrated recent transaction valuation is the appropriate basis to illustrate valuation sensitivity. The valuation was derived using the price of the most recent investment transaction, calibrated for changes in market conditions between the transaction date and the valuation date with reference to EV/EBITDA multiples of comparable listed companies in the sector. For sensitivity purposes, the valuation-date EV/ EBITDA multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was applied to the original investment cost to derive the revised valuation.	Median EV/EBITDA multiple of comparable companies	6.4x – 23.6x	18.2x	279	(279)

D. La Renon Healthcare Private Limited

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
PORI plus calibration	5,251	For purposes of the sensitivity table, it has been determined that the calibrated recent transaction valuation is the appropriate basis to illustrate valuation sensitivity. The valuation was derived using the price of the most recent investment transaction, calibrated for changes in market conditions between the transaction date and the valuation date with reference to EV/EBITDA multiples of comparable listed companies in the sector. For sensitivity purposes, the valuation-date EV/EBITDA multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was applied to the original investment cost to derive the revised valuation.	Median EV/EBITDA multiple of comparable companies	18.8x – 37.2x	24.5x	517	(517)

E. Veeda Clinical Research

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
Comparable Companies method	2,622	For purposes of the sensitivity table, it has been determined that the mean EV/EBITDA of Comparable Companies is the appropriate basis to illustrate valuation sensitivity. The valuation was derived with reference to EV/EBITDA multiples of comparable listed companies in the sector further shortlisted based on business operations, product/service offerings, trading frequency, geography of operations etc. For sensitivity purposes, the valuation-date EV/EBITDA multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was applied to the original investment cost to derive the revised valuation.	Mean EV/EBITDA multiple of comparable companies	16.4x – 38.2x	24.0x	293	(293)

F. Alternicq Limited

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
PORI plus calibration	8,956	For purposes of the sensitivity table, it has been determined that the calibrated recent transaction valuation is the appropriate basis to illustrate valuation sensitivity. The valuation was derived using the price of the most recent investment transaction, calibrated for changes in market conditions between the transaction date and the valuation date with reference to EV/EBITDA mult iples of comparable listed companies in the sector. For sensitivity purposes, the valuation-date EV/EBITDA multiples of the comparable companies were adjusted by plus or minus 10%, the resulting median multiple for each scenario was compared to the median multiple at the transaction date, and the implied calibration adjustment was applied to the original investment cost to derive the revised valuation.	Median EV/EBITDA multiple of comparable companies	6.4x – 15.6x	10.4x	1,035	(1,035)

G. Knack Packaging Limited

Valuation Technique	Fair Value of investments £000	Key variable Input	Variable Input sensitivity (%)	Range	Average  range	Positive impact £000	Negative impact £000
PORI plus calibration	1,197	The valuation was derived using the price of the most recent investment transaction being the Anchor  Investment Allocation price prior to the company's IPO, calibrated for changes in market conditions.	n/a	n/a	n/a	n/a	n/a

Key variable inputs

The variable inputs applicable to each broad category of valuation basis will vary dependent on the particular circumstances of each unlisted company valuation. An explanation of each of the key variable inputs is provided below and includes an indication of the range in value for each input, where relevant.

Application of valuation basis

Each investment is assessed individually and the valuation basis applied will vary depending on the specific facts and circumstances of that investment. As at 30 June 2026, the principal valuation methodologies applied were the Comparable Companies method, the PORI, and PORI plus calibration method.

Under the Comparable Companies method, fair value is estimated using valuation multiples derived from comparable listed companies, with appropriate judgement applied to reflect differences in business model, size, profitability, growth profile and marketability.

Under the PORI plus calibration method, fair value is assessed using the price of the most recent investment transaction as a starting point and calibrating that price, where appropriate, for changes in market conditions, company performance and other relevant valuation indicators between the transaction date and the reporting date.

Recent transaction price and calibration

For investments valued using the PORI or PORI plus calibration method, the recent transaction price represents an important starting point in the determination of fair value. The transaction price is assessed in the context of the facts and circumstances of the investment and is calibrated, where appropriate, to reflect changes between the transaction date and the reporting date.

Calibration may take into account changes in market conditions, movements in valuation multiples of comparable listed companies, changes in the financial performance or outlook of the investee company and other relevant company-specific or market-based indicators.

Selection of comparable companies

The selection of comparable companies is assessed individually for each investment at each valuation date. The relevance of comparable companies is determined by reference to factors such as industry sector, business model, geography, scale, profitability and growth profile.

The valuation multiples derived from the selected comparable companies are used either directly, in the case of the Comparable Companies method, or as part of the calibration of recent transaction pricing under the PORI plus calibration method.

Selection of valuation multiples

The valuation multiples applied in the valuation process depend on the nature of the investee company and the availability of relevant market information. As at 30 June 2026, the principal multiples considered in the valuation of the unlisted investments included earnings-based multiples such as EV/EBITDA and P/E, as appropriate to the relevant investment.

Judgement is applied in determining the appropriate multiple, taking account of the characteristics of the investee company relative to the selected comparable companies, including differences in scale, growth prospects, margins, risk profile and marketability.

Market conditions and company-specific factors

In determining fair value, consideration is also given to changes in broader market conditions and company-specific factors between the transaction date and the reporting date. These may include changes in listed market valuations, sector sentiment, operating performance, profitability, leverage, liquidity and other relevant developments affecting the investee company.

Such factors are considered as part of the calibration process and may result in an increase or decrease in the carrying value of the investment at the reporting date.

(ii) Liquidity risks

There is a risk that the Company’s holdings may not be able to be realised at reasonable prices in a reasonable timeframe. Portfolio by maturity at the year end are shown below:

	30 June 2026	30 June 2025
	%	%
Within one to seven days	85.0	85.0
Between seven days to one month	6.0	8.3
Between one and three months	2.5	0.4
Greater than three months1	6.5	6.3
Total	100.0	100.0

1  To be prudent, the Company’s unlisted holdings are included within maturity greater than three months, although in practice, these holdings may be liquidated in a shorter timeframe.

Management of liquidity risks

The Company has a diversified portfolio. The liquidity of the portfolio is reviewed regularly by the Investment Manager and the Board.

(iii) Currency risks

Although the Company’s performance is measured in sterling, a high proportion of the Company’s assets are denominated in Indian rupees. Change in the exchange rate between sterling and Indian rupees may lead to a depreciation of the value of the Company’s assets as expressed in sterling and may reduce the returns to the Company from its investments.

Currency sensitivity

The below table shows the foreign currency profile of the Company.

Foreign currency risk profile

	As at 30 June 2026			As at 30 June 2025
		Net	Total		Net	Total
	Investment	monetary	currency	Investment	monetary	currency
	exposure	exposure	exposure	exposure	exposure	exposure
Investments	£’000	£’000	£’000	£’000	£’000	£’000
Indian Rupees	451,308	(9,441)	441,867	467,025	(4,638)	462,387
US Dollar	19,267	1,060	20,327	15,843	803	16,646
Total investment	470,575	(8,381)	462,194	482,868	(3,835)	479,033

Based on the financial assets and liabilities at 30 June 2026 and all other variables remaining constant, if sterling had weakened/strengthened against foreign currencies by 10%, the impact on the Company’s net assets at 30 June 2026 would have been an increase/(decrease) in fair value as follows:

	30 June 2026		30 June 2025
	Increase in	Decrease in	Increase in	Decrease in
	Fair Value	Fair Value	Fair Value	Fair Value
	£’000	£’000	£’000	£’000
Indian Rupees	44,187	(44,187)	46,239	(46,239)
US Dollar	2,033	(2,033)	1,665	(1,665)

Management of currency risks

The Company’s Investment Manager monitors the currency risk of the Company’s portfolio on a regular basis. Foreign currency exposure is regularly reported to the Board by the Investment Manager.

The Board does not intend to hedge currency risk using any sort of foreign currency transactions, forward transactions or derivative instruments.

(iv) Credit risks

Credit risk is the risk that the issuer of a financial instrument will fail to fulfil an obligation or commitment that it has entered into with the Company.

Cash and other assets are held by the custodian.

Management of credit risks

The Company has appointed Kotak Mahindra Bank Limited (Kotak) as its depositary. The credit rating of Kotak was reviewed at the time of appointment and will be reviewed on a regular basis by the Investment Manager and the Board.

The Investment Manager monitors the Company’s exposure to its counterparties on a regular basis and trades in equities are performed on a delivery versus payment basis. Impairment assessment based on an expected credit loss model is not considered material to the Company.

At 30 June 2026, the Depository held £451,255,000 (30 June 2025: £467,086,000) in respect of quoted and unquoted investments, with £19,320,000 held with SBM Bank (Mauritius) (30 June 2025: £15,781,000). £4,833,000 in respect of cash was held by the Depository (30 June 2025: £13,191,000) with £15,000 held with SBM Bank (30 June 2025: Nil with SBM Bank, £54,000 with ICICI Bank), £4,514,000 held with RBS Bank (30 June 2025: £13,421,000) and £1,051,000 held with HSBC Bank (30 June 2025: £709,000).

(v) Capital management policies and procedures

The Company considers its capital to consist of its share capital of Ordinary Shares of 1p each, Management Shares of £1 each, and reserves totalling £443,527,000 (30 June 2025: £476,155,000).

The Company is not subject to any externally imposed capital requirements.

The Investment Manager and the Company’s Broker monitor the demand for the Company’s shares and the Directors review the position at Board meetings.

16. Related party transactions

The amount accrued in respect of the Performance fees due to the Investment Manager for the current Performance period is disclosed in Note 7.

The Investment Adviser provides Investment Advisory services to the Investment Manager and no fees are paid to them from the Company.

From 1 July 2025 Directors fees are payable at an annual rate of £48,000 to the Chairman, £40,000 to the Chair of the Audit Committee, and £32,000 to the other Directors.

The Directors had the following shareholdings in the Company, all of which are beneficially owned.

	As at	As at
	30 June 2026	30 June 2025
Andrew Watkins	94,425	94,425
Jamie Skinner	100,933	100,933
Rita Dhut	81,733	81,733
Dr Jerome Booth	64,292	85,522
Sarah MacAulay	38,000	–
Karen Roydon	40,014	–

17. Post balance sheet events

There have been no significant events since the year end which would require revision of the figures or disclosure in the Financial Statements.

Financial information

This announcement does not constitute the Company’s statutory accounts. The financial information is derived from the statutory accounts, which will be delivered to the registrar of companies and will be put forward for approval at the Company’s Annual General Meeting. The auditors have reported on the accounts for the year ended 30 June 2025 and the year ended 30 June 2026, their reports were unqualified and did not include a statement under Section 498(2) or (3) of the Companies Act 2006.

The Annual Report for the year ended 30 June 2026 was approved on 6 October 2026.

Annual General Meeting

Notice is hereby given that the Annual General Meeting of Ashoka India Equity Investment Trust plc will be held at the offices of Stephenson Harwood LLP, 1 Finsbury Circus, London EC2M 7SH on 9 December 2026 at 11am.

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

 

END