Acetech E-Commerce Ltd IPO

There are certain discrepancies / errors noticed in some of its corporate records relating to forms filed with the Registrar of Companies and other provisions of Companies Act, 1956 / 2013. Any penalty or action taken by any regulatory authorizes in future for non-compliance with provisions of corporate and other law could impact the financial position of the Company to that extent.

The company operates in a highly competitive e-commerce industry characterised by low entry barriers, aggressive pricing, and rapid product substitution. Larger, well-capitalised competitors may outspend the company on customer acquisition, warehousing, and fulfilment, while smaller agile players may capture niche trends faster than the company cans.

Non-compliance with the Digital Personal Data Protection Act, 2023 may expose the Company to monetary penalties, regulatory actions and reputational risks, and ensuring compliance may increase its operational and compliance cost

Exposure to Consumer Protection (E-Commerce) Rules, 2020 and Proposed Amendments may increase the Company's legal, operational and financial exposure, and any non-compliance may result in penalties, enforcement actions or reputational risks

The Company may be exposed to Financial Risks associated with Invesments in Unidentified Acquisitions

The deployment of funds raised through this Offer shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.

One of the logos of the company's product category is not registered with Registrar of Trademark; any infringement of the company's brand name or failures to get it registered may adversely affect its business. Further, any kind of negative publicity or misuse of the company's brand name could hamper its brand building efforts and the company's future growth strategy could be adversely affected.

The objects of the Offer have not been appraised by any bank or financial institution, and the company cannot assure you that the objects of the Offer will be achieved within the expected time frame, or at all, and any variation in the utilization of the Net Proceeds would be subject to certain compliance requirements, including prior shareholders' approval.

The company's business is subject to risks relating to delayed collections or defaults by customers, which may result in increased working capital requirements and impact its profitability.

There are no alternate arrangements for meeting the company's requirements for the Objects of the Issue. Any shortfall in raising / meeting the same could adversely affect its growth plans, operations and financial performance.