Pratham EPC Projects Ltd IPO

At present, the company is involved in tax proceedings and actions by a statutory authority which are currently pending at various stages. Further, a case for the recovery of dues has been filed by the director of the company. Any adverse decision in these proceedings may render it liable to various penalties and/or monetary compensation and may adversely affect its business and results of operations.

There are outstanding legal proceedings involving the Company. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.

Its work premises from where its operate is not owned by us.

Its failure to perform in accordance with the standards prescribed in work order of its client could result in loss of business or compensation payment.

Its individual Promoters play key role in the company functioning, and its heavily relies on their knowledge and experience in operating its business and therefore, it is critical for the company business that its Promoter and Executive Directors remain associated with it. The company's success also depends upon the services of its key managerial personnel and the company ability to attract and retain key managerial personnel and its inability to attract them may affect its operations.

The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.

The Company is dependent on a few suppliers for purchases of product. The loss of any of these large suppliers may affect its business operations.

The Company is dependent on few numbers of customers for sales. The loss of any of this large customer may affect its revenues and profitability.

The company has experienced significant working capital requirements in past and may continue to experience in future also. If its experience insufficient cash flows from its operations or are unable to borrow to meet the company working capital requirements, it may materially and adversely affect its business, cash flows and results of operations.

Its revenues from the company projects are difficult to predict and are subject to seasonal variations.