Veritaas Advertising Ltd IPO

Advertising business is dependent on availability of space or sites for publishing of ads. Any significant increase in the prices of such ad space or sites or nonavailability of such ad space or sites may adversely affect its business and results of operations.

The company significantly relies on police booth display for advertisement, and any interruption or nonavailability of such ad space or sites may adversely affect its business and results of operations.

The company relies on its workshop for fabrication and printing of advertisement material, and any interruption or delay in service from its workshop could impair its ability to execute the orders of the company customers.

The commercial success of its services depends to a large extent on the success of the success of its end use customers. If there is any downturn in the industries in which its customers operate, it could have a material adverse effect on its business, financial condition and results of operations.

The company depends on a few customers of its services, for a significant portion of the company revenue, and any decrease in revenues or sales from any one of its key customers may adversely affect the company's business and results of operations.

The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.

There can be no assurance that the objects of the Issue will be achieved within the time frame anticipated or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment. Further, the plan for deployment of the Net Proceeds has not been appraised by any bank or financial institution.

The company intend to utilise a portion of the Net Proceeds for funding its capital expenditure requirements of the Company. The company is yet to place orders for such capital expenditure materials.

If the company is not able to obtain, renew or maintain its statutory and regulatory licenses, registrations and approvals required to operate its business, it may have a material adverse effect on the company business, results of operations and financial condition.

Its Registered Office, its workshop and the company regional offices are located on premises which are not owned by it and has been obtained on lease basis. Disruption of its rights as licensee/ lessee or termination of the agreements with its licensors/ lessors would adversely impact the company operations and, consequently, its business, financial condition and results of operations.