Active Infra.

Established and proven track record.

High standard of service quality.

Operation Methodology.

Experienced promoters and management team.

End-to-end execution capabilities.

Optimal Utilization of Resources.

The company entire revenue stream is derived from activities from the states of Maharashtra, Uttar Pradesh and Madhya Pradesh. Any adverse development affecting its operations in these regions could have an adverse impact on the company business, financial condition and results of operations.

Its business significantly depends on projects awarded by government or government-owned customers, which subjects it to a variety of risks.

If the company fails to qualify for, or win new contracts from project owners, its business, financial condition, results of operations, prospects and cash flows could be adversely affected.

The company cannot assure you that the construction of its projects will be free from any and all defects.

If any of its projects are terminated prematurely, the company may not receive payments due to it, which could adversely affect its business, financial condition and results of operation.

The company is required to furnish bank guarantees as part of its business. The company inability to arrange for such guarantees or the invocation of such guarantees may adversely affect its cash flows and financial condition.

The company actual cost incurred in completing a project may vary from the assumptions underlying its bid. The company may be unable to recover all or some of the additional expenses incurred, which could affect its financial condition, results of operation and cash flows.

The Company has entered into a joint venture agreement with another party for execution of a project. Any non-compliance with the terms of this joint venture agreement may result in adverse action against the Jointly Controlled Operation and the Company by the governmental authorities / concessioning authority.

The company has entered into certain related party transactions in the past and may continue to do so in the future.

The company faces considerable risk related to the time required to complete each project, and there may be unexpected delays and cost overruns in its ongoing and future projects.

The Company and its subsidiaries need specific approvals and licenses to conduct business and must adhere to certain rules and regulations. If the company fails to obtain, maintain, orrenew these approvals and licensesin a timely manner, or if the company does not comply with these rules and regulations, its operations and financial performance could be negatively impacted.

Some of its Subsidiaries & Promoter Group entities are engaged in the line of business similar to the Company. There are no non-compete agreements between the Company and such entities. The company cannot assure that its Promoter / Directors will not favour the interests of such entities over its interest or that the said entities will not expand which may increase the company competition, which may adversely affect business operations and financial condition of the Company.

Substantial increases in the prices of, or shortages of, or disruptions in the supply of labor and essential raw materials could impact its projected construction costs and schedules, potentially leading to cost overruns or reduced profit margins.

The company business faces various operational risks at its construction sites, which can impact the company operational performance and, in turn, the financial health of the company.

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

If the company fails to effectively identify and secure business opportunities, its may not meet the company financial goals.

The company may not be able to manage its growth strategy effectively or it may change in the future.

The Company`s activities are labour intensive and depends on availability of skilled and unskilled labourers in large numbers. In case of unavailability of such labourers and / or inability to retain such personnel or occurrence of any workstoppages, its business operations could be affected.

The Company is dependent on third parties for the supply of materials required for its projects and is exposed to risks relating to fluctuations in commodity prices and shortage of such materials. Further, the company does not have any long-term supply agreements with the raw material providers.

The company operation could be adversely affected by changesto the FSI/TDR regime.

The company might not achieve the same level of profitability or return on investment as its did with the company previous projects.

The company encounter substantial risks before its start generating income from the company Construction of commercial projects due to the lengthy time required to complete each project.

The company might periodically be involved in legal and administrative proceedings related to its operations.

The company encounter competition from both organized and unorganized players in its industry, which could negatively impact the company business operations and financial condition.

Its success relies on the expertise of the company Promoters, Whole Time Directors, Senior Management, and skilled workforce. If the company is unable to attract orretain key personnel, or if the company lose the services of its Promoters, Managing Director, or Whole Time Directors, it could negatively impact the company business prospects.

Any changes in tax policies, duties, or other levies applicable to it could impact the company operational results.

Its holding company Shradha Infraprojects Limited is also publicly listed, and fluctuations in itsshare price can impact the company.

Misconduct or errors by personnel engaged by it may expose the company to business risks or losses, potentially impacting its business prospects, operational results, and financial condition.

If the company experience a major uninsured loss or an insured loss that far exceeds its insurance coverage, it could negatively impact the company financial condition and operational results.

The company has substantial ongoing funding needs and may face difficulties in raising additional capital in the future. This could limit its ability to seize business opportunities, address challenges, or handle unexpected situations.

The company is subject to the risk of failures of, or a material weakness in, its internal control systems.

The company is subject to the risk of Tenant Vacating the Premises owned by it.

The company business is substantially affected by prevailing economic, political and other prevailing conditionsin India.

The company has not independently verified certain data in this Red Herring Prospectus.

The company is vulnerable to risks associated with the unionization of its employees.

Any Penalty or demand raise by statutory authorities in future will affect its financial position of the Company.

Any changes in the use of the Net Proceeds as outlined in this Red Herring Prospectus will be subject to specific compliance requirements, including obtaining prior approval from the company`s shareholders.

The average cost of acquisition of Equity Shares by its Promoters could be lower than the Issue Price.

The company capacity to pay dividends in the future will be influenced by its earnings, financial health, cash flows, working capital needs, and capital expenditures.

After the completion of the Issue, its Promoters and Promoter Group will continue to have control over the company, enabling them to influence decisions on matters that require shareholder approval.

The company Equity Shares have not been previously traded publicly and may experience price and volume fluctuations after the completion of the Issue. There might not be an active trading market for the Equity Shares, which could lead to price volatility. As a result, you might not be able to resell your Equity Shares at or above the Issue Price, or possibly not at all.

Shareholder rights under Indian laws may be more restricted compared to those in other jurisdictions.

The Issue Price of its Equity Shares may not reflect their market price after the Issue, and the market price could fall below the Issue Price. Consequently, you might not be able to sell your Equity Shares at or above the Issue Price.

Anti-takeover provisions under Indian law might prevent a third party from gaining control of the Company.

The company might need to issue additional equity in the future, which could dilute existing equity and potentially impact the market price of its Equity Shares. Alternatively, its may seek to raise additional funds through debt, but the company might face challenges in securing such financing. Any future equity offerings could also be affected by these factors.

The Company logo "Active" is not registered with Registrar of Trade mark; any infringement of its brand name or failures to get it registered may adversely affect the company business. Further, any kind of negative publicity or misuse of its brand name could hamper the company brand building efforts and its future growth strategy could be adversely affected.

There are certain discrepancies and non- compliances noticed in some of its financial reporting and/or records relating to filing or returns and deposit of statutory dues with the taxation and other statutory authorities.