Blue Pebble

Risks

• The company projects are exposed to various implementation and other risks and uncertainties such as time and cost overrun, which may adversely affect its business, financial condition, results of operations, and prospects.

• Its product is subject to frequently changing designs, patterns, customer requirements and tastes, its inability to meet such needs or preferences may affect the company`s business.

• The company is highly dependent on certain key customers for a substantial portion of its revenues. Loss of relationship with any of these customers may have a material adverse effect on its profitability and results of operations.

• Its results of operations and cash flows could be adversely affected, if the company is unable to collect its dues and receivables from, or invoice the company unbilled services to, or retention money to its clients.

• Its customers have a right to cancel the contract by giving a minimal notice on the occurrence of certain events. Any such cancellation may adversely affect its business, financial condition and results of operations.

• The company faces competition in its business from domestic competitors. Such competition would have an adverse impact on its business and financial performance.

• Any rise in costs or a deficiency in the availability of the raw materials the company procure could impact on the company`s sales, profitability, and operational results in an adverse manner.

• An inability to effectively manage project execution may lead to project delays which may affect its business and results of operations.

• The company has not placed orders for the purchase of machinery for which part of the funds are being raised through the Issue.

• Its business is working capital intensive. If the company experience insufficient cash flows to meet required payments on its working capital requirements, there may be an adverse effect on the results of its operations.

• Its pricing structures may not accurately anticipate the cost and complexity of performing its work and if the company is unable to manage costs successfully, then certain of its contracts could be or become unprofitable.

• The company requires certain approvals or licenses in the ordinary course of business and the failure to renew, obtain or retain them in a timely manner, or at all, may adversely affect its operations.

• The company does not own registered office and other offices from where the company carry out its business activities. Any dispute in relation to use of the premises could have a material adverse effect on its business and results of operations.

• The company has had negative net cash flows in the past and may continue to have negative cash flows in the future.

• The company has not identified any alternate source of funding and hence any failure or delay on its part to mobilize the required resources or any shortfall in the Issue proceeds may delay the implementation schedule.

• Its inability to identify and understand evolving industry trends, technological advancements, client preferences and develop new services to meet the company client`s demands may adversely affect its business.

• The company may not be able to adequately protect or continue to use its intellectual property.

• The company is heavily dependent on its Promoter and Key Managerial Personnel for the continued success of its business through their continuing services and strategic guidance and support.

• The company`s insurance coverage may not be adequate to protect it against certain operating hazards and this may have a material adverse effect on its business.

• The company`s inability to effectively manage its growth could have an adverse effect on the company`s business, results of operations and financial condition.

• Its promoters and directors are involved in certain legal proceedings.

• Its industry is labour intensive and the company`s business operations may be materially adversely affected by strikes, work stoppages or increased wage demands by its employees or those of the company suppliers.

• The Company has in the past has made certain inadvertent erroneous filings under Companies Act, 2013 with the RoC in its statutory filings. Any penalty or action taken by any regulatory authorities in future, for non-compliance with provisions of corporate and other law could impact the reputation and financial position of the Company to that extent.

• The company has entered into and may enter into related party transactions in the future also.

• The company will continue to be controlled by its Promoters after the completion of the Issue.

• Adverse publicity regarding its products could negatively impact the company.

• Dependence upon third party transportation services for supply and transportation of its products are subject to various uncertainties and risks, and delays in delivery may result in rejection of products by customer.

• The company depends on skilled and creative personnel and if the company is unable to recruit and retain skilled personnel, its ability to operate or grow the company`s business could be affected.

• Breakdown, mishaps or accidents could result in a loss or slowdown in operations and could also cause damage to life and property.

• Its ability to pay dividends in the future will depends on its earnings, financial condition, working capital requirements, capital expenditures and restrictive covenants of its financing arrangements.

• The company may not be able to detect or prevent fraud or other misconduct committed by its employees or third parties.

• The average cost of acquisition of Equity Shares by its Promoters, could be lower than the issue price.

• The Company has issued Equity Shares in the last 12 months at a price which may be lower than the Issue Price.

• The Objects of the Issue for which funds are being raised have not been appraised by any bank or financial institution. Any variation between the estimation and actual expenditure as estimated by the management could result in execution delays or influence its profitability adversely.

• There is no monitoring agency appointed by the Company to monitor the utilization of the Issue proceeds.

• Any future issuance of Equity Shares, or convertible securities or other equity linked securities by it and any sale of Equity Shares by its significant shareholders may dilute your shareholding and adversely affect the trading price of the Equity Shares.

• The company has not identified any alternate source of funding and hence any failure or delay on its part to mobilize the required resources or any shortfall in the Issue proceeds may delay the implementation schedule.

• The Issue price of its Equity Shares may not be indicative of the market price of the company Equity Shares after the Issue and the market price of its Equity Shares may decline below the issue price and you may not be able to sell your Equity Shares at or above the Issue Price.

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

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

• Investors other than retail (including non-institutional investors, QIBs and Corporate Bodies) are not permitted to withdraw or lower their Bids (in terms of quantity of Equity Shares or the Amount) at any stage after submitting an application.