Delta Autocorp Limited - IPO

1. If our electric vehicles contain defects, do not perform as per industry standards and/or fail to meet the performance levels advertised, our brand and reputation and our ability to develop, market and sell our electric vehicles could be adversely impacted, and we may be compelled to undertake product recalls or similar corrective actions and have legal actions taken against us.

2. Our success depends on our ability to successfully develop, introduce, manufacture, market and deliver new electric vehicle models of high quality on schedule and on a large scale, which may expose us to new and increased challenges and risks.

3. We are dependent on our dealers for sale of our product. Loss of any or all such dealer may have an adverse impact on our business, results of operations and financial conditions.

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

5. Our business is dependent on our distribution network. An inability to expand or effectively manage our distributor network, or any disruptions in our distribution network may have an adverse effect on our business, results of operations, financial condition and cash flows.

6. We are dependent on third parties for our logistics and transportation needs. Any disruptions in the same may adversely affect our operations, business, cash flows and financial conditions.

7. Our Registered Office, Corporate Office and Manufacturing units from where we operate is not owned by us.

8. We may not be able to compete successfully in the highly competitive and fast evolving automotive market.

9. Our operations could be adversely affected by strikes, work stoppages or increased wage demands by our employees or any other kind of disputes with our employees.

10. If there are changes in government regulations and we are unable to meet the new requirements, it could negatively affect our business and operations.