Meta Infotech Limited - IPO

1. We derive a significant portion of our revenue from operations from a few customers, with our single largest customer contributing more than 50%, of our revenue from operations during the last three financial years. Loss of any of these customers or a reduction in business with any of them could adversely affect our business, results of operations and financial condition.

2. We are heavily reliant on a few vendors/ suppliers who are the OEM for the products marketed by us, with our single largest supplier contributing to more than 50% of our purchases during the last three financial years. Moreover, we have not entered into long-term contracts or arrangements with these OEM vendors. Any loss of such vendors/suppliers may disrupt our operations and will have a material adverse impact on our business and our revenue.

3. We are dependent on few Industries for majority of our revenue from operations with banking industry contributing to more than 50% of our revenue from operations during the last three financial years. Downtrend or change in regulatory framework in these Industries may result in an adverse effect on our business, revenue from operations and financial conditions.

4. We have experienced negative operating cash flows in the past. Any operating losses or negative cash flows in the future could adversely affect our results of operations and financial conditions.

5. Some of our Group Companies and Promoter Group Entities operate in the same line of business as ours, which may lead to conflict of interest.

6. We import majority of the products and software licenses offered by us. Any restrictions on imports or fluctuation in foreign currencies that affect our purchase prices could adversely affect our business, results of operations, cash flows and financial condition.

7. Our business is subject to evolving laws regarding privacy, data protection and other related matters. Many of these laws are subject to change and could result in claims, changes to our business practices, monetary penalties, increased cost of operations, or declines in customer growth or engagement, which may harm our business.

8. We are vulnerable to cyber-attacks, computer viruses, ransom ware and electronic break-ins which will may disrupt our operations and may have any material adverse effect on our business, financial performance and results of operations.

9. If we are unable to develop or innovate our service offerings to address emerging business demands and technological trends, it may adversely impact our business and future growth.

10. If our pricing structures do not accurately anticipate the cost, complexity and duration of our work, then our contracts could result in cost and time overruns, which could make our orders unprofitable.