PDP Shipping and Projects Limited - IPO

1. Our long-term growth and competitiveness are highly dependent on our ability to control costs and pass on any increase in operating expenses to customers, while continuing to offer competitive pricing.

2. Our Company requires certain statutory and regulatory approvals for conducting our business and our failure to obtain, retain or renew them in a timely manner, or at all, may adversely affect our operations.

3. We derive a significant portion of our revenues from a limited number of customers. The loss of any significant clients may have an adverse effect on our business, financial condition, results of operations, and prospects.

4. We are heavily depended on a limited number of third-party suppliers for their services to us in handling our business operation. The loss of any significant such third-party suppliers may have an adverse effect on our business, financial condition, results of operations and prospects.

5. Most of our overseas revenue from operations are in and from a single country - Brazil. Due to this geographic concentration of our overseas business operations, our results of operations and growth might be restricted to the economic and demographic conditions of Brazil.

6. We do not have long-term work orders from our customers. Our business could be adversely affected if we could fail to retain our customers or get continued business from them or we fail to acquire new customers.

7. Breakdown, Mishaps or accidents during cargo shipment or transportation could result in a loss or slowdown in operations and could also cause damage to life and property.

8. Our Company may not be able to deliver the cargo on timely basis due to which we could become liable to claims by our customers, suffer adverse publicity and incur substantial cost as result of deficiency in our service which could adversely affect our results of operations.

9. There are certain instances of delays in filing returns and/or payment of statutory dues. Any delay in filing returns and/or payment of statutory dues or non-payment of statutory dues in dispute may attract financial penalties from the respective government authorities, which may have an adverse impact on our financial condition and cash flows.

10. One of our Directors is involved in certain tax proceeding. Further, our Company may be party to certain litigations and claims during the course of its business. Any adverse decision may make us liable to liabilities/penalties and may adversely affect our reputation, business and financial status.