Standard Glass Lining Technology Limited - IPO

1. We are dependent on our manufacturing facilities, all of which are situated in Telangana, India. We are subject to risks in relation to our manufacturing process including accidents and natural disasters and also risks arising from changes in the economic or political conditions of Telangana, India which in turn will interfere with our operations and could have an adverse effect on our business, results of operations and financial condition.

2. Our business is dependent on the availability and retainment of skilled labour and workforce, and if we are unable to hire and engage the appropriate personnel, our business, results of operations and financial condition shall be adversely affected.

3. Our Manufacturing Facilities are dependent on adequate and uninterrupted supply of electricity and water. Any shortage or disruption of electricity and/or water, may lead to disruption in operations, higher operating cost and consequent decline in our operating margins.

4. Our revenue from operations is dependent upon a limited number of customers and the loss of any of these customers or loss of revenue from any of these customers could have a material adverse effect on our business, financial condition, results of operations and cash flows.

5. We are dependent on a limited number of suppliers for our key raw materials such as stainless steel, carbon/ mild steel, nickel alloy, forgings, castings, chemicals and polytetrafluoroethylene powder. The loss of one or more of these suppliers could adversely impact our manufacturing processes and supply timelines, in turn adversely impacting our ability to comply with delivery schedules agreed with clients resulting in impact on our financial condition and results of operations.

6. Majority of our customers operate in the pharmaceuticals and chemical sectors. In each of the last three Fiscals, more than 94.33% of our revenue from operations were derived from the pharmaceutical and chemical sectors, combined. Factors that adversely affect these sectors or capital expenditure by companies within these sectors may adversely affect our business, results of operations and financial condition.

7. Our Company had in the past failed to comply with certain provisions of Companies Act.

8. Under-utilization of our currently operational production lines at our Manufacturing Facilities and an inability to effectively utilize our expanded manufacturing capacities could have an adverse effect on our business, future prospects, and future financial performance.

9. Our business has grown rapidly in recent periods, and we may not be able to sustain our rate of growth in the future.

10. Nearly all of our revenues for Fiscal 2024, Fiscal 2023 and Fiscal 2022 were derived from sales of products and services within India, which in turn exposes us to risks specific to the Indian geography and market. There can be no assurance that we will be able to diversify the geographic sources of our revenues, which may adversely impact our future results of operations and profitability.