Pci Infraprojects Limited

• Funding working capital requirements of the Company₹140 Cr
• General corporate purposes

Except as disclosed in this section, as on the date of this Draft Red Herring Prospectus, there are no outstanding (i) all criminal proceedings (including first information reports irrespective of any cognizance taken by any court or not; (ii) all actions taken/penalties imposed by statutory and/or regulatory authorities; (iii) all claims related to direct and indirect taxes in a consolidated manner, giving the number of cases and total amount involved in such cases; or (iv) other pending litigations (including civil litigation or arbitration proceedings) as determined to be material by our Board pursuant to the Materiality Policy (as disclosed herein below) in accordance with the SEBI ICDR Regulations, in each case involving our Company, Subsidiaries, Promoters and Directors (collectively, the “Relevant Parties”) Key Managerial Personnel, Senior Management and Group Companies. Further, except as stated in this section, there are no disciplinary actions including penalties imposed by SEBI or any of the stock exchanges against our Promoters during the last five financial years preceding to the date of the Draft Red Herring Prospectus, including outstanding actions.

• A substantial portion of our revenues is dependent on our top 10 customers. As of the Fiscals 2026, 2025 and 2024, we derived 81.81 %, 87.57 % and 88.68% respectively, of our revenue from our top 10 customers. The concentration of our revenue from such top 10 customers exposes us to greater risks if these projects are delayed or cancelled.(Customer Concentration)

• We derive a substantial portion of our revenue from our EPC business, particularly Water EPC, which accounted for 30.38%, 16.65% and 55.55% of our revenue from operations in Fiscals 2026, 2025 and 2024, respectively. Any decline in demand for such projects could materially and adversely affect our business, financial condition, results of operations and cash flows.(Business Model)

• Our Manufacturing segment experienced a ₹4,241.24 lakh, or 32.23%, decline in revenue from sale of products, representing our cable manufacturing operations, from ₹13,159.15 lakhs to ₹8,917.91 lakhs in Fiscal 2025. The decline was primarily due to lower cable sales volumes, impacted by shortage of raw materials, among other factors, amid global geopolitical uncertainty.(Operational)

• Any decline in demand for EPC projects, delay in project awards or execution, or our inability to secure new orders for such projects on commercially favourable terms or at all, may materially and adversely affect our business, cash flows, financial condition and results of operations.(Market Demand)

• Demand for EPC projects may be influenced by various factors, including customer capital expenditure cycles, availability and cost of financing, government policies and incentives, regulatory developments, technological advancements and broader market conditions. Any adverse changes in these factors may reduce demand for such projects and adversely affect our order book, revenue generation and profitability.(Market Demand)

• As on the date of this Draft Red Herring Prospectus, our Company, Promoter Director, are subject to outstanding legal, regulatory or other proceedings and any adverse outcome in such proceedings may have a material adverse effect on our business, financial condition, results of operations and cash flows.(Legal and Regulatory)

• We cannot assure you that we will be able to maintain or increase business from these customers. While we have not faced any instances of complaints or cancellation/termination of contracts from our top 10 customers during the Fiscals 2026, 2025 and 2024, any such cancellation/termination or failure by us to retain these top 10 customers in the future may have an adverse effect on our business, results of operations, financial condition and cash flows.(Customer Concentration)

• The composition of our top 10 customers tends to vary from year to year, depending on the timing, nature, and value of orders received. Consequently, a significant portion of our revenue remains concentrated among a relatively small group of customers, which exposes us to customer specific risks.(Customer Concentration)