Cult.Fit Limited

• Capital expenditure towards setting up of new Cult Centres₹2.77k Cr
• Expenditure towards lease/rent/license agreement related payment of existing identified fitness centres operated by us₹2.17k Cr
• Repayment / prepayment, in full or in part, of certain borrowings availed by our Company₹1.20k Cr
• Brand marketing, advertising and business promotion to enhance brand awareness₹750 Cr
• Investment in our Subsidiary, Cultsport Private Limited for capital expenditure towards setting up of new EBOs₹234 Cr
• General corporate purposes

Except as disclosed in this section, there are no outstanding (i) criminal proceedings (including matters which are at FIR stage even if no cognizance has been taken by any court); (ii) actions (including all disciplinary actions, penalties and show cause notices) by regulatory or statutory authorities; (iii) claims related to direct and indirect taxes (disclosed in consolidated manner); and (iv) other pending litigation as determined to be material as per the materiality policy adopted by our Board in accordance with SEBI ICDR Regulations, in each case involving our Company, its Subsidiaries and Directors (together the “Relevant Parties” and such policy, “Materiality Policy”). Further, except as disclosed in this section, there are no outstanding (i) criminal proceedings (including matters which are at FIR stage even if no cognizance has been taken by any court) and (ii) actions (including all show cause notices) by regulatory or statutory authorities involving our Key Managerial Personnel and members of our Senior Management. There are no pending litigations involving our Group Companies which has a material impact on our Company.

• A decline in the number of paid members or units sold for fitness products, or a reduction in active monthly users on the Cult.fit app, could adversely impact our business, financial condition, cash flows and results of operations.(Consumer Acquisition & Retention)

• Negative publicity or unfavorable media coverage of our brands could materially and adversely affect our reputation, business, results of operations, prospects and cash flows.(Brand Reputation)

• Safety and quality concerns with respect to our fitness products leading to recalls and consumer complaints could adversely affect our reputation, business, results of operations, financial condition and cash flows.(Product Liability)

• Compromise of our consumers' data or glitches in our technology systems that support the Cult.fit app and website, and backend functions including customer support and distribution and logistics services, could adversely affect our reputation and business.(Technology & Cybersecurity)

• Improper conduct by our staff and particularly consumer-facing personnel including trainers, coaches, EBO managers and sales personnel could adversely affect our reputation and business.(Operational Risk)

• Failure of our franchisee partners to adhere to our standard operating procedures at our franchisee-led fitness centers leading to diminished service quality and unsatisfactory consumer experience.(Franchisee Management)

• Unauthorised social media accounts or duplicate/counterfeit products being passed-off under our brands could adversely affect our reputation and business.(Brand Protection)

• Negative publicity involving brand partners, celebrities and influencers associated with our brands, including in relation to their personal conduct, expression of opinion or public associations, could adversely affect our reputation and business.(Brand Reputation)

Each bar is a fixed formula applied to the figures shown above, scored 0–100. This is a reading of what the company disclosed — not a recommendation to apply or avoid, not a price target, and not a prediction of listing performance. Dimensions that could not be extracted are excluded rather than assumed, so coverage varies between documents.