Safety Controls & Devices Ltd IPO

Experienced Promoter and Management Team.

Scalable Business Model.

Wide and diverse range of product offerings.

In-house manufacturing facility with equipped machines and processes. Further having in-house Quality Control and Research & Development facility.

The companys reliance on power sector, for a significant portion of its sales, combined with the challenges of managing a diversified portfolio across multiple industries, could adversely impact the companys revenue, operational efficiency, and overall business performance.

The companys reliance on government contracts exposes the company to substantial risks, as any regulatory or policy changes could significantly impact project timelines, funding, and the companys ability to secure future contracts. These changes could adversely affect its business operations and financial performance.

The Companys current operations extend beyond the safety-focused implication of its name, which may cause confusion or misrepresent the full scope of its diverse activities across sectors such as power transmission, solar energy and infrastructure development

Substantial portion of its revenues has been dependent on few of the companys clients from which the company gets the majority of project on sub-contract basis. The loss of any one or more of the companys major clients would have a material adverse effect on its business operations and profitability.

The companys contracts are primarily with the government entities. As a result, the working capital cycle is extended, with receivables taking more time to be collected from these entities. Intense competition in the EPC sector, driven by aggressive bidding and price sensitivity, can lead to reduced profit margins and the potential loss of critical contracts. Additionally, financial pressures from well-resourced competitors employing predatory pricing strategies may hinder sustainable business growth and profitability.

Company has filed the Draft Red Herring Prospectus dated November 08, 2024 with the SME Exchange of NSE Limited. The proposed listing on EMERGE platform of the Exchange pursuant to Initial Public Offer was returned as per the `Exchanges Guidelines for returning of Draft Offer Documents filed with the Exchange for listing on NSE Emerge Platform.

The companys Top 1, 3, 5 and 10 Suppliers contribute a significant portion of its raw material consumption during the current and previous financial years. Any dispute with one or more of them may adversely affect the companys business operations.

The Company had negative cash flows in the past years from operating and investing activities, details of which are given below. Sustained negative cash flow could impact its growth and business.

The Company requires a significant amount of working capital for a continuing growth. The companys inability to meet its working capital requirements may adversely affect the companys results of operations.

The companys 100% revenues came from one state for the stub period January 31, 2026 and for the year ended March 31, 2025 and the financial year ended 31st March 2024, 2023. Any loss of business from one states may adversely affect its revenues and profitability.