Aatmaj Health

Ultra-Modern Medicinal Practices.

Move to an asset-light model.

Increasing efficiencies across our healthcare facilities through integration and supply chain management.

Increase outpatient income by focusing on our ongoing day care products and introducing new day care offering.

Attract and retain prominent, skilled doctors.

Strengthen hospital presence.

Quality standards.

Experienced and professional management team.

Well diversified and specialty service offerings.

Ability to attract, train and retain quality doctors, consultants and medical support staff.

Strengthen hospital presence.

Strengthen hospital presence.

The company is highly dependent on its doctors, nurses and other healthcare professionals, as well as other key personnel and the loss of, or inability to attract or retain, such persons could adversely affect the company business and results of operations.

The company may generate revenue from the arrangements with government sponsored health schemes, any adverse change in these regulations/government policies related to such schemes may adversely affect its business, results of operations, cash flows and prospects.

The company medical professional staff consists of both employees as well as doctors on a consultancy basis. If such medical staff discontinue their association with it or are unable to provide their services at its of hospitals for any reason or if the company is unable to attract or retain such consultants/full time doctors, and other healthcare professionals, its business, results of operations and cash flows may be materially and adversely affected.

Delay in receipt of payment from its patients/customers may affect the company cash flows, which may, in turn affect its financial condition and results of operations.

The company face intense competition from other healthcare service providers. If its unable to compete effectively, its business, results of operations and cash flows may be materially and adversely affected.

The impact of the COVID-19 pandemic on its business and operations is uncertain and cannot be predicted.

If the company is unable to maintain bed occupancy rates at sufficient levels, its may not be able to generate adequate returns on the company capital expenditure, could adversely affect its operating efficiencies and the company profitability.

If the company is unable to keep pace with technological changes, new equipment and service introductions, changes in patients` needs and evolving industry standards, its business and financial condition may be adversely affected.

The company arrangements with some of its doctors may give rise to conflicts of interest and time-allocation constraints, adversely affecting the company operations.

The company Restated Financial Statements are Prepared and Signed by the Peer Reviewed Chartered Accountant who is not Statutory Auditor of the Company.

The company operate in a highly regulated industry and compliance with applicable safety, health, environmental and other governmental regulations and any violations of existing regulations may adversely affect its business, results of operations and cash flows.

If the company fail to achieve favorable pricing on medical consumables, pharmacy items, drugs, and surgical instruments from its suppliers or are unable to pass on any cost increases to the company payers and other adverse regulatory changes in the healthcare industry its profitability could be materially and adversely affected.

The company relies on third party suppliers and manufacturers for its supplies and equipment. Failure of such third parties to meet their obligations could adversely affect its business, results of operations and cash flows.

The company is exposed to legal claims and regulatory actions arising from the provision of healthcare services and may be subject to liabilities arising from claims of malpractice and medical negligence which could materially and adversely affect its reputation and prospects.

The occurrences of various man-made and natural disasters at facility center are susceptible to risks and could adversely affect its results of operations and financial conditions.

If the company is unable to establish and maintain an effective internal control, its business and reputation could be adversely affected.

The Company and certain doctors employed/hired at its facility center may be, be involved in certain medical negligence cases, and the claims of the complainants in such cases may exceed the professional indemnity insurance cover availed by the Company.

Most of its radiotherapy and diagnostic imaging equipment contain radioactive and nuclear materials or emit radiation during operation which could make it liable for damages.

The company insurance coverage may not adequately protect it against certain operating hazards and this may have an adverse effect on its business. Further, the company insurance premia may increase and any significant deterioration in its claims experience may result in insurance not being available to it on acceptable terms.

Any downtime for maintenance and repair of its medical equipment could lead to business interruptions that could be expensive and harmful to its reputation and to the company business.

The company may enter into private partnerships/joint ventures/ strategic alliances /third-party tie-ups with other medical facility centers to provide its extended services and achieve synergies across the company businesses, replicate business models across jurisdictions and integrate and manage its operations.

The company revenue is primarily dependent on inpatient treatments, which could decline due to a variety of factors.

The company ability to pay dividends in the future will depend upon future earnings, financial condition, cash flows, working capital requirements and capital expenditures.

The Company requires significant amount of working capital for a continued growth. Its inability to meet the company working capital requirements may have an adverse effect on its results of operations.

The company Promoter and members of the Promoter Group will continue jointly to retain majority control over the Company after the Issue, which will allow them to determine the outcome of matters submitted to shareholders for approval.

The company has not independently verified certain data in this Draft Prospectus.

Fraud, theft, employee negligence or similar incidents may adversely affect its results of operations and financial condition.

The company could be exposed to risks relating to the handling of personal information, including medical data.

The company future funds requirements, in the form of fresh issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.

The company is dependent on obtaining and maintaining certain governmental and regulatory licences and its may require to obtain certain approvals, registrations and licences with respect to the company operations in certain facilities including its hospitals. The company ability to operate out of such facilities or carry on the relevant activity/ procedures in question may be impeded as a result, thus adversely impacting its operations and revenue.

The company may lose existing industry accreditations if the company fails to renew its accreditations if the company are not able to maintain or meet evolving accreditation standards.

Delay in raising funds from the IPO could adversely impact the implementation schedule.

The objects of the Issue have not been appraised by any bank or financial institution.

There is no monitoring agency appointed by the Company and the deployment of funds is at the discretion of its Management and the company Board of Directors, though it shall be monitored by its Audit Committee.

In the event there is any delay in the completion of the Issue, there would be a corresponding delay in the completion of the objects / schedule of implementation of this Issue which would in turn affect its revenues and results of operations.

The company is dependent on a number of key personnel, including its Promoters and senior management, and the loss of or the company inability to attract or retain such persons could adversely affect its business, financial condition, results of operations and cash flows.

The company has entered into certain transactions with related parties. These transactions or any future transactions with our related parties could potentially involve conflicts of interest. The company has entered into certain transactions with related parties with its Directors and their relatives and may continue to do so in future.

The company is subject to restrictive covenants under its credit facilities that could limit the company flexibility in managing its business operations. Also, the company lenders have imposed certain restrictive conditions on it under the company financing arrangements.

The Company has not issued securities during the last year which may be at a price lower than the Issue Price.

The company operations are geographically located in one area at present and any localized social unrest, natural calamities, etc. could have material adverse effect on business and financial operations.

The company Promoters, Directors, related entities and other ventures promoted by its promoters are engaged in a similar line of business and the company do not have a non-compete agreement or contract with any of these entities, and hence a potential conflict of interest may arise.

The company has unsecured loans from directors and relatives of directors, which are repayable on demand. Any demand from lenders for repayment of such unsecured loans, may adversely affect its business operations.

The Company has in the past not complied with some statutory provisions of the Companies Act, 2013/1956, further; there have been some instances of delay and non-filing of various forms which were required to be filed under the provisions of the Act, rules and regulations made thereunder with the RoC. There were some discrepancies in filing of various forms by the Company with the RoC.

The Company is party to certain litigation and claims. A statutory authority has raised demand/notices against the Company. Any adverse decision may make it liable to liabilities /penalties and may affect its financial position. The summary of outstanding litigation is given in the following table.

The Company has a negative cash flow in its operating activities in the past years, details of which are given below.

If the company is unable to collect its receivables from its clients, the company results of operations and cash flows could be adversely affected.

The company outsource some of its service functions to third-party contractors.

The company Promoters, Directors and Key Managerial Personnel may have interest in the Company, other than reimbursement of expenses incurred or remuneration.

The average cost of acquisition of Equity Shares held by its Promoters could be lower than the Issue Price.

A majority premises of its hospital buildings and retail pharmacies in which the company operating, are not owned by it, which could affect its operations. If the owner of premises does not renew the Memorandum of Understanding or Lease and Licence Agreement entered with them, its business operations may suffer disruptions.

The company may not be able to protect its brand name and trademarks. The company name and trademarks support its business.

The company intend to purchase order for certain medical equipment for its existing hospitals or proposed hospitals to be set-up and have not entered into any definitive arrangements for such medical equipment and availed quotation from vendors to utilize certain portions of the Net Proceeds of the Issue.

In the event that its Net Proceeds to be utilized towards inorganic growth initiatives are insufficient for the cost of its proposed inorganic acquisition, its may have to seek alternative forms of funding.