1. The company cannot assure you that the manufacturing unit proposed to be set up by its Subsidiary, Panchakanya Foods Private Limited will become operational as scheduled, or at all, or operate as efficiently as planned. If the company is unable to commission its new manufacturing unit in a timely manner or without cost overruns, it may adversely affect its business, results of operations and financial condition.
2. As on date the company have not obtained any of the approvals, clearances and permissions as may be required from the relevant authorities for the proposed manufacturing units. In the event its unable to obtain such approvals and permits, the company business, results of operations, cash flows and financial condition could be adversely affected.
3. The allotment of land to its Subsidiary for setting up the proposed manufacturing unit is subject to compliance with certain terms and conditions. Failure to comply with such conditions could adversely affect its business and financial condition.
4. All of its experience in respect of the company business operations is limited to Jharkhand, Odisha and West Bengal. Further, the Company has limited experience of manufacturing Chickpea Flour (Besan) and Roasted Gram Flour (Sattu). Hence, its have limited exposure in operating outside the aforementioned states and manufacturing products outside of its existing product portfolio, which may make it difficult to evaluate its past performance and prospects with respect to the same.
5. The company cannot assure that its shall be able to utilize its proposed manufacturing unit to their full capacity or up to an optimum capacity, and non-utilisation of the same may lead to loss of profits or can result in losses, and may adversely affect its business, results of operations and financial condition.
6. There can be no assurance that the objects of the Issue will be achieved within the time frame anticipated or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment. Further, the plan for deployment of the Net Proceeds has not been appraised by any bank or financial institution.
7. The Company and its Subsidiary is yet to place orders for 100% of the plant and machinery. Further the costs of certain machinery proposed to be installed in the proposed and existing manufacturing units, have been quoted in
US Dollars and Euro, and therefore are exposed to risk of fluctuation of foreign exchange rate. Any delay in placing orders or procurement of such plant and machinery or variation in foreign exchange rate, may further delay the schedule of implementation and increase the cost of commissioning the manufacturing unit.
8. The company depends on its dealers, wholesalers and retailers for a significant portion of its revenue, and any decrease in revenues or sales from any one of its key intermediaries may adversely affect the company business and results of operations.
9. The company does not have long term agreements with suppliers for its raw materials and an increase in the cost of or a shortfall in the availability of such raw materials could have an adverse effect on its business, results of operations and financial condition.
10. There have been instances of delays of certain forms which were required to be filed as per the reporting requirements under the Companies Act, 2013 to RoC.