1. The Company and Promoter of the Company are party to certain litigation and claims. These legal proceedings are pending at different levels of adjudication before the court and regulatory authority. Any adverse decision may make it
liable to liabilities/penalties and may adversely affect its reputation, business, and financial status.
2. The land parcels on which the Registered Office of the Company is located, is being shared between the Company and its Subsidiaries. The said premise is not owned by it and are held by it on a leasehold/ rental basis. In the event the company lose or are unable to renew such leasehold rights, its business, results of operations, financial condition and cash flows may be adversely affected.
3. The company depends its intermediaries for Logistic, transport management and freight-related services etc for carrying out its business operations, and termination of the arrangements with any of these intermediaries may adversely affect the company business and results of operations.
4. Significant increases in freight, transportation and other costs may materially and adversely affect its business, financial condition, and results of operations.
5. The company is heavily dependent on trucks, trailers, and other transportation vehicles for the operations. Any breakdown of the trucks, trailers etc. will have a significant adverse effect on its business, reputation, financial results, and growth prospects.
6. There has been a case filed against the Promoter and Company in accordance with the Memorandum of Understanding entered with Ms. Baytown Bonding Private Limited for compensation demands.
7. The company's business is dependent on the road network in India and its ability to capital the owned as well as hired vehicles in an uninterrupted manner. Any disruptions or delays in this regard could adversely affect it and lead to a loss of reputation and/ or profitability, if the responsibility of issuing a bill of lading is on the Company.
8. The company failure to perform in accordance with demand of its client could result in loss of business or payment of liquidated damages.
9. The company does not verify the contents of the goods transported by it, thereby exposing it to the risks associated with the transportation of goods in violation of applicable regulations.
10. The company Promoter had stood as a surety/ guarantor for loan facilities obtained by the third party. As on date of this Draft Prospectus, the said third party has failed and defaulted in servicing to repay such loans in accordance with the terms and conditions of the financing documents. This has triggered repayment obligations on the Promoter, which may impact their ability to effectively service their obligations as the Promoter and thereby, impact its business and operations.