Astron Multigrain Ltd IPO

The Company, Promoter, Directors, KMP, SMP and Group Company are involved in certain legal proceedings. Any adverse decision in such proceedings may render it/them liable to liabilities/penalties and may adversely affect its business and results of operations.

Its business is primarily dependent upon a continuing relationship with super stockist for sales of the company products. Any reduction or interruption in the business of these super stockists or a substantial decrease in orders placed by these super stockists may have an adverse impact on the revenues and operations of the Company.

The inappropriate handling, processing or storage of its raw materials or products, or spoilage of and damage to such raw materials and products, or any real or perceived contamination in its products, could subject the company to regulatory action, damage its reputation and have an adverse effect on the company business, results of operations and financial condition.

Failures to maintain stringent quality and safety standards may result in regulatory action, product recalls, or reputational damage.

The company depends on a limited number of States for a significant portion of its revenue from operations. The loss of any of its major customer in these States due to any adverse development or significant reduction in business from the company major customer may adversely affect its business, financial condition, results of operations and future prospects.

If the Company is unable to protect its intellectual property, or if the Company infringes on the intellectual property rights of others, its business may be adversely affected.

The Company has reported certain negative cash flows from its investing activity and financing activity, details of which are given below. Sustained negative cash flows could impact its growth and business.

Its Registered Office and Manufacturing Unit from where the company operate is not owned by it but taken on Lease basis. the company inability to renew the lease agreement or any adverse impact on the title or ownership rights of its owner/landlord in relation to these premises may impede its operations.

The Instant Noodle Industry is dominated by large established brands with significant financial and marketing resources, and its may face difficulty in capturing or maintaining market share.

Its Manufacturing facility relies on specialized machinery and any significant breakdown or delay in maintenance could disrupt the company production.