Electro Force (India) Ltd IPO

There are certain outstanding legal proceedings involving the Company, Promoters and Directors. Any failure to defend these proceedings successfully may have an adverse effect on its financial conditions, business, reputation and result of ongoing operations.

The company depends on the expertise of its management, KMPs and skilled employees; the company results of operations may be adversely affected by the departure of its management, KMPs and experienced employees.

The company is into the business of selling products on B2B basis to few customers. If its customers choose not to source their requirements from it, there may be a material adverse effect on its business and operations.

The Company does not own premises where the registered office of the company and manufacturing unit is situated.

The markets in which its customers compete are characterized by consumers and their rapidly changing preferences, advancement in technology and other related factors including lower manufacturing costs and therefore as a result the Company may be affected by any disruptions in the industry.

The company's business is working capital intensive and its inability to borrow funds to meet the company working capital requirements may materially and adversely affect its business and operations.

Any variation in the utilization of the Net Proceeds as disclosed in this Draft Prospectus shall be subject to certain compliance requirements, including prior Shareholders' approval.

Reliance has been placed on declarations and an affidavit furnished by Whole time Director Saideep Shantaram Bagale, Non-Executive Director Santosh Palaria and Chief Financial Officer Chandrashekhar Meher, for details of their profile included in this Draft Prospectus.

The company's business operations may be disrupted by an interruption in power supply which may impact its business operations.

The company has not yet applied for the registration of its logo. If the company fail to obtain registration its brand building efforts may be hampered which might lead to adverse effect on its business.