Hoac Foods India Ltd IPO

The company is required to obtain, renew or maintain statutory and regulatory permits, licenses and approvals to operate its business and the company's manufacturing facility, and any delay or inability in obtaining, renewing or maintaining such permits, licenses and approvals could result in an adverse effect on its results of operations.

The company does not manufacture some of its products such Pulses, Rice, Raw or Sabut Spices, Grains and Millets and Sugar and jaggery etc in its own capacity but procure the same from third party suppliers.

The company operates in highly competitive markets, and the scale and resources of some of its competitors may allow them to compete more effectively than the company can, which could result in a loss of its market share and a decrease in its net revenues and profitability.

The Company has applied for registration of the trademarks in its name. Until such registration is granted, the company may not be able to prevent unauthorised use of such trademarks by third parties, which may lead to the dilution of its goodwill.

Any non-compliance or delays in GST Return Filings, TDS EPF Payments may expose it to penalties from the regulators.

The company does not have long term agreements with suppliers for its raw materials and an increase in the cost of or a short fall in the availability of such raw materials could have an adverse effect on its business, results of operations and financial condition.

The company conduct its business activities on a purchase order basis and therefore, have not entered into long-term agreements with its customers.

The improper 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 it to regulatory action, damage its reputation and have an adverse effect on the company business, results of operations and financial condition.

Its business is dependent on the company processing units for few products. The loss of or shutdown of operations of its processing units may have a material adverse effect on its business, financial condition and results of operations.

Its operations are considerably located in Delhi -NCR and failure to expand its operations may restrict the company's growth and adversely affect its business.