Namo eWaste Management Ltd IPO

The company is an authorised E-waste recyclers to carry on the business of Ewaste collection, disposal and recycling. Failure to renew it in a timely manner may result in fines, legal penalties, or even business shutdown.

The company is primarily dependent upon few key suppliers within limited geographical location for collection and recycling of electronic waste, with whom the company has entered into long term purchase agreements which imposes fixed pricing conditions, stipulating that the company must purchase the materials at predetermined prices irrespective of market fluctuations.

The company generate its major portion of sales from its operations in certain geographical regions and any adverse developments affecting its operations in these regions could have an adverse impact on its revenue and results of operations.

If there is delay in setting up of proposed factory unit or if the costs of setting up and the possible time required to set up Proposed factory unit by its subsidiary i.e. Techeco Waste Management LLP, are higher than expected, it could have an adverse effect on its financial condition, results of operations and growth prospects.

The company has not complied with certain statutory provisions of the Companies Act, 2013. Such non-compliance may attract penalties against the Company which could impact the financial position of it to that extent.

The company had made capital expenditure in year 2019, to set up a factory unit in Khata No. 150, Survey No. 22, Old Survey No. 27, Sub District Mandal, Anandpura, 382120, Ahmedabad, Gujarat, which is owned by company but the same is not operational as on the date of this Draft Red Herring Prospectus.

The company has not registered the trademarks which its using for the company's business. Its may be unable to protect its intellectual property or knowhow from third party infringement which could harm its brand and services.

The restated financial statements have been provided by peer reviewed chartered accountants who is not statutory auditor of the Company.

The company does not own the registered office, factory unit, branch office, warehouse and Storage & Dismantling unit from which the company carry out its business activities. In case of nonrenewal of rent agreements or dispute in relation to use of the said premise, its business and results of operations can be adversely affected.

Substantial portion of its revenues has been dependent upon few customers, with which the company does not have any firm commitments. The loss of any one or more of its major customer would have a material adverse effect on the company's business, cash flows, results of operations and financial condition.