Rajgor Castor Derivatives Ltd IPO

The company's Promoters are party to certain litigation and claims. These legal proceedings are pending at different levels of adjudication before various regulatory authorities. Any adverse decision may make it liable to liabilities/ penalties and may adversely affect its reputation, business and financial status.

The company Registered Office from where its operate is not owned by it.

The company's business is subject to seasonal volatility, which may contribute to fluctuations in its results of operations and financial condition.

Its cost of production is exposed to fluctuations in the prices of its raw material such as Castor Seeds.

The company generally does business with its customers on a purchase order basis and does not enter into long-term contracts with most of them.

The Company is dependent on few numbers of customers for sales. Loss of any of this large customer may affect its revenues and profitability.

The company highly depends on its major raw materials and a few key suppliers who help it procure the same. The Company has not entered into long-term agreements with its suppliers for supply of raw materials. In the event its unable to procure adequate amounts of raw materials, at competitive prices its business, results of operations and financial condition may be adversely affected.

The price, at which the company is able to obtain the raw material for manufacture of its finished products depends largely on prevailing market prices. Increase in costs of its raw materials could have a material adverse effect on the Company's sales, profitability and results of operations.

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

The company has availed credit facility from banks, and it is subject to certain restrictive covenants. Any Delay in issuing No Objection Certificate for the proposed issue may delay its proposed Initial public offering.