Refractory Shapes Ltd IPO

There are outstanding legal proceedings involving the Company, Promoters, Promoter Group, Directors and Group Companies. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.

The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.

The Company is an Approved Vendor having enlisted by Engineers India Limited ("EIL"). If, the Company does not receive the recognition then it may harm its Brand Value or Reputation and may adversely affect its Business, Results of Operations, Financial Condition and Cash Flows.

Any delays, interruptions or reduction in the supply of raw materials to manufacture its products and any abrupt fluctuations in the prices of its raw materials may adversely affect the pricing of its products and may have an impact on its Business, Results of Operation, Financial Condition and Cash Flows.

The Company sells its products for specific use by certain Industries. Any reduction in the demand or requirement of its products in such Industries may result in loss of Business and may affect its Financial Performance and Financial Condition.

Any slowdown or shutdown of its Manufacturing operations at the company's Manufacturing Facilities could have an adverse effect on its Business, Financial Condition and Results of Operations.

Overcapacity and Oversupply in the Global Refractory Industry may adversely affect the Company's Profitability.

The Restated Financial Statements have been provided by Peer Reviewed Chartered Accountants who is not Statutory Auditor of the Company.

The Company in the usual course of Business does not have any long term contracts with its Customers and the company relies on purchase orders for delivery of its products and the company Customers may cancel or modify their orders, change quantities, delay or change their sourcing strategy. Loss of one or more of its top Customers or a reduction in their demand for the company products or reduction in revenue derived from them may adversely affect its Business, Results of Operations and Financial Condition.

The company is unable to trace few of its historical records, Also, in the past, there have been some instances of delays/ nonfiling/ non-compliance with certain statutory authorities, In the event the company is found not to be in compliance with any applicable regulations in relation to the regulatory filings or corporate actions, its may be subject to regulatory actions or penalties for any such possible non-compliance/ non-filing/ delay and its business, financial condition and reputation may be adversely affected.