Renol Polychem Ltd IPO

Extensive government regulation and the impact of plastics and related on the environment could have a severe impact on its ability to continue the company business operations, which could adversely affect our business, results of operations and financial condition.

Its continued operations are critical to the company business and any shutdown of its manufacturing unit may adversely affect the company business, results of operations and financial condition.

In addition to its existing indebtedness for the company existing operations, its may incur further indebtedness during the course of business. the company cannot assure that its would be able to service the company existing and/ or additional indebtedness.

Substantial portion of its revenues has been dependent upon few clients. The loss of any one or more of the company major clients would have a material effect on its business operations and profitability.

The Company has experienced negative cash flow in the past and may continue to do so in the future, which could have a material adverse effect on its business, prospects, financial condition, cash flows and results of operations.

Its Registered Office, manufacturing unit and warehouse(s) are located on rental premises. If the company is unable to renew such rent agreements or relocate on commercially suitable terms, it may have a material adverse effect on its business, results of operation and financial condition.

Its business is operating under various laws which require it to obtain approvals from the concerned statutory/regulatory authorities in the ordinary course of business and the company inability to obtain, maintain or renew requisite statutory and regulatory permits and approvals for its business operations could materially and adversely affect the company business, prospects, results of operations and financial condition.

There have been certain instances of non-compliances in respect of ROC filing or payments. Any penalty or action taken by any regulatory authorities in future for non-compliance with provisions of all applicable law and other law could impact on the financial position of the Company to that extent.

The company derives significant portion of its revenue from sale of limited variety of the company products. An inability to adapt to evolving consumer preferences and demand for particular products, or ensure product quality may adversely impact demand for its products and consequently the company's business, results of operations, financial condition and cash flows.

The Company does not have long term agreements with suppliers for supply of raw material. Its inability to obtain raw material in a timely manner, in sufficient quantities could adversely affect the company operations, financial condition and/or profitability.