The company has certain outstanding litigation against it, an adverse outcome of which may adversely affect its business, reputation and results of operations.

The company could become liable to customers, suffer adverse publicity and incur substantial costs as a result of defects in its products, which in turn could adversely affect the company's business operations and its sales could be diminished if the compan is associated with negative publicity.

The demand and pricing in the steel industry is volatile and are sensitive to the cyclical nature of the industries it serves. A decrease in steel prices may have adverse effect on its business, results of operations margins and financial condition.

The company generates a substantial portion of revenue from the region of Gujarat. Any adverse developments affecting its operations in Gujarat region could have an adverse impact on its revenue and results of operations.

Its Revenue supply of Pipes contribute significantly to the company revenue from operation. Any loss of business from such products may adversely affect its revenues and profitability.

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

Its business is a High Volume-Low Margin Business.

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 depends on the success of its relationships with its customers. The company's top ten customers contribute majority of its revenues from operations. If one or more of such customers choose not to source their requirements from it, the company's business, financial condition and results of operations may be adversely affected.

The company is heavily dependent on one of its suppliers, M/s. APL Apollo Tubes Limited for whom the company is distributors for procurement and sale of its traded goods. Any disruption of supply from such entities may affect its business operations.