Yajur Fibres Ltd IPO

There is an investigation was initiated by Central Bureau of Investigation ("CBI") and Charge sheet was filed in Special (CBI) Court No. 2, Bichar Bhawan, Calcutta by CBI against six persons, including our Company alleging wrongful disbursement of subsidy. In respect of the same matter a money suit was filed by National Jute Board before the City Civil Court at Calcutta against our Company, which was disposed off as on date. Any adverse outcome of the same may adversely affect our business and results of operations.

Our Statutory Auditor has reported qualifications, in the audit report issued for the Financial Years ended March 31, 2024 and March 31, 2023.

We derive a substantial portion of our revenue from the sale of Cottonised Flax and loss of sales due to reduction in demand for such products would have a material adverse effect on our business, financial condition, results of operations and cash flows.

There are outstanding litigations involving our Company which, if determined adversely, may adversely affect our business and financial condition.

Certain of our corporate records and filings made by us are not traceable. We cannot assure you that legal proceedings or regulatory actions will not be initiated against us in the future, or that we will not be subject to any penalty imposed by the competent regulatory authority, should any discrepancies arise in such untraceable filings.

Our expansion into new product categories and an increase in the number of products offered by us may expose us to new challenges and more risks.

We depend on a few customers of our products, for a significant portion of our revenue, and any decrease in revenues or sales from any one of our key customers may adversely affect our business and results of operations.

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

A significant portion of our revenue from operations from repeat orders of our customers. Any loss of, or a significant reduction in the repeat orders received by us could adversely affect our business, results of operations, financial condition and cash flows.

We highly depend on our raw materials and a few key suppliers who help us procure the same. In the event we are unable to procure adequate amounts of raw materials, at competitive prices our business, results of operations and financial condition may be adversely affected.