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 the 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 the Company, which was disposed off as on date. Any adverse outcome of the same may adversely affect its business and results of operations.

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

The company derives a substantial portion of its 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 the company's business, financial condition, results of operations and cash flows.

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

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

The company's expansion into new product categories and an increase in the number of products offered by it may expose it to new challenges and more risks.

The company depends on a few customers of its products, for a significant portion of the company's revenue, and any decrease in revenues or sales from any one of the company keys customers may adversely affect its business and results of operations.

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

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

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