Loss of any supplier or a failure by suppliers to deliver primary raw materials can impact operations.
Demand and pricing in the steel industry is volatile
COVID-19 pandemic has impacted operations in the past and may impact in the future.
Business operations are on owned and leased premises.
Manufacturing plants and sources of raw materials primarily in eastern India only.
Required to pay damages to some suppliers of coal and chrome ore if the company fails to purchase a specified percentage from the supplier
No long-term agreements with customers.
Certain group companies have incurred losses in the past.
Shortage of essential utilities such as electricity and water could affect manufacturing operations.
Promoters will retain majority shareholding allowing them to exercise significant influence.
Stringent labour laws and labour unions may lead to slowdowns and increased wage costs.
Restrictions on import of raw materials and an increase in shipment cost may impact operations.
Portion of the proceeds may be utilized for repayment of loans taken from Axis Bank, ICICI Bank and SBI.
Major portion of revenues come from exports to limited markets.
Failure to comply with environmental laws could impact business and future earnings.