Harikanta Overseas Ltd IPO

The company has not yet placed orders in relation to the capital expenditure to be incurred for the proposed, purchase of equipment / machineries. In the event of any delay in placing the orders for Machineries or in the event the vendors is not able to provide the equipment / machineries in a timely manner, or at all, the same may result in time and cost over-runs.

The company business is significantly dependent on yarn and other related raw materials, and fluctuations in their prices or availability, as well as concentration of its supplier base, may adversely affect the company operations, margins, and profitability.

The company operations is energy-intensive and any disruption in power supply or increase in energy costs may adversely affect its business and financial performance.

Potential Exposure to Competition Despite Non-Compete Agreements with Promoter Group Entities

Potential Conflicts of Interest Arising from Promoters' Proprietary Businesses and Their Operational Overlap with the Company.

The company business is working capital intensive and any inability to secure adequate financing may adversely impact operations.

Dependence on third-party and subsidiary job work arrangements.

The company has experienced negative cash flows in previous years / periods. Any operating losses or negative cash flow in the future could adversely affect its results of operations and financial condition.

There may has been certain instances of non-compliances with respect to certain corporate actions taken by the Company in the past. Consequently, its may be subject to regulatory actions and penalties.

The company business is seasonal in nature, which could adversely affect its business operations and financial performance.