Agarwal Toughened Glass India Limited - IPO

1. 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.

2. We generally do business with our customers on purchase order basis and do not enter into long term contracts with them. Our inability to maintain relationships with our customers could have an adverse effect on our business, prospects, results of operations and financial condition.

3. If we are unable to attract new clients or retain our existing clients or default in payments, the growth of our business and cash flows will be adversely affected.

4. We are dependent upon few suppliers for the material requirements of our business. Further, we do not have definitive agreements or fixed terms of trade with most of our suppliers. Failure to successfully leverage our relationships with existing suppliers or to identify new suppliers could adversely affect our business operations.

5. The commercial success of our products depends to a large extent on the success of the products of our end use customers. If the demand for the end use products in which our products are used as a raw materials declines, it could have a material adverse effect on our business, financial condition and results of operations.

6. Our manufacturing units and our operations are geographically concentrated in Rajasthan. Consequently, we are exposed to risks from economic, regulatory and other developments in the region which could have an adverse effect on our business, results of operations and financial condition. Further, our continued operations are critical to our business and any shutdown of our manufacturing units may adversely affect our business, results of operations and financial condition.

7. We are dependent on our manufacturing units, and any loss, or shutdown, or under-utilization of the production capacities of our manufacturing units may have an adverse effect on our business, financial condition and results of operations.

8. Manufacturing of glass involve hazardous processes that can cause personal injury and loss of life, severe damage to and destruction of property and equipment, which could result in incurring material liabilities, loss of revenues and increased expenses.

9. We have experienced growth in the previous years on account of diversified product mix, which may not continue in the future and accordingly, our revenues may decline.

10. Our Company is yet to place orders for 100% towards purchase of plant and machinery. Any delay in placing orders or procurement of such plant and machinery may further delay the schedule of implementation and increase the cost of commissioning the manufacturing unit.