Nexxus Petro Industries IPO Details

1. There is certain outstanding tax proceedings against its Promoters which may adversely affect the company's business, financial condition and results of operations.

2. The company has experienced negative cash flows in the past.

3. The company has a limited operating and financial history, which makes it difficult to accurately assess its future growth prospects.

4. Its main product Bitumen is a petrochemical product and considerd hazardous in nature. In the event of any accidents involving any such hazardous materials and substances, the Company may be held liable for subsequent damages and litigations.

5. The company has in the past entered into related party transactions and may continue to do so in the future. There can be no assurance that such transactions, individually or in the aggregate, will not have an adverse effect on the Company's financial condition and results of operations.

6. The company relies significantly on some suppliers for the supply of its raw materials. If these suppliers are unable or unwilling to supply raw materials on time or otherwise fail to meet its requirements, the company's business will be harmed. An inability to procure the desired quality, quantity of its raw materials in a timely manner and at reasonable costs, or at all, may have a material adverse effect on its business, results of operations and financial condition.

7. Its Registered office and factory are on rented premises.

8. A certain amount of its revenue is generated from certain key customers, and the loss of one or more such customers, the deterioration of their financial condition or prospects, or a reduction in their demand for its products could adversely affect the company's business, results of operations, financial condition and cash flows.

9. The company operates in a competitive industry dominate by large integrated players.

10. Its bitumen business is subject to seasonal and other fluctuations that may affect its cash flows and business operations.