Kenrik Industries Ltd

Focus on Innovation.

Expand Customer Base.

Build Brand Awareness.

Streamline Operations.

Offer Superior Customer Service.

Emphasize Sustainability.

Majorly its business is in Gujarat any adverse development affecting such a region may have an adverse effect on the company`s business, prospects, financial condition, and results of operations.

Customer complaints, negative publicity, or concerns regarding the purity and quality of its gold/silver jewellery, or any lapses in the company quality control processes could significantly impact its business, brand reputation, and financial performance.

High inventory costs may adversely impact its business and financial conditions of the Company.

The non-availability or high cost of quality gold bullion may have an adverse effect on its business, results of operations and financial condition. The non-availability or high cost of quality gold bullion may have an adverse effect on its business, results of operations and financial condition.

The company has experienced negative cash flows in prior years.

Its may fails to protect the company jewellery designs.

Its may be subject to fraud, theft, employee negligence or similar incidents.

Its insurance may be insufficient to cover all losses associated with the company business operations.

Its registered office and manufacturing facility are located on leased or licensed premises. Any termination or failures by it to renew the leave and license agreements in a favourable and timely manner, or at all, could adversely affect its business and results of operations.

The company has availed unsecured loans from Promoters, Promoter Group and other companies that are recallable, at any time.

Its inability to effectively market the company products, or any deterioration in public perception of its brand, could affect consumer footfall and consequently adversely impact its business, financial condition, cash flows and results of operations.

Competition in the Indian jewellery industry is significant. The company operates in highly competitive and fragmented markets, and competition in these markets is based primarily on market trends, pricing and customer preferences.

Its income and sales are subject to seasonal fluctuations and lower income in a peak season may have a disproportionate effect on its results of operations.

Volatility in the market price of gold and silver has a bearing on the value of its inventory and may affect its income, profitability and scale of operations.

The company, as well as its Directors and Promoters are involved in certain legal and regulatory proceedings that, if decided unfavourably, may adversely affect its business, results of operations and financial condition.

Its Promoters will retain a significant shareholding in the Company after this Offer, enabling them to exert considerable influence over its operations.

Its may be unable to expand the company product offerings through online distribution channels.

If the company is unable to continue to develop innovative, fashionable and popular designs, demand for its jewellery may decrease, adversely affecting the company revenues and financial condition.

Jewellery buying is commonly seen as a luxury indulgence. Any factor that diminishes consumers` discretionary spending could harmfully influence its business, operational outcomes, financial state, and future outlook.

The company requires certain approvals, permits and licenses in the ordinary course of business, and any failures or delay to obtain or renew them or to comply with their conditions in the future may adversely affect its operations.

The company is dependent on its Key Managerial Personnel, and the loss of, or the company inability to hire, retain, train, and motivate qualified personnel could adversely affect its business, results of operations, and financial condition.

Its revenue streams heavily relies on the sale of gold bullion and gold jewellery. Any factors that negatively impact the procurement of gold or its sales of gold bullion and gold jewellery could have adverse effects on the company business, financial condition, operational results, and future prospects.

Failures to efficiently convert existing customers into repeat buyers or attract new customers could harm its business, financial health, and operational performance.

The Company requires significant amount of working capital for continued growth. Its inability to meet the company working capital requirements, on commercially acceptable terms, may have an adverse impact on its business, financial condition and results of operations.

Any variation in the utilisation of the Net Proceeds or in the terms of any contract as disclosed in the Prospectus would be subject to certain compliance requirements, including prior shareholders` approval.

Failures to manage its inventory could have an adverse effect on the company net sales, profitability, cash flow and liquidity.

The company has in the past entered into related party transactions and may continue to do so in the future.

The company is subject to extensive statutory and regulatory requirements and supervision.

The average cost of acquisition of Equity Shares by its Promoters is lower than the issue price of the Equity Shares offered through the present Issue.

The company has not entered into any definitive arrangements to utilize certain portions of the Net Proceeds of the Issue. Its funding requirements and deployment of the Net Proceeds of the Issue are based on management estimates and have not been independently appraised.

The company does not maintain long-term contracts with its third-party suppliers, and its business may be adversely affected by a shortfall in supply, or increase in price of materials.

The Company has not entered into any long-term contracts with its distributors/customers and the company typically operate on the basis of orders received on hand. Inability to maintain regular order flow would adversely impact its revenues and profitability.

Major portion of its revenue is derived from a limited number of customers. Any failure to retain one or more of its customers or any.

The company is heavily dependent on certain suppliers and customers for procurement and sale of its goods. Any disruption in supply or offtake from such entities may affect its business operations.

Delays or defaults in client payments could affect its operations.

The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency.

Certain sections of this Prospectus disclose information from various websites which are independent and is not related to The Company, its Promoters or Directors in manner whatsoever. Any reliance on such information for making an investment decision in the Issue is subject to inherent risks.

In the event there is any delay in the completion of the Issue, there would be a corresponding delay in the completion of the objects of this Issue which would in turn affect its revenues and results of operations.

There is no guarantee that its Equity Shares will be listed on the SME Platform of BSE Limited in a timely manner or at all.

The Issue Price of its Equity Shares may not be indicative of the market price of the company Equity Shares after the Issue.

After this Issue, the price of its Equity Shares may be volatile, or an active trading market for its Equity Shares may not be sustained.

The investors will not be able to sell immediately on an Indian stock exchange any of the Equity Shares they purchase in the Issue.

There are restrictions on daily movements in the price of the Equity Shares, which may adversely affect a shareholder`s ability to sell, or the price at which it can sell, Equity Shares at a particular point in time.

Any future issuance of Equity Shares may dilute the investors` shareholdings or sales of its Equity Shares by its Promoters or Promoter Group may adversely affect the trading price of the company Equity Shares.

The requirements of being a public listed company may strain its resources and impose additional requirements.

The Company has not paid any dividends till now and there can be no assurance that its will pay dividends in future.

Its ability to pay dividends in the future will depends upon the company future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in its financing arrangements.

You may be subject to Indian taxes arising out of capital gains on sale of Equity Shares.

Foreign investors may be restricted in their ability to purchase or sell Equity Shares.

QIBs and Non-Institutional Bidders are not permitted to withdraw or lower their Bids (in terms of quantity of Equity Shares or the Bid Amount) at any stage after the submission of their Bid, and Retail Individual Bidders are not permitted to withdraw their Bids after closure of the Bid/ Issue Closing Date.

The investors may be restricted in their ability to exercise pre-emptive rights under Indian law and may be adversely affected by future dilution of their ownership position.

Rights of shareholders under Indian law may be more limited than under the laws of other jurisdictions.

Its Equity Shares are quoted in Indian Rupees in India, and therefore investors may be subject to potential losses arising out of exchange rate risk on the Indian Rupee and risks associated with the conversion of Indian Rupee proceeds into foreign currency.

Investors will not have the option of getting the allotment of Equity Shares in physical form.