Abha Power and Steel Ltd

Upgradation of existing manufacturing facility.

Continue to focus on improving operational efficiencies.

Expand our customer base and geographic reach.

Focus on Advanced Technology Products.

Increasing operational efficiency.

Strengthen our marketing network.

Value proposition for consumers.

Diversified product mix with strong focus on customised products.

Fully equipped manufacturing facility.

Strategically located Manufacturing Facility.

Captive Power plant.

Diversified customer base and long-standing relationship with our customers.

Quality assurance and accreditations.

Well experienced management team with proven project management and implementation skills.

Manufacturing Facility is located in Bilaspur, Chhattisgarh. Any disruption, breakdown or shutdown of its Manufacturing Facility may have a material adverse effect on its business, financial condition, results of operations and cash flow.

Its Manufacturing Facility is located in Bilaspur, Chhattisgarh and the company is dependent upon local suppliers for the procurement of its raw materials. Any disruption, breakdown or shutdown of its Manufacturing Facility and any disruption in supply of raw materials may have a material adverse effect on its business, financial condition, results of operations and cash flow.

The company`s revenue is majorly concentrated from the State of Madhya Pradesh and Chhattisgarh. Any adverse changes in the state policies of Madhya Pradesh and Chhattisgarh may have a material effect on its business and results of operations.

A significant majority of its revenues from operations are derived from a limited number of customers.

The company`s manufacturing activity is subject to availability of raw material and the costs of the raw materials. Any shortage in availability or fluctuations in raw material prices, may have a material adverse effect on its business, financial condition, results of operations and cash flows.

The company`s business is capital intensive. Its requires substantial financing for the company`s business operations. Its indebtedness and the conditions and restrictions imposed on by its financing arrangements could adversely affect the company`s ability to conduct its business.

The company does not own premises where its Manufacturing Facility is located.

The Company has not yet placed orders for equipment required by it for the proposed modernisation. Any delay in placing the orders / or supply of plant and machinery may result in time and cost overruns, and may affect its profitability.

Relevant copies of educational qualifications of some of its Directors and Promoters are not traceable.

The company requires certain approvals and licenses in the ordinary course of business and are required to comply with certain rules and regulations to operate its business, any failures to obtain, retain and renew such approvals and licences or comply with such rules and regulations may adversely affect its operations.

Its ability to access capital at attractive costs depends on the company credit ratings. Non-availability of credit ratings or a poor rating may restrict its access to capital and thereby adversely affect the company`s business and results of operations.

The company has availed unsecured loans which are repayable on demand. Any demand for repayment of such unsecured loans, may adversely affect its cash flows.

The company lenders have charge over its movable and immovable properties in respect of finance availed by the company.

Its Promoters and Promoter Group has provided personal and corporate guarantees for loans availed by the Company. Its business, financial condition, results of operations, cash flows and prospects may be adversely affected by the invocation of all or any guarantees provided by its Promoter and Promoter Group.

The company funding requirements and the deployment of Net Proceeds are based on management estimates and quotations received and have not been independently appraised. Any variation in the utilisation of Net Proceeds of the Fresh Offer as disclosed in this Prospectus shall be subject to compliance requirements, including prior shareholders` approval.

The Company, its Promoters and Directors are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.

Its may not be able to successfully manage the growth of the company operations and execute its growth strategies which may have an adverse effect on its business, financial condition, results of operations and future prospects.

The company is dependent upon the business experience and skill of its promoters, key managerial personnel and senior management personnel. Loss of its Senior Management or the company`s inability to attract or retain such qualified personnel, could adversely affect its business, results of operations and financial condition.

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

Its may be unable to sufficiently obtain, maintain, protect, or enforce its intellectual property and other proprietary rights.

The Company have incurred losses in the previous Fiscals.

The company has certain contingent liabilities as stated in the Restated Financial Statement, and in the event, they materialize it could adversely affect its financial condition.

The company has experienced negative cash flows from operating activities and may do so in the future, which could have a material adverse effect on its business, prospects, financial condition, cash flows and results of operations.

The Company is dependent on third parties for transportation and export of its finished products and any disruption in their operations or a decrease in the quality of their services could have an adverse impact on its business, financial condition, cash flows and results of operations.

Its management will have broad discretion in how the company apply the Net Proceeds, including interim use of the Net Proceeds, and there is no assurance that the objects of the Offer will be achieved within the time frame expected or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment.

The company operates in a competitive business environment. Competition from existing players and new entrants and consequent pricing pressures could have a material adverse effect on its business growth and prospects, financial condition and results of operations.

Stringent environmental, health and safety laws and regulations or stringent enforcement of existing environmental, health and safety laws and regulations may result in increased liabilities and increased capital expenditures.

Its Promoters and some of the company`s Directors are interested in the Company, in addition to regular remuneretion or benefits and reimbursement of expenses.

The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.

The company is subject to restrictive covenants under its financing agreements that could limit our flexibility in managing its business or to use cash or other assets. Any defaults could lead to acceleration of its repayment obligations, termination of one or more of the company financing agreements or force it to sell its assets, which may adversely affect the company cash flows, business, results of operations and financial condition.

Information relating to its production capacities and the historical capacity utilization of its Manufacturing Facility included in this Prospectus is based on factual data and proposed capacity is based on certain assumptions and has been subjected to rounding off, and future production and capacity utilization may vary.

There have been past instances of delays by the Company in filing of certain GST returns and making payments under the Employees Provident Fund and Miscellaneous Provisions Act, 1952. Any future instances of such delays may result in levy of penalties on the Company.

Its may be affected by competition law, the adverse application or interpretation of which could adversely affect its business.

The company is subject to operational risks on account of obsolescence, destruction, breakdown of its equipment or failures to repair or maintain such equipment. Further, if the company does not continually enhance its business with the most recent equipment and technology, its ability to maintain and expand the company markets may be adversely affected.

Changes in technology may affect its business by making the company`s Manufacturing Facility or equipment less competitive or obsolete.

Its insurance coverage may not be adequate to protect the company against all potential losses to which its may be subject and this may have a material effect on the company`s business and financial condition.

Its Promoters and members of the Promoter Group will continue jointly to retain majority control over our Company after the Offer, which will allow them to determine the outcome of matters submitted to shareholders for approval.

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

If the company is unable to establish and maintain an effective internal controls and compliance system, its business and reputation could be adversely affected.

The average cost of acquisition of Equity Shares by its Promoter could be lower than the Offer Price.

The company has not independently verified certain Industry related data in this Prospectus.

The Company will not receive any proceeds from the Offer for Sale.

Subsequent to the listing of the Equity Shares, its may be subject to surveillance measures, such as the Additional Surveillance Measures and the Graded Surveillance Measures by the Stock Exchanges in order to enhance the integrity of the market and safeguard the interest of investors.

The Equity Shares have never been publicly traded, and, after the Offer, the Equity Shares may experience price and volume fluctuations, and an active trading market for the Equity Shares may not develop. Further, the price of the Equity Shares may be volatile, and you may be unable to resell the Equity Shares at or above the Offer Price, or at all.

The Offer price of its Equity Shares may not be indicative of the market price of the company Equity Shares after the Offer and the market price of its Equity Shares may decline below the Offer Price and you may not be able to sell your Equity Shares at or above the Offer Price.

Any future issuance of Equity Shares, or convertible securities or other equity linked securities by the Company may dilute your shareholding and any sale of Equity Shares by its Promoters or members of the company`s Promoter Group may adversely affect the trading price of the Equity Shares.

Fluctuation in the exchange rate between the Indian Rupee and foreign currencies may have an adverse effect on the value of its Equity Shares, independent of the company operating results.

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

QIB and Non-Institutional Investors are not permitted to withdraw or lower their application Amount at any stage after submitting an Application.