Remus Pharma.

Risks

• There are outstanding legal proceedings involving the Company, its Directors and the company Promoter.

• The Company is dependent on few numbers of customers for sales. Loss of any of this large customer may affect its revenues and profitability.

• The Company is dependent on few suppliers for purchase of product. Loss of any of these large suppliers may affect its business operations.

• The company registered office, corporate office and warehouse, from where we operate are not owned by it.

• The company relies on third parties for manufacturing products of the Company.

• If the company is cannot respond adequately to the increased competition its expect to face, the company will lose market share and its profits will decline, which will adversely affect its business, results of operations and financial condition.

• Being a pharmaceutical company, its operate in a highly regulated and controlled industry environment. The company business is dependent on approvals from relevant regulatory and health authorities. Any delay or failure to obtain or renew such required regulatory approvals, registrations or any change in the regulatory environment in relation to marketing its products in regulated markets may significantly impact its business and strategy affecting the company overall profitability.

• Qualifications have been noted by its Statutory Auditors in their reports on the Audited Financial Statements for the year ended on March 31, 2022, 2021 and 2020 for non-provision for Gratuity Payment as required under Accounting Standards 15 and notified by Companies (Accountants) Rule, 2014.

• The company business activities are exposed to fluctuations in the prices of raw materials.

• If the company is cannot respond adequately to the increased competition its expect to face, the company will lose market share and its profits will decline, which will adversely affect its business, results of operations and financial condition.

• The Company is reliant on the demand from the pharmaceutical industry for a significant portion of its revenue. Any downturn in the pharmaceutical industry or an inability to increase or effectively manage its sales could have an adverse impact on the Company`s business and results of operations.

• Within the parameters as mentioned in the chapter titled "Objects of this Issue" of this Red Herring Prospectus, the Company`s management will have flexibility in applying the proceeds of this Issue. The fund requirement and deployment mentioned in the Objects of this Issue have not been appraised by any bank or financial institution.

• The company has not identified any alternate source of raising the funds required for the object of the Issue and the deployment of funds is entirely at its discretion and as per the details mentioned in the section titled "Objects of the Issue".

• Any delays and/or defaults in customer payments could result in increase of working capital investment and/or reduction of the Company`s profits, thereby affecting its operation and financial condition.

• The Company requires significant amount of working capital for a continued growth. Its inability to meet the company working capital requirements may have an adverse effect on its results of operations.

• The Company has availed Rs. 719.64 lakhs as unsecured loan as on December 31, 2022, which are repayable on demand. Any demand from the lenders for repayment of such unsecured loan may affect its cash flow and financial condition.

• Certain agreements may be inadequately stamped or may not have been registered as a result of which its operations may be adversely affected.

• The company require a number of approvals, NOCs, licenses, registrations and permits in the ordinary course of its business. Some of the approvals are required to be obtained by the Issuer Company and any failure or delay in obtaining the same in a timely manner may adversely affect its operations.

• Any adverse change in regulations governing its products and the products of the company customers, may adversely impact its business prospects and results of operations.

• The company is subject to foreign currency exchange rate fluctuations which could have a material and adverse effect on its results of operations and financial conditions.

• The Company`s failure to maintain the quality standards of the products or keep pace with the technological developments could adversely impact its business, results of operations and financial condition.

• The company global operations expose it to numerous and sometimes conflicting legal and regulatory requirements, and violation of these regulations could harm its business.

• The company is subject to risks associated with expansion into new markets.

• Any conflict of interest which could occur between its business and any other similar business activities pursued by the company Director, Promoter and Promoter Group entity, could have a material adverse effect on its business and results of operations.

• The products that its commercialize may not perform as expected which could adversely affect its business, financial condition and results of operations.

• The availability of counterfeit drugs, such as drugs passed off by others as its products, could adversely affect the company goodwill and results of operations.

• If the company inadvertently infringe on the patents of others, its business may be adversely affected.

• In addition to normal remuneration, other benefits and reimbursement of expenses to its Promoters and Directors; they are interested to the extent of their shareholding and dividend entitlement thereon in the Company and for the transactions entered into between the Company and themselves as well as between the Company and its Group Companies/Entities. The Company in future may enter in related party transactions subject to necessary compliances.

• The average cost of acquisition of Equity shares by its Promoters is lower than the Issue price.

• The company success depends heavily upon its Promoters, Directors and Key Managerial Personnel for their continuing services, strategic guidance and financial support. Its success depends heavily upon the continuing services of Promoters, Directors and Key Managerial Personnel who are the natural person in control of our Company.

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

• The company insurance coverage may not be adequate to protect its against all potential losses to which its may be subject to, and this may have a material adverse effect on the business.

• There is no monitoring agency appointed by the Company to monitor the utilization of the Issue proceeds.

• Any future issuance of Equity Shares may dilute your shareholdings, and sale of the Equity Shares by its major shareholders may adversely affect the trading price of its Equity Shares.

• Industry information included in this Red Herring Prospectus has been derived from industry reports. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.

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

• The company inability to effectively implement its business and growth strategy may have an adverse effect on its operation and growth.

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