Raksan Transformers Ltd.

• Funding capital expenditure towards setting up of manufacturing facility at Liwaspur, Sub- Tehsil Rai, Distt. Sonepat, Haryana₹62.1 Cr
• To meet working capital requirements₹35.0 Cr
• Repayment of certain borrowing availed by our Company, in part or full₹7.3 Cr
• General Corporate Purpose

As on the date of this Red Herring Prospectus, there are no outstanding criminal proceedings initiated against the Company, no outstanding criminal proceedings initiated by the Company, no outstanding material litigation initiated against the Company, and no outstanding material litigation initiated by the Company. Further, except as disclosed in this Red Herring Prospectus, there are no findings or observations of any of the inspections by SEBI or any other regulatory authority in India, which are material and which needs to be disclosed.

• A significant portion of revenue (50.73%, 72.99%, 56.13% in FY 2026, 2025, 2024 respectively) is derived from government and public utility customers, making the business highly dependent on government policies, project allocations, and payment cycles.(Customer Concentration)

• The business is highly dependent on a limited number of government-controlled clients, and any adverse development such as reduced orders, delays in tendering, loss of eligibility, or poor performance ratings could significantly affect revenue and profitability.(Customer Concentration)

• Revenue is derived from government-controlled entities through competitive bidding processes, and the company was abstained from bidding for 3 consecutive tenders by Paschimanchal Vidyut Vitran Nigam Limited, Meerut, which could impact the ability to bid for new tenders or the profitability of new contracts.(Competition)

• The order book of Rs. 32967.92 lakhs as of June 30, 2026, may not be representative of future results, as actual income may be significantly less than estimates due to factors like escalation components, freight, insurance, commissioning charges, and other ancillary income.(Execution)

• Execution of transformer supply contracts is subject to delays due to customer-side delays, non-availability of material, production disruption, regulatory clearances, or supply chain constraints, which can defer revenue recognition and payments.(Execution)

• The company significantly depends on a few raw material suppliers, with purchases from top ten suppliers accounting for 54.96% of total raw material procurement in Fiscal 2026, and does not maintain long-term supply agreements with any suppliers.(Supply Chain)

• The cost of raw materials consumed (80.18% of revenue in Fiscal 2026) is subject to significant price fluctuations due to global demand-supply dynamics, economic and political conditions, and other uncertainties, which may adversely affect competitiveness, cost structure, and profitability.(Supply Chain)

• The tendering process is subject to procedural delays, changes in eligibility norms, or withdrawal of previously announced projects, and contracts may be re-floated with revised terms, potentially reducing the overall conversion of the order book into revenue.(Competition)

Each bar is a fixed formula applied to the figures shown above, scored 0–100. This is a reading of what the company disclosed — not a recommendation to apply or avoid, not a price target, and not a prediction of listing performance. Dimensions that could not be extracted are excluded rather than assumed, so coverage varies between documents.