|Basis of Allotment|
R Systems International Limited
(Originally incorporated as R Systems (India) Private Limited on May 14,1993 under the
Companies Act, 1956, with registration number 55-053579, with its registered office at B-1
04A, Greater Kailash-I, New Delhi -110 048. Subsequently, the name was changed
to R Systems (India) Limited on April 13, 2000. The name was changed to R Systems
International Limited on August 7, 2000.)
BASIS OF ALLOCATION
PUBLIC OFFER OF 4,408,355 EQUITY SHARES OF RS. 10 EACH FOR CASH AT A PREMIUM OF RS. 240 PER EQUITY SHARE AND AT A PRICE OF RS. 250 PER EQUITY SHARE AGGREGATING RS. 1102.09 MILLION, COMPRISING FRESH ISSUE OF 2,825,000 EQUITY SHARES OF RS. 10 EACH BY R SYSTEMS INTERNATIONAL LIMITED (REFERRED TO AS THE "COMPANY") AND AN OFFER FOR SALE OF AGGREGATE 1,583,355 EQUITY SHARES OF RS. 10 EACH BY THE SELLING SHAREHOLDERS (THE FRESH ISSUE AND THE OFFER FOR SALE ARE JOINTLY REFERRED TO HEREIN AS THE "OFFER"). THE OFFER COMPRISES OF A RESERVATION FOR EMPLOYEES OF 440,355 EQUITY SHARES OF RS. 10 EACH AND A NET OFFER TO THE PUBLIC OF 3,968,000 EQUITY SHARES OF RS. 10 EACH (THE "NET OFFER"). THE OFFER WOULD CONSTITUTE 32.57% OF THE FULLY DILUTED POST OFFER PAID-UP CAPITAL OF OUR COMPANY
OFFER PRICE: RS. 250 PER EQUITY SHARE OF FACE VALUE RS. 10 EACH.
THE OFFER PRICE IS 25 TIMES THE FACE VALUE.
The Offer was made through the 100% Book Building Process wherein up to 50% of the Net Offer to the public shall be allocated on a proportionate basis to Qualified Institutional Buyers, out of which 5% of the QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the QIB Portion shall be available for allocation on a proportionate basis to all Qualified Institutional Buyers, including Mutual Funds, subject to valid Bids being received at or above Offer Price. Further, at least 15% of the Net Offer to the public shall be available for allocation on a proportionate basis to Non-Institutional Bidders and at least 35% of the Net Off er to the public shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price.
The Offer received 42098 applications for 14811200 equity shares resulting in 3.36 times subscription. The details of the application received in the Offer from Retail Individual Bidders, Non Institutional Investors, Qualified Institutional Buyers and Employees categories is as under:
*Including bids received at cut off price # After eliminating cheque returns.
A sample of the final demand at different bid prices is asunder:
The Basis of Allotment was finalised in consultation with National Stock Exchange of India Limited ("NSE") on April 19, 2006.
A)Allocation to Retail Individual Bidders
The Basis of Allocation to the Retail Individual Bidders, who have bid at cut-off or at the Offer Price of Rs. 250 per Equity Share, was finalized in consultation with NSE. The category was subscribed 3.68569 times. The total number of shares allotted in this category is 1787611 Equity Shares. The sample of the category-wise details of the Basis of Allocation areas under:
B) Allocation to Non Institutional Bidders
The Basis of Allocation to the Non institutional investors, who have bid for at the Offer Price of Rs.250 Per Equity Share, was Finalized in consultation with NSE. The category was subscribed 0.92834 times. The total number of shares allotted in this category is 552550 Equity shares. The unsubscribed portion of 42650 equity shares was added to the Retail. A sample of Category-wise details of the Basis of Allocation are as under:
C) Allocation to Qualified Institutional Bidders:
D) Allocation to Employees:
The Basis of Allocation to the Employees category, who have bid at cut-off or at the Offer Price of Rs. 250 per Equity Share, was finalized in consultation with NSE. The category was subscribed to the extent of 0.19121 times. Hence, FULL and FIRM allotments have been made against all valid applications. The total number of Equity Shares allotted in this category is 84200 Equity Shares. The unsubscribed portion of 356155 equity shares was added to the Retail.
The Board of Directors of R Systems International Limited at its Meeting held at Noida on April 20, 2006 has approved the basis of allocation of shares and allotted the shares to various successful applicants based on allocation approved by NSE (Designated Stock Exchange), Six (6) additional Equity Share have been alloted.
The despatch of Refund Orders /advice has been completed by April 21, 2006 to the address of the investors as registered with the depositories. In case the same is not received within ten days, investors may contact at the address given below. The refund orders have been printed with the Bank Mandate details as registered, if any, with the depositories. The shares allocated to the successful applicants have been credited to their beneficiary accounts subject to validation of the account details with the depositories concerned. The Company has submitted the listing application on April 21, 2006. The Company is taking steps to get the Equity shares admitted for trading on National Stock Exchange of India Limited and Bombay Stock Exchange Limited within seven working days from the date of approval of the basis of allocation.
INVESTORS PLEASE NOTE
All future correspondence in this regard may kindly be addressed to the Registrars to the Offer quoting full name of the First/Sole applicant, Serial number of the bid-cum-application form, number of shares bid for, name of the Member of the Syndicate and Place where the bid was submitted and payment details at the address given below:
INTIME SPECTRUM REGISTRY LIMITED
THE LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARE ON LISTING OR THE BUSINESS PROSPECTS OF R SYSTEMS INTERNATIONAL LIMITED.