Basis of Allotment

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(This is only an advertisement for information purpose not for publication or distribution, directly or indirectly outside India, and not a prospectus announcement)

INVENTURE GROWTH & SECURITIES LIMITED

Our Company was incorporated at Mumbai on June 22, 1995 as "Inventure Growth & Securities Limited" under the Companies Act, 1956, with registration number 11 -89838 of 1995. The corporate identification number of our Company is U65990MH1995PLC089838.

Registered Office: Viraj Towers, 201, 2nd Floor, Near Landmark, Western Express Highway, Andheri (E), Mumbai - 400 069, Maharashtra, India.
Website: www.inventuregrowth.com; Company Secretary and Compliance Officer: Ms. Bhavi Gandhi; Tel No.: +91 22 3954 8500; Fax No.: +91 22 4075 1535; E-mail:ipo@inventuregrowth.com.

For further details of our Company and changes in our Registered Office, please refer to the chapter titled 'History and Certain Corporate Matters' beginning on page 131 of the Prospectus.

PROMOTERS OF OUR COMPANY: MR. NAGJI K. RITA AND MS. JAYASHREE N. RITA

BASIS OF ALLOTMENT

PUBLIC ISSUE OF 70,00,000 EQUITY SHARES OF RS 10 EACH OF INVENTURE GROWTH & SECURITIES LIMITED ('IGSL' OR THE 'COMPANY' OR THE 'ISSUER') FOR CASH AT A PRICE OF RS 117 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF RS 107 PER EQUITY SHARE) AGGREGATING TO RS 8,190 LAKHS (THE 'ISSUE'). THE ISSUE WILL CONSTITUTE 33.33% OF THE FULLY DILUTED POST ISSUE PAID UP CAPITAL OF THE COMPANY.

THE FACE VALUE OF EACH EQUITY SHARE IS RS 10 EACH.
THE ISSUE PRICE IS 11.7 TIMES THE FACE VALUE OF EQUITY SHARE

The Issue is being made through 100% Book Building Process. The Equity Shares of the Company are proposed to be listed on the Bombay Stock Exchange Limited ("BSE") and the National Stock Exchange of India Limited ("NSE") and the trading will commence on August 04, 2011.

IPO GRADING: The Issue has been graded by Fitch Ratings India Private Limited ("Fitch") and ICRA Limited ("ICRA"), credit rating agencies registered with the Securities and Exchange Board of India ("SEBI"). Fitch has assigned a grade of 2 (ind) out of a maximum of 5 (ind) indicating below average fundamentals, through its letter dated September 8, 2010. ICRA has assigned this Issue "2" indicating below average fundamentals through its letter dated July 7, 2011. For details of the grading of the Issue, please refer to the chapter titled "General Information" beginning on page 42 of the Prospectus.

This is an issue for more than 25% of the post-Issue capital in accordance with Rule 19(2)(b)(i) of the Securities Contracts Regulations Rules, 1957 ("SCRR"). The Issue is being made through the Book Building Process wherein not more than 50% of the Issue shall be allocated on a proportionate basis to Qualified Institutional Buyers ("QIB") Bidders. 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 QIB Bidders, including Mutual Funds, subject to valid Bids being received at or above the Issue Price. Further, not less than 15% of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Issue shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Issue Price.

The Issue opened for subscription on July 20, 2011 and closed on July 22, 2011. The Issue received 15,316 applications for 31,744,750 equity shares resulting in 4.5350 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional and Retail Individual Investor are as under: (Before technical rejections).

Category No. of Applications No. of Shares No. of times subscription
A Retail Individual Bidders 15,185 21,019,700 8.5795
B Non Institutional Bidders 129 9,854,150 9.3849
C Qualified Institutional Bidders (QIBs) 2 870,900 0.2488
Total 15,316 31,744,750 4.5350

Final Demand

The final demand at different bid prices is as under:

Bid Price No. of Equity Shares % to Total Cumulative Total Cumulative % to total
100 177,200 0.545 177,200 0.545
101 250 0.001 177,450 0.545
102 100 0.000 177,550 0.546
104 50 0.000 177,600 0.546
105 192,750 0.592 370,350 1.138
107 50 0.000 370,400 1.138
108 32,550 0.100 402,950 1.238
109 1,600 0.005 404,550 1.243
110 127,050 0.390 531,600 1.634
112 50 0.000 531,650 1.634
114 350 0.001 532,000 1.635
115 650 0.002 532,650 1.637
116 50 0.000 532,700 1.637
117 12,679,500 38.970 13,212,200 40.607
CUTOFF 19,324,400 59.393 32,536,600 100.000
TOTAL 32,536,600 100.000

The Basis of Allocation was finalized in consultation with the Bombay Stock Exchange Limited ("BSE"), being the Designated Stock Exchange, on July 29, 2011.

A. Allocation to Retail Individual Investors (Including Applications Supported by Blocked Amount ("ASBA")) (After Technical Rejections):

The Basis of Allocation to the Retail Individual Investors, who have bid at cut-off or at the Issue Price of Rs 117 per Equity Share, was finalized in consultation with BSE. This category has been over subscribed to the extent of 4.7471 times. The total number of shares allotted in Retail Individual Investor category is 4,410,000 Equity Shares to 14,253 successful applicants. As per the Red Herring Prospectus, the spills over portion from QIB Category (1,960,000 equity snares) were allotted on proportionate basis. There were 4,082 applications br 5,477,150 equity shares made under ASBA process by Retail Individual Investors, of which 3,701 applications for 1,144,980 equity shares were found valid and they were considered for allotment. The category-wise details of the Basis of Allotment are (sample) as under:

Category No. of Applications % to Total Total No. of Equity Shares Applied % to Total No. of Equity Shares allocated Ratio Total No. of Equity Shares allocated
50 693 4.6 34,650 0.17 50 4:19 7,300
100 315 2.09 31,500 0.15 50 8:19 6,650
150 126 0.84 18,900 0.09 50 7:11 4,000
200 168 1.12 33,600 0.16 50 11:13 7,100
550 7 0.05 3,850 0.02 116 1:1 812
600 26 0.17 15,600 0.07 126 1:1 3,276
650 11 0.07 7,150 0.03 137 1:1 1,507
800 23 0.15 18,400 0.09 169 1:1 3,887
850 2003 13.31 1,702,550 8.13 179 1:1 358,537
900 30 0.2 27,000 0.13 190 1:1 5,700
950 6 0.04 5,700 0.03 200 1:1 1,200
1000 34 0.23 34,000 0.16 211 1:1 7,174
1300 5 0.03 6,500 0.03 274 1:1 1,370
1350 1 0.01 1,350 0.01 284 1:1 284
1450 7 0.05 10,150 0.05 305 1:1 2,135
1550 4 0.03 6,200 0.03 327 1:1 1,308
1600 6 0.04 9,600 0.05 337 1:1 2,022
1650 18 0.12 29,700 0.14 348 1:1 6,264
1700 10969 72.86 18,647,300 89.07 358 1:1 3,926,902
1700 1 5:41 1,337

B. Allocation to Non Institutional Investors (After Technical Rejections)

The Basis of Allocation to the Non-Institutional Investors, who have bid at the Issue Price of Rs 117 per Equity Share, was finalized in consultation with BSE. This category has been over subscribed to the extent of 5.1689 times. The total number of equity shares allotted in this category is 1,890,000 equity shares to 128 successful applicants. As per the Red Herring Prospectus, the spill over portion from QIB Category (840,000 equity shares) were allotted on proportionate basis. The category-wise details of the Basis of Allotment are (sample) as under:

Category No. of Applications % to Total Total No. of Equity Shares Applied % to Total No. of Equity Shares allocated Ratio Total No. of Equity Shares allocated
1750 14 10.94 24,500 0.25 338 1:1 4,732
1900 2 1.56 3,800 0.04 368 1:1 736
3400 6 4.69 20,400 0.21 658 1:1 3,948
3500 1 0.78 3,500 0.04 677 1:1 677
4300 1 0.78 4,300 0.04 832 1:1 832
5100 2 1.56 10,200 0.1 987 1:1 1,974
10000 1 0.78 10,000 0.1 1935 1:1 1,935
12000 1 0.78 12,000 0.12 2322 1:1 2,322
21350 3 2.34 64,050 0.66 4131 1:1 12,393
30000 1 0.78 30,000 0.31 5804 1:1 5,804
51000 1 0.78 51,000 0.52 9867 1:1 9,867
68350 1 0.78 68,350 0.7 13223 1:1 13,223
100000 2 1.56 200,000 2.05 19347 1:1 38,694
171000 2 1.56 342,000 3.5 33083 1:1 66,166
427400 1 0.78 427,400 4.38 82687 1:1 82,687
522000 1 0.78 522,000 5.34 100989 1:1 100,989
534000 2 1.56 1,068,000 10.93 103311 1:1 206,622
684000 1 0.78 684,000 7 132331 1:1 132,331
752100 1 0.78 752,100 7.7 145505 1:1 145,505
1068000 2 1.56 2,136,000 21.86 206622 1:1 413,244

C. Allocation to QIBs

Allocation to QIBs has been done on a proportionate basis in consultation with BSE. As per the SEBI regulations, Mutual Funds and other QIBs were allocated the available shares (700,000 Equity Shares) on proportionate basis. The under subscribed portion of 2,800,000 equity shares have been spilled over to Non-Institutional and Retail Category.

Category Flls Total
No. of Shares 700,000 700,000

The Board of Directors of the company at its meeting held on July 30,2011, has taken on record the basis of allocation of shares approved by the Designated Stock Exchange viz., Bombay Stock Exchange Limited ("BSE"), Mumbai, of the Issue and has authorized the Corporate Action for the transfer of the shares to various successful applicants.

The Allotment Advice-cum-Refund Orders and/ or notices have been dispatched 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 instructions to Self Certified Syndicate Banks have been dispatched on July 30,2011. The Refund Orders have been over-printed with the Bank Account details as registered, if any, with the depositories. The shares allocated to successful applicants are credited to their beneficiary accounts subject to validation of the account details with the depositories concerned.

INVESTORS PLEASE NOTE:

This details of the allocation made would be hosted on the website of Registrar to the Issue, Link Intime India Private Limited at Website: www.linkintime.co.in

All future correspondence in this regard may kindly be addressed to the Registrar to the Issue 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:

Link Intime India Private Limited,
C-13 Pannalal Silk Mills Compound, L.B.S Marg, Bhandup (West), Mumbai 400 078
Tel: +91 22 2596 0320, Fax: +91 22 2596 0329 Email ID: igsl.ipo@linkintime.co.in

Place: Mumbai
Date : August 01, 2011

For Inventure Growth & Securities Limited
Sd/-
Mr. Nagji K. Rita
Chairman & Managing Director

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 INVENTURE GROWTH & SECURITIES LIMITED.

Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus dated July 27, 2011 as filed with Registrar of Companies, Maharashtra, Mumbai. The Prospectus is available on the website of SEBI at www.sebi.gov.in and on the website of the Book Running Lead Manager at www.intensivefiscal.com. Any potential Investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see the section titled "Risk Factors" on page xiv of the Prospectus. This advertisement does not constitute an offer of securities in any jurisdiction, including the United States of America (USA). The equity shares of Inventure Growth & Securities Limited have not been registered under the US Securities Act of 1993, as amended, and may not be offered or sold in USA or to the account or benefit of "US person" (as defined in Regulation S of US Securities Act of 1993).

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