|Basis of Allotment|
|(This is only an advertisement
for information purpose not for publication or distribution, directly or indirectly
outside India, and not a prospectus announcement)
The Shipping Corporation of India Limited
Our Company was incorporated as Eastern Shipping Corporation Limited on March 24,1950 under the Companies Act, 1913 in Mumbai. With effect from October 2,1961, Western Shipping Corporation Limited was amalgamated with our Comoany under the Shipping Corporations Amalgamation Order, 1961, issued by the Government of India. The name of our Company was changed from Eastern Shipping Corporation Limited to The Shipping Corporation of India Limited on October 21,1961. Subsequently, for the purpose of listing in 1992, our Company was changed from a private company to a public company and received a fresh certificate of incorporation on February 18,1993. Registered Office: Shipping House, 245, Madame Cama Road, Mumbai 400 021. Company Secretary and Compliance Officer: Dipankar Haldar; Tel.: (9122) 2202 6666; Fax: (9122) 22026906; Website: www.shipindia.com; E-mail: firstname.lastname@example.org
BASIS OF ALLOTMENT
FURTHER PUBLIC ISSUE OF 84,690,730 EQUITY SHARES OF Rs. 10 EACH ("EQUITY SHARES") FOR CASH AT A PRICE OF Rs. 140* PER EQUITY SHARE OF THE SHIPPING CORPORATION OF INDIA LIMITED (THE "COMPANY") AGGREGATING TO Rs. 11,647.28 MILLION# (HEREINAFTER REFERRED TO AS THE "ISSUE"). THE ISSUE COMPRISES OF A FRESH ISSUE OF 42,345,365 EQUITY SHARES BY OUR COMPANY (THE "FRESH ISSUE") AND AN OFFER FOR SALE OF 42,345,365 EQUITY SHARES BY THE PRESIDENT OF INDIA, ACTING THROUGH THE MINISTRY OF SHIPPING, GOVERNMENT OF INDIA (THE "SELLING SHAREHOLDER"). THE ISSUE COMPRISES A NET ISSUE TO THE PUBLIC OF 84,267,276 EQUITY SHARES ("THE NET ISSUE") AND A RESERVATION OF UP TO 423,454 EQUITY SHARES FOR SUBSCRIPTION BY ELIGIBLE EMPLOYEES (AS DEFINED HEREIN) ("THE EMPLOYEE RESERVATION PORTION"). THE ISSUE WOULD CONSTITUTE 18.18% OF THE POST ISSUE PAID-UP EQUITY CAPITAL OF OUR COMPANY AND THE NET ISSUE WOULD CONSTITUTE 18.09% OF THE POST ISSUE PAID-UP EQUITY CAPITAL OF OUR COMPANY. THE PRICE BAND AND THE MINIMUM BID LOT WAS DECIDED BY OUR COMPANY AND THE SELLING SHAREHOLDER IN CONSULTATION WITH THE BOOK RUNNING LEAD MANAGERS AND ADVERTISED IN FINANCIAL EXPRESS (ALL EDITIONS), JANSATTA (ALL EDITIONS) AND NAVSHAKTI (REGIONAL DAILY) AT LEAST ONE WORKING DAY PRIOR TO THE BID OPENING DATE*.
#Assuming full subscription in all the categories at the Issue Price and considering Retail Discount of 5% and Employee Discount of 5% to the Issue Price. However, the total Issue Size maybe required to be adjusted as a consequence of, inter alia, the Retail Discount and the Employee Discount and the actual subscription and Allotment in terms of the Basis of Allotment to be finalised in consultation with the Designated Stock Exchange.
"Discount of 5% to the Issue Price being Rs. 7 per Equity Share determined pursuant to completion of the Book Building Process has been offered to Eligible Employees (the "Employee Discount") and to Retail Individual Bidders (the "Retail Discount")
This issue has been made through the 100% Book Building Process wherein up to 50% of the Net Issue was to be allotted on a proportionate basis to Qualified Institutional Buyers ("QIBs" and such portion the "QIB Portion"). Further, 5% of the QIB Portion was to be available for Allotment on a proportionate basis to Mutual Funds only. The remainder was available for Allotment on a proportionate basis to QIBs and Mutual Funds, subject to valid Bids being received from them at or above the Issue Price. In addition, not less than 15% of the Net Issue was available for Allotment on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Issue was available for Allotment on a proportionate basis to Retail Individual Bidders, subjectto valid Bids being received at or above the Issue Price. Further, 423,454 Equity Shares was available for Allotment on a proportionate basis to the Eligible Employees, subject to valid Bids being received from them at or above the Issue Price.
The Issue received 308,888 applications for 406,795,350 Equity Shares resulting in 4.80 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional Bidders, Retail Individual Bidders and Employees are as under: (Before technical rejections)
The Basis of Allotment was finalized in consultation with the Designated Stock Exchange, being the National Stock Exchange of India Limited ("NSE") on December 13,2010.
A. Allotment to Employees (After Technical Rejections)
B. Allotment to Retail Individual Bidders (After Technical Rejections)
C. Allotment to Non Institutional Bidders (After Technical Rejections)
D. Allotment to Qualified Institutional Buyers (After Rejections)
The FPO Committee of the Board of Directors of the Company at its Meeting held at Mumbai on December 14,2010 has allotted the Equity Shares to the various successful Bidders.
The CAN-cum-Refund Orders and allotment advice and/ or notices have been dispatched to
the address of the Bidders as registered with the depositories on or prior to December
15,2010. In case the same is not received within 10 days, investors may contact at the
address given below. Further, the Instructions to Self Certified Syndicate Banks have been
dispatched on December 13, 2010. The Refund Orders have been over-printed with the bank
account details as registered, if any, with the depositories. The Equity Shares allotted
to successful applicants has been credited to their beneficiary accounts subject to
validation of the account details with the depositories concerned.
INVESTORS PLEASE NOTE
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 Equity Shares bid for, name of the Member of the Syndicate, place where the bid was submitted and payment details at the address given below:
Karvy Computershare Private Limited
TOLL FREE - HELPLINE NUMBER: 1-800-3454001
THE LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARES ON LISTING OR THE BUSINESS PROSPECTS OF THE SHIPPING CORPORATION OF INDIAUMITED
Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus.
The Shipping Corporation of India Limited, subject to market conditions and other considerations, has made a further public issue of its equity shares and has filed the Prospectus with Registrar of Companies, Maharashtra, Mumbai. The Prospectus is available on the website of SEBI at www.sebi.gov.in and at the websites of the Book Running Lead Managers at www.sbicaps.com, www.icicisecurities.com and www.idfccapital.com. 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" in the Prospectus. The information contained herein is not for publication or distribution in or into the United States of America. These materials do not constitute an offer of securities for sale in any jurisdiction, including the United States. The equity shares have not been and will not be registered under the US Securities Act of 1933, as amended (the "US Securities Act"), or any state securities laws in the United States and may not be offered or sold within the United States except pursuant to an exemption from or in a transaction not subject to, registration requirements of the US Securities Act and in accordance with any applicable US state securities laws. The equity shares are being offered and sold within the United States only in compliance with Rule 144A under the US Securities Act, and outside the United States only in compliance with Regulation S under the US Securities Act and the applicable laws of each jurisdiction where such offers and sales occur.