Basis of Allotment

Gujarat State Petronet Limited

Gujarat State Petronet Limited

(Incorporated on December 23, 1998 under the Companies Act, 1956) Registered Office: GSPC Bhavan, Sector 11, Gandhinagar, Gujarat 382 011. Tel:+91-79-55701604, Fax:+91-79-2323 6477. Website: www.gujpetronet.com

BASIS OF ALLOCATION

PUBLIC ISSUE OF 138,000,000 EQUITY SHARES QF.RS.10/- EACH FOR CASH AT A PRICE OF RS. 27/-PER EQUITY SHARE AGGREGATING RS.372.60 CRORES (REFERRED TO AS "THE ISSUE"). THE ISSUE WOULD CONSTITUTE 25.45% OF THE FULLY DILUTED POST ISSUE CAPITAL OF THE COMPANY

THE FACE VALUE PER EQUITY SHARE IS RS.10/- EACH FOR CASH AT A PRICE OF RS.27/- EACH AND THE ISSUE PRICE IS 2.7 TIMES OF THE FACE VALUE.

The Issue made through the 100% Book Building Process where up to 50% of the net issue to the public shall be allocated on a proportionate basis to Qualified Institutional Buyers ("QIBs") (including 5% of the QIB portion that shall to specifically be allotted to mutual funds). Further, not less than 15% of the net issue to the public shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the net issue to the public shall be available for allocation on a proportionate basis to Retail Bidders, subject to valid bids being received at or above the Issue Price.

The Issue received 741654 applications for 6680329820 equity shares resulting in 48.40 times subscription. The company has made the allocation of equity shares as under:

  • 60% of the Issue to the Retail Bidders
  • 15% of the Issue to the Non-Institutional Bidders; and
  • 25% of the Issue to QIBs (5% of which would be reserved for mutual funds);

The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional and Retail Individual Investors categories are as under (Before technical rejections):

Category No. of Applications No. of Shares Subscription
Retail Bidders 737653 1050859456 12.69
Non Institutional Bidders 3708 1703809614 82.31
Qualified Institutional Bidders 293 3925660750 113.79

Final Demand

The final demand at different bid prices is as under:

Bid Price No.of Shares % of Total Cumulative Total Cumulative % to total
23 7211250 0.11 6719226250 100.00
24 184500 0.00 6712015000 99.89
25 7311250 0.11 6711830500 99.89
26 1170500 0.02 6704519250 99.78
27 & Cut Off 6703348750 99.76 6703348750 99.76
6719226250 100.00

The Basis of Allocation was finalized in consultation with the National Stock Exchange of India Limited ("NSE") on 9th February, 2006.

A. Allocation to Retail Investors

The company has allocated 60%f the Issue to Retail Investors. The Basis of Allocation to the Retail Investors, who have bid at cut-off or at and above the Issue Price of Rs.27/- per Equity Share, was finalized in consultation with NSE. The category was over subscribed 12.13 times. The total number of shares allotted in this category 82800000 Equity Shares. The category-wise details of the Basis of Allocation are as under:

Category No. of Applns. % to total Total No.of
Shares applied
% to total No. of Shares
allocated
Ratio Total No. of
Shares allocated
250 88912 12.61 22228000 2.21 250 7:85 1830500
500 108436 15.38 54218000 5.39 250 14:85 4465000
750 36385 5.16 27288750 2.71 250 21:85 2247250
1000 106157 15.06 106157000 10.56 250 29:88 8746000
1250 19295 2.74 24118750 2.40 250 7:17 1986250
1500 33413 4.74 50119500 4.99 250 42:85 4127500
1750 198420 28.15 347235000 34.54 250 15:26 28618250
2000 10944 1.55 21888000 2.18 250 23:35 1798000
2250 1514 0.21 3406500 0.34 250 17:23 279750
2500 3213 0.46 8032500 0.80 250 5:06 669500
2750 1042 0.15 2865500 0.29 250 10:11 236750
3000 4231 0.60 12693000 1.26 250 FIRM 1057750
1 5:44 480
3250 1125 0.16 3656250 0.36 268 FIRM 301500
3500 91790 13.02 321265000 31.96 288 FIRM 26435520

B. Allocation to Non Institutional Investors

The company has allocated 15% of the issue to Non-Institutional Bidders. The Basis of Allocation to the Non institutional Bidders, who have bid at and above the Issue Price of Rs.27/- per Equity Share, was finalized in consultation with NSE. The category was subscribed 82.10 times. The total number of shares allotted in this category is 20700000 Equity Shares. The category-wise details of the Basis of Allocation (Sample) are as under:

Category No. of Applns. % to total Total No.of
Shares applied
% to total No. of Shares
allocated
Ratio Total No. of
Shares allocated
3750 167 4.99 626250 0.04 7628 3:16 7750
4000 251 7.50 1004000 0.06 12228 4:20 12500
10000 164 4.90 1640000 0.10 19975 1:02 20500
20000 60 1.79 1200000 0.07 14616 FIRM 15000
100000 227 6.79 22700000 1.34 276479 FIRM 276486
500000 105 3.14 52500000 3.09 639435 FIRM 639450
1000000 52 1.55 52000000 3.06 633345 FIRM 633360
2000000 9 0.27 18000000 1.06 219235 FIRM 219231
3000000 1 0.03 3000000 0.18 36539 FIRM 36539
5000000 2 0.06 10000000 0.59 121797 FIRM 121798
10000000 3 0.09 30000000 1.77 365391 FIRM 365391
15000000 1 0.03 15000000 0.88 182696 FIRM 182696
23000000 1 0.03 23000000 1.35 280133 FIRM 280133
25925750 1 0.03 25926750 1.53 315768 FIRM 315767
138000000 3 0.09 414000000 24.36 5042402 FIRM 5042343

D. Allocation to QIBs

The company has allocated 25% of the Issue to QIBs, (5% of which would be reserved for mutual funds). Allocation to QIBs have been done on a proportionate basis in consultation with the NSE. As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of shares available (1725000) and other QIBs and unsatisfied demands of Mutual Funds were allotted the remaining available shares (32775000) on proportionate basis. The sectoral cap and other limits applicable to the holding of shares in company have been taken into account while allotting shares. Mutual Funds were allotted 21.49% for QIB segment and other QIB applicants were allotted 78.51% of the shares for QIB segment.

Category FFC FIs/Banks MFs FIIs Insurance Companies VCs Total
No. of Shares 54846 3503260 7414320 21040155 2484789 2630 34500000

The Committee of Directors of the company at its Meeting held at Gandhlnagar on 10th February, 2006 has approved the basis of allocation of shares of the Issue and has allotted the shares to various successful applicants.

The Refund Orders and allotment advice and notice has 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 Refund Orders have been overprinted with the Bank Mandate details as registered, if any, with the depositories. The shares allocated to successful applicants are being credited to their beneficiary accounts subject to validation of the account details with the depositories concerned. The company is taking steps to get the equity shares admitted for trading on the 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

These details of the allocation made would be hosted on the website of Registrars to the Issue, Karvy Computershare Private Limited at www,karvy.com or http://kcpl.karvy.com

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

Karvy Computershare Privete Limited : Unit: GSPL, Karvy House, 46, Avenue 4, Street No.1, Banjara Hills, Hyderabad - 500034, Fax: 040-23311988 Emall: gspl.ipo@karvy.com or mailmanager@karvy.com

TOLL FREE- HELPLINE NUMBER 1-600-3454001

Place : Gandhinagar
Date : 15th February, 2006

For Gujarat State Petronet Limited
Sd/-
Sandeep Dave
Manager ( Secretarial & Legal) & Company Secretary

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 GUJARAT STATE PETRONET LIMITED.
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