|Basis of Allotment|
POWER & INFRASTRUCTURE LIMITED
GVK POWER & INFRASTRUCTURE LIMITED
(The Company was incorporated as Jegurupadu Operating & Maintenance Company, a private company with unlimited liability on December 2, 1994 under the Companies Act, 1956. It was converted into a private limited company on April 20, 2005 and was consequently renamed as Jegurupadu Operating & Maintenance Company Private Limited. On May 19, 2005 it was converted into a public limited company and was consequently renamed as Jegurupadu Operating & Maintenance Company Limited. On July 13, 2005 the company was renamed to GVK Power & Infrastructure Limited. The Company is the holding company of the power businesses of GVK and also provides operations and maintenance services to its power assets.)
Registered Office: R 540, New Rajender Nagar, New Delhi, 110 060. Tel: +91 11 2874 3563; Fax: +91 11 2874 4391 Corporate Office: 'Paigah House', 156-159, Sandar Patel Road, Secunderabad 500 003. Tel: +91 40 2790 2663; Fax: +91 40 2790 2665 Contact person: P.V. Rama Seshw Tel: +91 40 2790 2663; Web site: www.gvk.com; Email: gvkpilinvestorsogvk.com
BASIS OF ALLOCATION
PUBLIC ISSUE OF 8,275,556 EQUITY SHARES OF RS.10/- EACH FOR CASH AT A PRICE OF RS. 310/- PER EQUITY SHARE AGGREGATING TO RS. 256.54 CRORES (REFERRED TO AS "THE ISSUE"), OF WHICH 413,778 EQUITY SHARES OF RS 10/- EACH ARE RESERVED FOR SUBSCRIPTION BY EXISTING RETAIL PUBLIC SHAREHOLDERS OF GVK INDUSTRIES LIMITED ("GIL').THE ISSUE WOULD CONSTITUTE 35% 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. 310/- EACH AND THE ISSUE PRICE IS 31 TIMES OF THE FACE VALUE.
The Issue made through the 100% Book Building Process where at least 50% of the net issue to the public was to be allocated on a proportionate basis to Qualified Institutional Buyers ("QlBs") (including 5% of the QIB portion that was to specifically be allotted to mutual funds)., Further, up to 15% of the net issue to the public shall be available for allocation on a proportionate basis to Non-Institutional Bidders and up to 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 270602 applications for 211653641 equity shares resulting in 25.57 times subscription.The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional,Retail Individual Investors and Existing Retail Public Shareholders of GIL categories are as under (Before technical rejections):
The Basis of Allocation was finalized in consultation with the National Stock
Exchange of India Limited
A. Allocation to Existing Retail Shareholders of GIL
The Basis of Allocation to the Existing Retail shareholders of GIL category, who have bid at cut-off or atand above the Issue Price of Rs.310/- per Equity Share, was finalized in consultation with NSE. Thecategory was subscribed to the extent of 0.75 times. Hence full and firm allotments have been madeagainst all valid applications. The total number of shares allotted in this category is 311800 Equity Shares.The unsubscribed portion of 101978 equity shares has been added to Qualified Institutional Buyers,Retail Individual Investors and Non-Institutional categories in the ration of 50:15:35.
B. Allocation 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. 310/- per Equity Share, was finalized in consultation with
NSE. The category was over subscribed 13.00 times. The total number of shares allotted in
this category is 2787314 Equity Shares.
C. Allocation to Non Institutional Investors
The Basis of Allocation to the Non institutional, who have bid at and above the Issue Price of Rs.310/ perEquityShare, was finalized in consultation with NSE. The category was subscribed 34.79 times. The total number of shares allotted in this category is 1194564 Equity Shares. The category-wise details of the Basis of Allocation (Sample) are as under:
D. Allocation to QIBs
Allocation to QIBs have been done on a proportionate basis in consultation with the National Stock Exchange of India Limited. As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of shares available (199094) and otherQIBs and unsatisfied demands of MutualFunds were allotted the remaining available shares (3782784) on proportionate basis.The sectoralcap and other limits applicable to the holding of shares in company have been taken Into accountwhile allotting shares. Mutual Funds were allotted 19.39% for QIB segment and other QIB applicantswere allotted 80.61 % of the shares for QIB segment.
The Committee of Directors of the company at it's Meeting held at Hyderabad on 21°' 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 over-printed 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 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 issue quoting full name of the First/ Sole applicant, Serial number of the bid-cum-application form, number of sharesbid for, name of the Member of the Syndicate and Place where the bid was submitted and payment details at the address given below:
TOLL FREE - HELPLINE NUMBER
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 GVK POWER & INFRASTRUCTURE LIMITED.