|Basis of Allotment|
This is only an advertisement for information purposes and not a prospectus announcement.
Ramky Infrastructure Limited
(Our Company was incorporated on April 13, 1994 under the provisions
of the Companies Act, 1956.
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 11,777,777 EQUITY SHARES OF FACE VALUE OF RS. 10 ("EQUITY SHARES") EACH OF RAMKY INFRASTRUCTURE LIMITED ("RAMKY", OR THE "COMPANY", OR THE "ISSUER") FOR CASH AT A PRICE OF RS. 450 PER EQUITY SHARE INCLUDING A SHARE PREMIUM OF RS. 440 PER EQUITY SHARE, AGGREGATING UP TO RS. 5,300 MILLION ("THE ISSUE"), CONSISTING OF A FRESH ISSUE OF UP TO 7,777,777 EQUITY SHARES AGGREGATING UP TO RS. 3,500 MILLION BY THE COMPANY ("FRESH ISSUE") CONSTITUTING A DILUTION OF 13.60% OF THE POST ISSUE PAID UP CAPITAL AND AN OFFER FOR SALE OF 4,000,000 EQUITY SHARES AGGREGATING UP TO RS. 1,800 MILLION ("OFFER FOR SALE") BY MR. ALLAAYODHYA RAMI REDDY, TARA INDIA FUND III TRUST, AND TARA INDIA HOLDINGS A LIMITED (THE "SELLING SHAREHOLDERS") CONSTITUTING A DILUTION OF 6.99 % OF THE POST ISSUE PAID UP CAPITAL. THE ISSUE WILL CONSTITUTE 20.59% OF THE FULLY DILUTED POST-ISSUE PAID-UP SHARE CAPITAL OF THE COMPANY.
ISSUE PRICE: RS. 450 PER EQUITY SHARE
THE FACE VALUE OF THE EQUITY SHARES IS RS. 10 AND
THE ISSUE PRICE IS 45 TIMES THE FACE VALUE
Pursuant to first proviso to Rule 19(2)(b) (read with erstwhile Rule 19(2)(b)) of the Securities Contracts (Regulation) Rules, 1957, as amended ("SCRR") read with Regulation 41 (1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended (the "SEBI Regulations"), this being an Issue for less than 25% of the post-Issue share capital, is being made through the Book Building Process wherein at least 60% of the Issue shall be Allotted to Qualified Institutional Buyers ("QIBs"). If at least 60% of the Issue cannot be Allotted to QIBs, then the entire application money will be refunded forthwith. In addition, in accordance with first proviso to Rule 19(2)(b) (read with erstwhile Rule 19(2)(b)) of the SCRR, a minimum of two million Equity Shares shall be offered to the public through this Issue and the size of this Issue shall aggregate to at least Rs. 1,000 million. Our Company and the Selling Shareholders may, in consultation with the Book Running Lead Managers, allocate up to 30% of the QIB Portion on a discretionary basis to Anchor Investors at the Anchor Investor Price, out of which at least one-third will be available for allocation to domestic Mutual Funds only. In the event of under-subscription or non-Allotment in the Anchor Investor Portion, the balance Equity Shares shall be added to the Net QIB Portion. For further details, see "Issue Procedure" on page 249.5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only. The remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to QIBs, subject to valid Bids being received from them at or above the Issue Price. In the event of under-subscription in the Mutual Fund Portion, the balance Equity Shares in the Mutual Fund Portion will be added to the Net QIB Portion and will be allocated QIBs (including Mutual Funds) on a proportionate basis, subject to valid Bids being received from them at or above the Issue Price. Not less than 10% of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 30% of the Issue shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received from them at or above the Issue Price. Any Bidder (other than Anchor Investor), may participate in this Issue though the ASBA process by providing the details of the bank accounts in which the corresponding Bid amounts will be blocked by the SCSBs.
The Issue received 31737 applications for 32184236 equity shares resulting in 2.73 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional, Retail Individual Investors and Anchor Investor categories are as under: (Before technical rejections)
A summary of the final demand as per the BSE and the NSE as on the Bid/ Issue Closing Date at different bids is as detailed hereunder
The Basis of Allocation was finalized in consultation with the Designated Stock Exchange, being the National Stock Exchange Limited ("NSE") on October 04,2010.
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 above the Issue Price of Rs.450/- per Equity Share, was finalized in consultation with NSE. This category has been subscribed to the extent of 0.97 times and hence allotment was done on full and firm basis to all valid applicants. There were 10339 applications for 13903932 equity shares made under ASBA process. Of these 9892 applications for 3690679 equity shares were found valid and they were considered for allotment on full and firm basis. Unsubscribed portion in retail category was allocated to QIB and Non Institutional Investor in the ratio of 6:1. The total number of shares allotted in Retail Individual Investor category is 3432464 Equity Shares which were allotted to 30522 successful applicants.
B. Allocation to Non Institutional Investors (After Technical Rejections)
The Basis of Allocation to the Non-Institutional Investors, who have bid at or above the Issue Price of Rs.450/- per Equity Share or above, was finalized in consultation with NSE. This category has been subscribed to the extent of 1.43 times. Overall 70 applications for 1192187 equity shares were found valid and they were considered for allotment on full and firm basis.
C. Allocation to QIBs
The Basis of Allocation to the Qualified Institutional Bidders, who have bid above the Issue price of Rs.450/- per Equity Share was finalized on the price priority basis. Overall 38 applications for 23847866 Equity Shares were found valid and the quantum of shares allotted to this category is 5114665 and on proportionate basis.
D. Anchor Investors
The Company allotted 2,038,461 equity shares to 14 Anchor Investors in consultation with the Lead Managers.
The IPO Committee of the Board of Directors of the Company at its Meeting held at
Hyderabad on 5th October, 2010 has approved the basis of allocation of Equity Shares of
the Issue and has accordingly allotted the Equity Shares to the Bidders.
INVESTORS PLEASE NOTE
This details of the allocation made would be hosted on the website of Registrar to the Issue, Karvy Computershare Private Limited at http://karisma.karvy.com
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 RAMKY INFRASTRUCTURE LIMITED.
Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus.
Ramky Infrastructure Limited is proposing, subject to market conditions and other considerations, a public issue of its equity shares and has filed a Prospectus with the Registrar of Companies (ROC). The Prospectus is available on the website of SEBI at www.sebi.gov.in and the websites of the BRLMs at www.enam.com, www.db.com/lndia 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" of the Prospectus. The Equity shares have not been and will not be registered under the U.S.Securities Act or any state securities laws in the United States and may not be offered or sold in the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S.Securities Act and in accordance with any applicable U.S.state securities laws.