|Basis of Allotment|
|TEXMO PIPES AND
(Our Company started as a partnership firm under the name Shree Mohit Industries on May 13, 1999. It was converted into a Public Limited Company under the name Texmo Pipes and Products limited on July 3, 2008 and received the Certificate of Commencement of Business on July 28, 2008.)
Registered & Corporate Office: 98,
Bahadarpur Road, Burhanpur- 450 331, Madhya Pradesh.
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 50,00,000 EQUITY SHARES OF RS 10/- EACH FOR CASH AT A PRICE OF RS.90 PER EQUITY SHARE, AGGREGATING RS. 4500 LAKHS (THE "ISSUE"). THE ISSUE COMPRISES A RESERVATION OF 1,00,000 EQUITY SHARES OF RS.10/- EACH AGGREGATlNG RS.90 LAKHS FOR ELIGIBLE EMPLOYEES (THE "EMPLOYEE RESERVATION PORTION"), AND NET ISSUE OF 49,00,000 EQUITY SHARES OF RS.10/- EACH AGGREGATING RS. 4410 LAKHS. THE ISSUE CONSTITUTED 44.37% OF THE FULLY DILUTED POST ISSUE PAID-UP CAPITAL OF OUR COMPANY.
THE ISSUE PRICE IS 9.0 TIMES THE FACE VALUE
This issue was being made through a 100% Book Building Process where in not more than 50% of the Net issue to Public was made available for allocation on a proportionate basis to Qualified Buyers ("QIBs"). 5% of the QIB portion was made available for allocation on a proportionate basis to Mutual Funds only and the remainder was made 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. Further, not less than 15% of the Net issue to Public was made available for allocation on a proportionate basis to Non Institutional Bidders and not less than 35% of the Net issue to Public was made 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 received 17,995 application for 3,54,35,240 Equity Shares
resulting in 7.08 times subscribtion the details of the apllications received in the Issue
from Qualified Instituional Buyers, Non-Institutional Bidders, Retail Individual bidders
and Employees are as under: (Before technical rejections and as per escrow banks'
The Basis of Allocation was finalized In consultation with the Designated Stock
Exchange, being the Bombay Stock Exchange Limited ("BSE") on
March 3, 2010.
The Basis of Allocation to the employees of Texmo Pipes and Products Ltd, who have bid at cut-off or at the Issue Price of Rs.90/- per Equity Share, was finalized in consultation with BSE. The total number of shares allotted In this category is 31,275. The Employee Reservation portion of issue was undersubscribed to the extent of 68,725 Equity Shares. Out of this, 68,575 Equity Shares have been added to Qualified Institutional Buyers, Non Institutional Investors and Retail Category in the ratio of 50:15:35. Further, under-subscription to the extent of 150 Equity Shares (rejection In the employee reservation category) has been added to the Retail Category and Non Institutional Investor category in the ratio nl 70: 30. The category-wise details of the Basis of Allocation are as under:
B. Allocation to Retail Individual Investor (Including ASBA Application) (After Technical Rejection)
The Basis of Allocation to the Retail Individual Investors, who have bid at cut-off or at the Issue Price of Rs.90/- per Equity Share or above, was finalized in constitution with BSE. This category has been subscribed to the extent of 6.89 times. Overall 17,400 applications for 1,19,85,450 Equity Shares were found valid and they were considered for allotment. The above includes 842 valid applications for 1,08,793 Equity Shares made under the ASBA process. The total number of shares allotted In Retail Individual Investor category is 17,39,106 Equity Shares (including spill-over of 24,106 Equity Shares from employee category, as per the Red Herring Prospectus) to 12,749 applicants. The category-wlse details of the Basis of Allocation are as under:
C. Allocation to Non Institutional Investor (including ASBA application) (After Technical Rejections)
The Basis of Allocation to the Non-Institutional Investors, who have bid at the Issue Price of Rs. 90/- per Equity Share, was finalized in consultation with BSE. This category has been subscribed to the extent of 27.78 times. The allotment was done on firm basis. Overall 32 applications for 2,07,04,125 Equity Shares were found valid and they were considered for allotment. The total number of Equity Shares allotted in this category is 7,45,331 (including spill-over of 10,331 Equity Shares from employee category, as per Red Herring Prospectus) to 32 applicants. The category-wise details of the Basis of Allocation are as under:
D.Allocation to Qualified Institutional Buyers (After Technical Rejections)
The Basis of Allocation to the Qualified Institutional Buyers, who have bid at the Issue Price of Rs, 90/- per Equity Share, was finalized in consultation with BSE. Overall 3 applications for 24,99,900 Equity Shares were found valid and 24,84,288 (including spill-over of 34288 Equity Shares from employee category, as per the Red Herring Prospectus) were considered for allotment.
The Board of Directors of the Company at its meeting held on March 3, 2010 has approved the basis of allocation of Equity Shares of the Issue and has allotted the Equity Shares to various successful applicants.
The CAN-cum-Refund Orders and Refund credit advice 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 Refund Orders have been over-printed with the Bank Account details as registered, if any, with the depositories. The Equity Shares allocated to successful applicants have been credited to their beneficiary accounts subject to validation of the account details with the depositories concerned. The Company has received the trading approval from Bombay Stock Exchange Limited and the National Stock Exchange of India Limited and is scheduled to get listed on both the stock exchange on March 10, 2010.
Texmo Pipes and Products Limited has the right to use the trademark "TEXMO" and has nothing to do with Aqua Pump Industries or its trademark "TEXMO AQUA"
INVESTORS PLEASE NOTE
The detail of the allocation made would be hosted on the website of Registrar to the Issue, Karvy Computershare Private Limited at http://www.karvy.com
All future correspondences 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 and place where the Bid was submitted and payment detail 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 TEXMO PIPES AND PRODUCTS PUTTED.|