|Basis of Allotment|
|(This is only an
advertisement for information purposes, not for publication or distribution, directly or
indirectly outside India and not a Prospectus Announcement)
Bajaj Corp Limited
Our Company was incorporated at Mumbai as a private limited company, with the Registrar
of Companies, Maharashtra, under the Companies Act, 1956 as "Bhaumik Ago Products
Private Limited" pursuant to a Certificate of Incorporation dated April 25,2006. The
name of our Company was changed to "Bajaj Corp Private Limited" on September
11,2007. Thereafter, our Company became a public limited company and its name was changed
to "Bajaj Corp Limited" on October 16,2007.
BASIS OF ALLOTMENT
PUBLIC ISSUE OF UP TO 4,500,000 EQUITY SHARES OF Rs. 5I- EACH ("EQUITY SHARES") OF BAJAJ CORP LIMITED ("BCL" OR THE "COMPANY" OR THE "ISSUER") FOR CASH AT A PRICE OF Rs. 660/- PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF Rs. 655/- PER EQUITY SHARE) AGGREGATING TO RS. 2,970 MILLION (THE "ISSUE" OR THE "IPO"). THE ISSUE WILL CONSTITUTE 15.3 % OF THE POST-ISSUE PAID-UP EQUITY CAPITAL OF OUR COMPANY. " THE FACE VALUE OF THE EQUITY SHARES IS RS. 5/- EACH AND THE ISSUE PRICE IS 132 TIMES THE ISSUE PRICE.
In terms of Rule 19(2)(b) of the Securities Contracts (Regulations) Rules, 1957
("SCRR"), this being an issue for less than 25% of the post-Issue capital, the
Issue is being made through the 100% Book Building Process wherein at least 60% of the
Issue shall be allocated on a proportionate basis to Qualified Institutional Buyers
("QIB Portion") Bidders. Provided that our Company may allocate up to 30% of the
QIB Portion to Anchor Investors on a discretionary basis out of which one-third shall be
reserved for domestic Mutual Funds. 5% of the QIB Portion (excluding the Anchor Investor
Portion) shall be available for allocation on a proportionate basis to Mutual Funds only,
and the remainder of the QIB Portion shall be available for allocation on a proportionate
basis to all QIB Bidders, including Mutual Funds, subject to valid Bids being received at
or above the Issue Price. Further, 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 at or above the Issue Price. If at least 60%
of the Issue cannot be allotted to QIBs, then the entire application money shall be
refunded forthwith. Potential investors may participate in this Issue through an
Application Supported by Blocked Amount ("ASBA") process providing details about
the bank account which will be blocked by the Self Certified Syndicate Banks
("SCSBs") for the same. All investors can participate through the ASBA process
(except Anchor Investors).
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 August 12, 2010.
Expected Listing Date - August 18, 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 at the Issue Price of Rs.660/- per Equity Share, was finalized in consultation with NSE. This category has been subscribed to the extent of 6.47 times. There were 25973 applications for 80122931 equity shares made under ASBA process. Of these 16783 applications for 31083150 equity shares were found valid and on proportionate basis the company have allotted 1557022 equity shares. The total number of shares allotted in Retail Individual Investor Category1350000 Equity Shares which were alloted to 68578 successful applicants. The category-wise details of the Basis of Allocation are as under:
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.660/- per Equity Share or above, was finalized in consultation with NSE. This category has been subscribed to the extent of 49.29 times. Overall 172 applications for 22182060 equity shares were found valid and on proportionate basis, the company have allotted 450000 equity shares to 154 applicants. The category-wise details of the Basis of Allocation are as under:
C. Allocation to QIBs
The Basis of Allocation to the Qualified Institutional Bidders, who have bid above the Issue price of Rs.660/- per Equity Share was finalized on the price priority basis. Overall 87 applications for 35786010 Equity Shares were found valid and the quantum of shares allotted to this category is 1890000. The summarv of allotment is as under:
D. Anchor Investors
The Company allotted 810,000 equity shares to 12 Anchor Investors in consultation with
the Lead Managers.
The CAN-cum-Ref und Orders and allotment advice and/ or notices have been dispatched to the address of the Bidders as registered with the depositories on or prior to16.08.2010. Further, the instructions to Self Certified Syndicate Banks have been dispatched on or prior to16.08.2010. In case the same is not received within 10 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 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 Bombay Stock Exchange Limited and National Stock Exchange of India 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 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
Unit: Bajaj Corp 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 BAJAJ CORP