|Basis of Allotment|
ENGINEERS & BODY BUILDERS CO LIMITED
(The Company was incorporated in Uttar Pradesh, India as a private limited company under the Companies Act, 1956 as "Commercial Engineers & Body Builders Co Private Limited" pursuant to a Certificate of Incorporation No. 4837 of 1979 dated September 28,1979. The Company became a public limited company and its name was changed to "Commercial Engineers & Body Builders Co Limited" on March 25,2010. There has been no change in the registered office of our Company since incorporation.)
Registered Office: 84/105-A, G.T. Road, Kanpur Mahanagar,
Kanpur-208 003, Uttar Pradesh, India;
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 13,575,831 EQUITY SHARES OF FACE VALUE OF RS. 10 EACH ("EQUITY SHARES") CONSISTING OF A FRESH ISSUE OF 12,047,244 EQUITY SHARES BY COMMERCIAL ENGINEERS & BODY BUILDERS CO LIMITED (THE "COMPANY" OR "ISSUER") AT A PRICE OF RS. 127 PER EQUITY SHARE FOR CASH AGGREGATING TO RS. 1,530 MILLION ("FRESH ISSUE") AND AN OFFER FOR SALE OF 1,528,587 EQUITY SHARES BY NEW YORK LIFE INVESTMENT MANAGEMENT INDIA FUND (FVCI) II LLC AND COMMERCIAL AUTOMOBILES PRIVATE LIMITED (THE "SELLING SHAREHOLDERS") AT A PRICE OF RS. 127 PER EQUITY SHARE FOR CASH AGGREGATING TO RS. 194.13 MILLION (THE "OFFER FOR SALE", THE FRESH ISSUE AND OFFER FOR SALE ARE HEREINAFTER REFERRED TO COLLECTIVELY AS THE "ISSUE"). THE ISSUE WILL CONSTITUTE 24.71% OF THE FULLY DILUTED POST ISSUE PAID-UP CAPITAL OF THE COMPANY, BEING LESS THAN 25% OF THE POST ISSUE CAPITAL.
THE FACE VALUE OF THE EQUITY SHARES IS RS. 10 EACH.
Under the Securities Contract Regulation Rules, 1957 as amended on June 4,2010 and August 9,2010, we are eligible to make this Issue for less than 25% of the post-Issue capital. The Issue is being made under Rule 19(2) (b) of the SCRR (as defined in the section "Definitions and Abbreviations") through a 100% Book Building Process, wherein atleast 60% of the Issue shall be allotted on a proportionate basis to Qualified Institutional Buyers ("QIBs"), of which 5% shall be available for allocation on a proportionate basis to Mutual Funds only and the remaining shall be available for allocation on a proportionate basis to all QIBs, including Mutual Funds, subject to valid Bids being received at or above the Issue Price. In addition, in accordance with Rule 19(2) (b) of the SCRR, a minimum of two million securities are being offered to the public and the size of the Issue shall aggregate atleast Rs. 1,000 million. If atleast 60% of the Issue cannot be allotted to QIBs, then the entire application money will be refunded/released forthwith. 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.
The QIB Portion includes the Anchor Investor Portion (as defined in the section "Definitions and Abbreviations") and the Company may consider participation by Anchor Investors in the Issue for up to 30% of the QIB Portion in accordance with the ICDR Regulations (as defined in the section "Definitions and Abbreviations"). Any Bidder may participate in this Issue through the ASBA process by providing the details of their respective bank accounts in which the corresponding Bid amounts will be blocked by Self Certified Syndicate Banks ("SCSBs").
The Issue received 3,691 applications for 28,556,770 equity shares resulting in 2.10
times subscription. The details of the applications received in the Issue from Qualified
Institutional Buyers, Non-Institutional Bidders, Retail Individual Bidders and Anchor
Investor categories are as under:
The Basis of Allotment was finalized in consultation with the Designated Stock Exchange, being the Bombay Stock Exchange Limited ("BSE") on October 13,2010.
A. Allotment to Retail Individual Bidders (Including Applications Supported by
Blocked Amount ("ASBA")) (After Technical Rejections)
B. Allotment to Non Institutional Bidders (After Technical Rejections)
C. Allotment to QIBs
D. Anchor Investors
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
TOLL FREE - HELPLINE NUMBER
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 COMMERCIAL ENGINEERS & BODY BUILDERS CO LIMITED.
Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus.
"Commercial Engineers & Body Builders Co Limited" has made an initial
public offering of its equity shares and has filed a Prospectus with the Registrar of
Companies, Uttar Pradesh ("RoC"). The Prospectus is available on the website of
the Securities and Exchange Board of India ("SEBI") at www.sebi.gov.in as well as on the websites of
the book running lead managers at www.icicisecurities.com
and www.edelcap.com. Any investor should note
that investment in equity shares involves a high degree of risk. For details, investors
should refer to the Prospectus which has been filed with the RoC including the section
titled "Risk Factors".