|Basis of Allotment|
(This is only an advertisement for Information purposes and not a prospectus announcement)
SANCO INDUSTRIES LIMITED
Our Company was incorporated on March 17, 1989 as a Private Limited Company under the provisions of Companies Act, 1956 in the name and style of "Sanco Plastics Private Limited" vide Certificate of Incorporation issued by Registrar of Companies, Delhi & Haryana. The Company took over the business of a partnership firm "Sanco Plastic Industries" by way of an Agreement dated April 1, 1989. The name of our Company was changed to "Sanco Industries Private Limited", pursuant to which a fresh certificate of incorporation dated April 09, 2008 consequent upon change of name was issued by Registrar of Companies, Delhi & Haryana. Our Company was subsequently converted into a public company and the name was changed to 'Sanco Industries Limited' pursuant to a shareholders resolution dated May 15, 2008 and received a Fresh Certificate of Incorporation dated June 03, 2008 consequent upon Change of Name on conversion to Public Limited Company.
Registered Office: 9/51 Bazar Gali, Vishwas
Nagar, Delhi-110032, India. Tel: +91 11 2238 2737; Fax: +91 11 2238 2737.
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 24,00,000 EQUITY SHARES OF RS 10/- EACH (THE "EQUITY SHARES") OF SANCO INDUSTRIES LIMITED ("SANCO OR THE "COMPANY" OR THE "ISSUER") FOR CASH AT A PRICE OF RS 18/-PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF RS 8.00 PER EQUITY SHARE"), AGGREGATING TO RS 432.00 LACS ("THE ISSUE"), OF WHICH, 1,20,000 EQUITY SHARES OF RS 10 EACH WERE BE RESERVED FOR SUBSCRIPTION BY MARKET MAKER TO THE ISSUE (THE "MARKET MAKER RESERVATION PORTION"). THE ISSUE LESS THE MARKET MAKER RESERVATION PORTION i.e. ISSUE OF 22,80,000 EQUITY SHARES OF RS 10 EACH IS HEREINAFTER REFERRED TO AS THE "NET ISSUE". THE ISSUE AND THE NET ISSUE WILL CONSTITUTE 28.00% AND 26.60%, RESPECTIVELY OF THE POST ISSUE PAID UP EQUITY SHARE CAPITAL OF THE COMPANY.
The Issue was a Fixed Price issue and was made in accordance with Chapter XB
(applicable to issue of specified Securities by Small & Medium Enterprises (SME) of
the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements)
Regulations, 2009, as amended
In terms of Rule 19(2)(b)(i) of the Securities Contracts Regulations Rules, 1957, as amended ("SCRR"), this was an issue for at least 25% of the post-Issue paid-up equity share capital. The Issue was made through the Fixed Price Process wherein 1,20,000 Equity Shares were reserved for Market Maker. 11,40,000 Equity Shares were available for allocation on a proportionate basis to Retail Individual Applicants, subject to valid applications being received from them at the Issue Price. For further details, please refer to the section "Issue Procedure" on page 155 of the Prospectus. The issue opened on Monday, February 24, 2014 and closed on Wednesday, February 26, 2014. The details of the applications received in the IPO from Retail individual Investors, Non Retail Investors and Market Maker is as under:
The Issue has received 236 applications for 36,08,000 Equity Shares (Including Market
Maker Application of 1,20,000 Equity Shares) resulting in 1.50 times subscription before
considering cheque return and technical rejection cases After considering, cheque return
cases of 4 applications for 32,000 Equity Shares, the Issue was subscribed 1.49 times. The
details of the applications received in the Issue (before technical rejections) are as
Detail of the Applications Received (After Technical Rejection & withdrawal):
ALLOCATION: The Basis of Allotment was finalized in consultation with the National Stock Exchange of India Limited - the Designated Stock Exchange on March 06, 2014. Since the aggregate number of equity shares available for allotment on proportionate basis exceeded the number of equity shares in the Retail Individual Investors and Non- Retail Investors categories, the basis of allocation required drawal of lots to determine the successful applicants.
A. Allotment to Market Maker (After Technical Rejections & Withdrawal): The Basis of Allotment to the Market Maker, at the issue price of Rs 18/- per Equity Share, was finalised in consultation with NSE. The category was subscribed by 1.00 time. The total number of equity shares allotted in this category are 1,20,000 Equity shares in full out of reserved portion of 1,20,000 Equity Shares.
B. Allotment to Retail Individual Investors (After Technical Rejections & Withdrawal): The Basis of Allotment to the Retail Individual Investors, at the issue price of Rs 18/- per Equity Share, was finalized in consultation with NSE. The category was subscribed by 1.31 times. Total number of equity shares allotted in this category are 11,44,000 Equity Shares including 4000 equity shares added from Non retail category for the purpose of rounding off to the nearest multiple of 8,000 (Lot Size) Equity Shares against reservation of 11,40,000 Equity Shares. The category wise basis of allotment is as under:
C. Allotment to Non Retail Investors (After Technical Rejections & Withdrawal): The Basis of Allotment to me Non- Retail Investors, at the issue price of Rs 18/- per Equity Share, was finalized in consultation with NSE. The category was subscribed by 1.66 times. Total number of equity shares allotted in this category is 11,36,000 Equity Shares (4000 equity shares were added to retail category for the purpose of rounding off to the nearest multiple of 8,000 Equity Shares (Lot Size)). The category wise basis of allotment is as under:
* The balance equity shares available have been further allotted in the specified lot size within these categories by way of drawal of lots.
The Board of Directors of the Company at its meeting held on Friday, March 07, 2014 has taken on record the Basis of Allocation of Equity Shares approved by the Designated Stock Exchange viz. NSE and has authorized the corporate action for the transfer of the Equity Shares / dispatch of share certificates to various successful applicants.
The Refund Advice and allotment advice and/or notices have been dispatched to the
address of the Applicants as registered with the depositories / as filled in the
application form on Monday, March 10, 2014. In case the same is not received within 10
days, investors may contact the Registrar to the issue at the address given. 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 SME Platform of NSE
within Twelve working days from the date of the closure of the Issue. The equity shares of
the Company will be listed and admitted for trading on NSE-Emerge platform with effect
from Wednesday, March 12,2014 subject to receipt of listing and trading approvals from
The details of the allotment made would also be hosted on the website of the Registrar to the Issue, Beetal Financial & Computer Services Private Limited at www.beetalfinancial.com. All future correspondence in this regard may kindly be addressed to the Registrar to the Issue quoting full name of the First/ Sole applicants, serial number of the Application Form, number of shares applied for and Bank Branch where the application had been lodged and payment details at the address of the Registrar given below:
BEETAL FINANCIAL & COMPUTER SERVICES PRIVATE LIMITED
THE LEVEL OF SUBSCRIPTION SHOULD NOT BETAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OFTHE EQUITY SHARES ON LISTING OR THE BUSINESS PROSPECTS OF SANCO INDUSTRIES LIMITED.
Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in me Prospectus.