|Basis of Allotment|
|(This is only an advertisement for Information purposes and not
a Prospectus announcement.)
VISHAL FABRICS LIMITED
Our Company was incorporated as Vishal Fabrics Private Limited on October 22,1985 under the Companies Act, 1956 bearing the Registration Number 008206 of 1985-86 with the Registrar of Companies, Gujarat. The status of our Company was changed to a public limited company and the name of our Company was changed to Vishal Fabrics Limited by a special resolution passed on February 25,2014. The fresh certificate of incorporation consequent to the change of name was granted to our Company on March 31, 2014, by the Registrar of Companies, Ahmedabad, Gujarat. For further details regarding the changes in our registered office, please see Ihe chapter titled "History and Certain Corporate Matters" beginning on page 94 of the Prospectus.
Registered Office: Ranipur, Narol Road, Ahmedabad - 382405.
Gujarat; CIN No.: U17110GJ1985PLC008206
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 34,74,000 EQUITY SHARES OF RS. 10/- EACH ("EQUITY SHARES") OF VISHAL FABRICS LIMITED ("VFL* OR THE "COMPANY" OR THE "ISSUER") FOR CASH AT A PRICE OF RS. 45/- PER SHARE (THE "ISSUE PRICE"), AGGREGATING TO RS. 1,563.30 LAKHS ("THE ISSUE"), OF WHICH, 1,74,000 EQUITY SHARES OF RS 10/- EACH WILL BE RESERVED FOR SUBSCRIPTION BY MARKET MAKERS TO THE ISSUE (THE "MAHKET MAKER RESERVATION PORTION"). THE ISSUE LESS MARKET MAKER RESERVATION PORTION I.E. ISSUE OF 33,00,000 EQUITY SHARES OF RS 10/- EACH IS HEREINAFTER REFERRED TO AS THE "NET ISSUE". THE ISSUE AND THE NET ISSUE WILL CONSTITUTE 26.37% AND 25.05%, RESPECTIVELY OF THE POST ISSUE PAID UP EQUITY SHARE CAPITAL OF THE COMPANY THIS BEING A FIXED PRICE, AS PER SUB CLAUSE (4) OF REGULATION 43 OF THE SEBI (ICDR) REGULATIONS, 2009 AS AMENDED (THE "SEBI REGULATIONS"), OUT OF THE NET OFFER OF 33,00,000 EQUITY SHARES, NOT LESS THAN 50% SHALL BE AVALABLE TO RETAIL INDIVIDUAL INVESTORS AND THE REMAINING TO INDIVIDUAL APPLICANTS OTHER THAN RETAIL INVESTORS AND OTHER INVETORS INCLUDING CORPORATE BODIES OR INSTITUTIONS IRRESPECTIVE OF THE NUMBER OF SHARES APPLIED FOR. IF THE RETAIL INDIVIDUAL INVESTOR CATEGORY IS ENTITLED TO MORE THAN 50% ON PROPORATIONATE BASIS, THEY SHALL BE ALLOTTED THAT HIGHER PERCENTAGE.
THE FACE VALUE OF OUR EQUITY SHARES IS RS 10/- EACH. THE ISSUE PRICE OF EQUITY SHARES IS RS 45/- EACH AND THE ISSUE PRICE IS 4.50 TIMES OF THE FACE VALUE. ISSUE OPENED ON JULY 31,2014 AND CLOSED ON AUGUST 05,2014.
The Equity Shares of the Company are proposed to be listed on the SME Platform of BSE Limited ("BSE"). In terms of the Chapter XB of the SEBI (ICDR) Regulations, 2009, as amended from time to time, we are not required to obtain an in-principle listing approval from BSE. However our Company has received an approval via letter dated July 01, 2014 from BSE for using its name in the offer document for listing of our shares on the SME Platform of BSE. BSE shall be the Designated Stock Exchange for the purpose of this Issue. The trading is proposed to be commenced on or before August 20, 2014.*
* Subject to receipt of listing and trading approvals from the BSE Limited.
This being a Fixed Price Issue, the allocation in the Net Offer to the Public category shall be made as per Regulation 43(4) of the SEBI (ICDR) Regulations, 2009, as amended from time to time, wherein a minimum of 50% of the Net offer of shares to the Public shall initially be made available for allotment to Retail individual investors. The balance Net Offer of Shares to the public shall be made available for allotment to Individual Applicants other than Retail Individual Investors and other Investors, including Corporate Bodies / Institutions irrespective of number of shares applied for The unsubscribed portion of the Net Offer to any one of the categories specified: above shall/may be made available for allocation to Applicants in the other category, if so required. All Applicants were allowed to participate in the Issue through APPLICATIONS SUPPORTED BY BLOCKED AMOUNT ("ASBA") process by providing the details of their respective bank accounts in which the corresponding application amounts were blocked by Self Certified Syndicate Banks (the "SCSBs").
The Net Issue has received 459 applications for 39,63,000 Equity Shares resulting in 1.20 times subscription. The details of the applications received in the Net Issue (before and after technical rejections) are as lollows:
Detail of the Applications Received
Note: The Issue also includes 1,74,000 Equity Shares reserved for Market Maker, which was fully subscribed and there were no Technical Rejections.
In the event of oversubscription, the allotment will be made on a proportionate basis in marketable lots. There was under-subscription of 3,75,000 Equity Shares in Retail Category & over subscription 10,32,000 Equity Shares in Non - Retail Category. The unsubscribed portion of Retail Category i.e 3,75,000 Equity Share has been added to the Non-Retail Category. The Basis of Allotment was finalised in consultation with the Designated Stock Exchange - BSE Ltd on August 12,2014.
A) Allocation to Marker Maker (After Technical Rejections): The Basis of Allotment to the Market Maker, at the issue price of Rs 45/- per Equity Share, was finalised in consultation with BSE. The category was subscribed by 1.00 times. The total number of shares allotted in this category is 1,74,000 Equity Shares. The category-wise details of the Basis of Allotment are as under:
B) Allocation to Retail Individual Investors (After Technical Rejections): The Basis of Allotment to the Retail Individual Investors, at the issue price of Rs. 45/- per Equity Share, was finalised in consultation with BSE. The total number of shares allocated in this category is 12,75,000 Equity Shares. The category was subscribed by 0.77 times. The category - wise details of the Basis of Allotment are as under:
C) Allocation to Non - Retail Category (After Technical Rejections): The Basis of Allotment to the Non - Retail Investors, at the issue price of Rs 45/- per Equity Share, was finalised in consultation with BSE. The total number of shares allocated in this category is 20,25,000 Equity Shares including unsubscribed portion of Retail Category. The category was subscribed by 1.32 times. The category-wise details of the Basis of Allotment are as under:
The Board of Directors of the Company at its meeting held on August 13,2014 has taken on record the Basis of Allotment of Equity Shares, as approved by the Designated Stock Exchange viz. BSE and has authorized the corporate action for the allotment of the Equity Shares to various successful applicants.
The CAN-cum-Refund Advices and allotment advice and/ or notices have been dispatched to the address of the investors as registered with the depositories. The instructions to Self Certified Syndicate Banks have been processed on or before August 14,2014. In case the same is not received within ten days, investors may contact at the address given below. The Equity Shares allotted to successful applicants have been 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 lor trading on the SME Platform of BSE Limited within 12 working days from the Closure of the Issue.
Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus dated July 22,2014 ("Prospectus").
INVESTORS PLEASE NOTE
The details of the allotment made has been hosted on the website of the Registrar to the Issue, Link Inlime India Private Limited at Website: http://www.linkintime.co.in
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 Application Form, number of shares applied for and Bank Branch where the Application had been lodged and payment details at the address given below:
Link Intime India Private Limited
LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARE ON LISTING OR THE BUSINESS PROSPECTS OF VISHAL FABRICS LIMITED.
VISHAL FABRICS LIMITED is proposing, subject to market conditions and other considerations, a public issue ol its Equity Shares and has filed the Prospectus with the Registrar of Companies Ahmedabad, Gujarat. The Prospectus is available on the website of the SEBI at www.sebi.gov.in and the website of the Lead Manager at www.afsl. co.in and website of the BSE at www.bseindia.com. Investors should note that investment in equity shares involves a high degree of risk. For details, investors should refer to and rely on the Prospectus, including the section titled "Risk Factors" of the Prospectus, which has been filed with ROC. The Equity Shares have not been and will not be registered under the US Securities Act ("the Securities Act") or any state securities laws in United States and may not be issued or sold within ihe United States or to, or for the account or benefit of, "U.S, persons" (as defined in Regulations under the securities Act), except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.