|Basis of Allotment|
THIS IS A PUBLIC ANNOUCEMENT FOR INFORMATION PURPOSES ONLY AND IS NOT A PROSPECTUS ANNOUNCEMENT. THIS DOES NOT CONSTITUTE AN INVITATION OR OFFER TO ACQUIRE, PURCHASE OR SUBSCRIBE TO SECURITIES. THIS PUBLIC ANNOUNCEMENT IS NOT INTENDED FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY OUTSIDE INDIA
|VENUS PIPES & TUBES LIMITED|
Our Company was incorporated in 2015, as Venus Pipes & Tubes Private Limited, a private limited company under the Companies Act, 2013. Pursuant to a certificate of incorporation issued by the Registrar of Companies, Gujarat, India ("RoC") on February 17, 2015. Thereafter, our Company was converted into a public limited company, and the name of our Company was changed to Venus Pipes 8 Tubes Limited pursuant to a revised certificate of incorporation issued by RoC on September 16, 2021, recording the change of our Company's name to "Venus Pipes & Tubes Limited". For further details, including details of changes in the name and registered office address of our Company, see "History and Certain Corporate Matters on page 164 of the prospectus dated May 18, 2022 ("Prospectus").
|Registered Office: Survey No 233/2 and 234/1, Dhaneti, Bhuj, Kachchh - 370020 Gujarat, India. Corporate Office: Tripada Complex, Plot No 275, Sector 1/A Near Mamlatdar office, Office No 1 Ground Floor, Gandhdham, Kutch - 370201 Gujarat, India.|
|Contact Person: Pavan Kumar Jam, Company Secretary and Compliance Officer for the Issue. Tel.: +91 2836 232 183/84, E-mail: firstname.lastname@example.org; Website: www.venuspipes.com; Corporate Identity Number: U74140GJ2015PLC0823C6|
|PROMOTERS OF OUR COMPANY: MEGHARAM SAGRAMJI CHOUDHARY, JAYANTIRAM MOTIRAM CHOUDHARY, DHRUV MAHENDRAKUMAR PATEL AND ARUN AXAYKUMAR KOTHAR1|
Our Company has filed the Prospectus dated May 18, 2022 with the RoC, the Equity Shares are proposed to be listed on BSE Limited ("BSE") & the National Stock Exchange of India Limited ("NSE") and trading is expected to commence on May 24, 2022.
|BASIS OF ALLOTMENT|
INITIAL PUBLIC OFFERING OF UP TO 5,074.100 EQUITY SHARES OF FACE VALUE OF RS 10 EACH ("EQUITY SHARES") OF VENUS PIPES & TUBES LIMITED ("COMPANY" OR THE "ISSUER") FOR CASH AT A PRICE OF Rs. 326 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF RS 316 PER EQUITY SHARE) (THE "ISSUE PRICE") AGGREGATING UP TO RS 1654.16 MILLION (THE "ISSUE").
|ISSUE PRICE: RS 326 PER EQUITY SHARE OF FACE VALUE OF RS 10 EACH|
|THE ISSUE PRICE IS 32.6 TIMES OF THE FACE VALUE|
|Risks to Investors:|
* Details of Acquisition of all Equity Shares transacted in last three years and one year :
|Period||Weighted Average Cost of Acquisition (in Rs.)*||Upper end of the Price band (Rs. 326) is X' times the Weighted Average Cost of Acquisition||Range of acquisition price: Lowest Price-Highest Price (in Rs.)*|
|Last 1 year||75.78||4.30||Nil-280|
|Last 3 years||75.78||4.30||Nil-280|
*As certified by Maheshwari & Co., Chartered Accountants, by their certificate dated April 26, 2022.
|||Return on net worth nine months ended December 31, 2021 and fiscal years 2021, 2020 and 2019 is 19.58%, 59.18%, 25.36% and 30.80%.|
|||The BRLM has not handled any public issues during the current financial year (Fiscal 2023) and two financial years (Fiscal 2022 and Fiscal 2021) preceding the current financial year.|
|ANCHOR INVESTOR BID/ISSUE OPENED AND CLOSED ON TUESDAY, MAY 10,2022|
|BID/ ISSUE OPENED ON: WEDNESDAY, MAY 11, 2022|
|BID/ ISSUE CL03ED ON: FRIDAY, MAY 13, 2022|
The Issue is being made in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended ("SCRR") read with Regulation 31 of the SEBI ICDR Regulations The Issue is being made through the Book Building Process in accordance with Regulation 6(1) of the SE8IICDR Regulations, wherein not more than 50% of the Issue shall be available for allocation on a proportionate basis to Qualified Institutional Buyers ("QIB Portion"), provided that our Company in consultation with the BRLM may allocate up to 60% of the QIB Portion to Anchor Investors, on a discretionary basis. One-third of the Anchor Investor Portion shall be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor investor Allocation Price In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added to the Net QIB Portion Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only and the remainder of the Net 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. However, if the aggregate demand from Mutual Funds is Less than 5% of the Net QIB Portion, the balance Equity Shares available for allocation in the Mutual Fund Portion will be added to the remaining Net QIB Portion for proportionate allocation to QIBs. Further, not toss than 15% of the issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders out of which a) one third of such portion shall be reserved for applicants with application size of more than Rs. 0.2 million and up to Rs. 1.0 million and (b) two-third of such portion shall be reserved for applicants with application size of more than Rs. 1.0 million, provided that the unsubscribe portion in either of such sub-categories may be allocated to applicants in the other sub-category of Non-institutional Bidders and not less than 35% of the Issue shall be available for allocation to Retail Individual Investors in accordance with the SEBI ICDR Regulations, subject to valid Bids being received from them at or above the Issue Price All potential Bidders (except Anchor Investors) are required to mandatorily utilize the Application Supported by Blocked Amount ('ASBA') process providing details of their respective ASBA accounts and UPI ID (in case of Rlls using UPI mechanism), if applicable, in which the corresponding Bid Amounts will be blocked by the SCSBs or under the UPI Mechanism, as applicable Anchor Investors are not permitted to participate m the Issue through the ASBA process For details see "Issue Procedure" on page 312 of the Prospectus.
The bidding for Anchor Investor opened and closed on Tuesday, May 10, 2022. The Company received 3 applications from 3 anchor investors for 16,14,738 Equity Shares. The Anchor Invested issue Price was finalized at Rs. 326 per Equity Share. A total of 15,22,186 Equity Shares were allocated under the Anchor Investor Portion aggregating to Rs. 49,62,32,636.
The issue (excluding Anchor investor Portion) received 4,35,364 applications for 4,78,40,644 Equity Shares resulting in 13.4690 tunes subscription as disclosed in Prospectus. The details of the applications received in the Issue from Retail Individual Bidders, Non-institutional Bidders are QIBs are as under (before technical rejections).
|SI. No||Category||No. of Applications applied||No. of Equity Shares||Shares Reserved as per Prospectus||No. of times Subscribed||Amount (Rs.)|
|A||Retail Individual Bidders||4,28,388||2,44,09,578||17,75,935||13.7446||7,95,19,41,064|
|B||Non institutional Bidders - More than 2 Lakhs to 10 Lakhs||4,957||36,77,332||2,53,705||14.4945||1,19,84,42,922|
|C||Non Institutional Bidders - Above 10 Lakhs||2,002||76,74,732||5,07,410||15.1253||2,50,18,61,800|
|D||Qualified Institutional Bidders (excluding Anchor Investors)||17||1,20,79,002||10,14,864||11.9021||3,93,77,54,652|
A summary of the final demand as per BSE and NSE as on the Bid / Issue Closing Date at different Bid prices is as under:
|SI. No||Bid Price||No. of Equity Shares||Total||Cumulative Total||Cumulative % of Total|
The Basis of Allotment was finalized in consolation with (he Designated Stock Exchange, being BSE, on May 19, 2022.
|A.||Allotment to Retail Individual Bidders (After Technical Rejections) (including ASBA Applications)|
|The Basis of Allotment to the Retail Individual Bidders who have tad at cut-off or at the Issue Price of Rs. 326 per Equity, was finalized in consultation with BSE. This category has been subscribed to the extent of 13.32676 times The total number of Equity Shares Allotted in Retail Individual Bidders category 17,75,935 Equity Shares to 38,607 successful applicants The category-wise details of the Basis of Allotment are as under|
|Category||No. of Applications Received||% of Total||Total No. of Equity Shares Applied||% to Total||No. of Equity Shares Allotted per Bidder||Ratio||Total No. of Equity Shares Allotted|
Please Note. 1 additional Share has been allotted to 13 Allottees from amongst 3306 Successful Applicants from the categories 92-598 (i.e., Excluding successful applicants from Category 46) In the ratio of 13:3306
|B.||Allotment to Non-institutional Bidders (After Technical Rejections) (including ASBA Applications)|
|The Basis of Allotment to the Non-institutional Bidders (More than 2 Lacs to 10 Lacs), who have bid at the Issue Price of Rs. 326 per Equity Share or above, was finalized in consultation with BSE. The Non-institutional Portion (More than 2 Lacs to 10 Lacs) has been subscribed to the extent of 14.26770 times. The total number of Equity Shares Allotted on this category is 2,53,705 Equity Shares to 393 successful Non-institutional Bidders The category-wise details of the Basis of Allotment are as under: (Sample)|
|Category||No. of Applications Received||% of Total||Total No. of Equity Shares applied||% to Total||No. of Equity Shares Allotted per Bidder||Ratio||Total No. of Equity Shares Allotted|
Please Note : 10 additional Share have been allotted to 59 Successful Allottees from the categories 690 - 3036 (i.e. Excluding successful applicants from Category 644) in the ratio of 1:1
Please Note : 1 additional Share has been allotted to 23 Allottees from amongst 59 Successful Allottees from the categories 690 - 3036 (i.e. excluding successful applicants from Category 644) in the ratio of 23:59
|C.||Allotment to Non-institutional Bidders (Above 10 Lacs) (after Technical Rejections)|
|The Basis of Allotment to the Non-institutional Bidders (Above 10 Lacs), who have bid at the Issue Price of Rs. 326 per Equity Share or above, was finalized in consultation with BSE. The Non-institutional Portion (Above 10 Lacs) has been subscribed to the extent of 15.00809 times. The total number of Equity Shares Allotted in this category is 5,07,410 Equity Shares to 787 successful Non-Institutional Bidders. The category-wise details of the Basis of Allotment are as under (Sample)|
|Category||No. of Applications Received||% of Total||Total No, of Equity Shares applied||% to Total||No. of Equity Shares Allotted per Bidder||Ratio||Total No. of Equity Shares Allotted|
Please Note : 1 (One) lot of 644 shares have been alloted to All the Applicants from Category 3588 to 104880 in the ratio of 18: 53 (All these categories have been moved at the end for easy reference)
Please Note: 1 additional Share has been allotted to 582 Allottees from amongst 787 Successful Allottoes from all the categories (from Category 3082 to 104880) in the ratio of 582:787
|D.||Allotment to QIBs (excluding Anchor Investors) (After Technical Rejections)|
|Allotment to QIBs (excluding Anchor Investors), who have bid at the Issue Price of Rs. 326 per Equity Share or above, has been done on a proportionate basis in consultation with BSE. This category has been subscribed to the extent of 11.90209 times of Net QIB portion As per the SEBl Regulations, Mutual Funds were allotted 5% of the Equity Shares of Net QIB portion available i.e. 50,743 Equity Shares and other QIBs and unsatisfied demand of Mutual Funds were allotted the remaining available Equity Shares i.e . 9,64,121 Equity Shares on a proportionate basis. The total number of Equity Shares allotted m the QIB category is 10,14,864 Equity Shares. which were allotted to 17 successful Applicants.|
E. Allotment to Anchor Investors
The Company in consultation with the BRIM have allocated 15,22,186 Equity Shares to 3 Anchor investors (through 3 Anchor Applications) at the Anchor Investor Issue Price ol Rs 326 per Equity Share in accordance with the SEBl ICDR Regulations This represents 60% o( the QIB Portion
The IPO Committee of of Company at its meeting held on May 19, 2022, has taken on record the basis of allotment of Equity Shares approved by the Designated Stock Exchange being BSE, and has allotted the Equity Shares to various successful applicants. The Allotment Advice Cum Refund Intonation has been dispatched to the address of the investors as registered with the depositories. Further, instructions to the SCSBs have been issued for unblocking of funds and transfer to the Public Issue Account on May 19, 2022 and the payments to non-syndicate brokers have been issued on May 20, 2022. In case the same is not received within ten days, investors may contact the Registrar to the Issue at the address given below. The Equity Shares allotted to the successful allottees have been uploaded on May 20, 2022 for credit into the respective beneficiary accounts subject to validation of the account details with the depositories concerned. The Company is in the process of obtaining the listing and trading approval from BSE and trading is expected to commence on or about May 24, 2022.
Note: All capitalized terms used and not defined herein shah have the respective meanings assigned to them in the Prospectus,
INVESTORS PLEASE NOTE
These details of the Allotment made shall be hosted on the website of Registrar to the Issue, KFin Technologies Limited at www.kflntech.com.
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 ASBA form, number of Equity Shares bid for, name of the Member of the Syndicate, place whore the bid was submitted and payment details at the address given below:
|KFIN TECHNOLOGIES LIMITED|
|Selenium, Tower B, Plot No- 31 and 32, Financial District, Nanakramguda, Serilingampally. Hyderabad. Rangareddi 500 032, Telangana, India.|
|Tel: +9140 6716 2222. E-mail: email@example.com Investor grievance e-mail: einward .firstname.lastname@example.org|
|Website: www.kfintech.com: Contact person: M Murli Krishna: SEBI Registration No.: INR000000221|
|For VENUS PIPES & TUBES LIMITED|
|On behalf of the Board of Directors|
|Place : Gandhidham, Gujarat||Sd/-|
|Date : May 21, 2022||Company Secretary & Compliance Officer|
VENUS PIPES & TUBES LIMITED has filed the Prospectus with the RoC and thereafter with SEBI and the Stock Exchanges. The Prospectus shall be available on the website of the SEBI at www.sebi.gov.in as well as on the websites of the BRLM, SMC Capitals United at www.smocapitals.com, the webside of the BSE at www.bseinda.com and the website of the NSE at www.nseindia.com and. Investors should note that investment in equity shares involves a high degree of risk and for details relating to such risks. see 'Risk Factors' on page 23 of the Prospectus. Potential investors should not rely on the draft red herring prospectus filed with SEBI for any investment decision.
The Equity Shares have not been and will not be registered under the U S. Securities Ad of 1933 (the "U. S. Securities Act") or any state securities laws in the United Stales and unless so registered, and may not be offered or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U. S. Securities Act and applicable U. S. state securities laws. Accordingly, the Equity Shares are being offered and sold outside the United States in offshore transactions in reliance on Regulation S and the applicable laws of each jurisdictions where such offers and sales are made. There will be no public offering of the Equity Shares in the United Stales.