Basis of Allotment
RAJ TELEVISION NETWORK LIMITED

RAJ TELEVISION NETWORK LIMITED

{Registration No. 18-27709) (incorporated on June 3.1994 under the Companies Act, 1956 as a public limited company) Registered Office: 32, Poes Road, Second Steet, Teyampet, chennai 600 018 (The registered office of the company was shifted from12-B, Poes Road, Third Street, Tenyampet, Chennai 600 018 to the above address w.e.f.September 5,1999.)
Tel: 9144 2433 4149; Fax: 9144 24341260;, E-mail: ipo@rajtvnet.in; Website: www.rajtvnet.in,
Compliance Officer:Mr. B. Sathya Prakash

BASIS OF ALLOCATION

PUBLIC ISSUE OF 35,68,280 EQUITY SHARES OF FACE VALUE OF RS. 10/- EACH AT A PRICE OF RS. 257/- FOR CASH, (INCLUDING PREMIUM OF Rs.247/- PER SHARE) AGGREGATING RS.9170.40 LAKHS. (HEREINAFTER REFERRED TO AS THE "ISSUE") CONSISTING OF A FRESH ISSUE OF 22,70,700 EQUITY SHARES BY RAJ TELEVISION NETWORK LIMITED (COMPANY OR "ISSUER") AND AN OFFER FOR SALE OF 12,97,550 EQUITY SHARES BY SELLING SHAREHOLDERS. THE ISSUE COMPRISES A NET ISSUE TO THE PUBLIC OF UP TO 32,43,866 EQUITY SHARES OF Rs.10/- EACH (THE "NET ISSUE") AND A RESERVATION OF UP TO 3,24,384 EQUITY SHARESOF RS.10/-EACH, FOR THE ELIGIBLE EMPLOYEES OF THE COMPANY("EMPLOYEE RESERVATION PORTION")

THE ISSUE CONSTITUTES 27.50% OF FULLY DILUTED POST-ISSUE PAID UP CAPITAL OF THE COMPANY.
ISSUE PfRICE:RS. 257/-PER EQUITY SHARE OF FACE VALUE OF RS. 10 EACH.
THE OFFER PRICE IS 25.7 TIMES THE FACE VALUE

In terms of Rule 19 (2)(b) of the Securities Contract Regulation Rules, 1957 this being an Issue for less than 25% of the post-Issue capital, the Issue was being made through the 100% Book Building Process wherein not more than 50% of the Net Issue will be allocated on a proportionate basis to Qualified Institutional Buyers ("QIBs"), out of which 5% shall be available for allocation on a proportionate basis to Mutual Funds only. The remainder shall be available for allocation on a proportionate basis to QIBs and Mutual Funds, subject to valid bids b«ing received from them at w above the Issiie Price. If at least 50% of the Net iss cannot be alllocated to QIBs, allocated to QIBs, then the entire application money will be refunded forthwith. Further, not less than 15% of the Net Issue will be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Issue will 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 Issue received 39980 applications for 8411775 equity shares resulting in 2.36 times subscription. The details of the applications received in the issue from Qualified Institutional Buyers, Non-institutional, Retail Individual Investors, Employee categories are as under (Before technical rejections):

Category No. of Applications No. of Shares Subscription
(No.of Times)
Ratal Bidders 39843 6631950 6.02
Non Institutional Bidders 68 644050 1.32
Qualified Institutional Bidders 7 635200 0.39
Employees 62 300575 0.93
TOTAL 39980 8411775 2.36

Final Demand
A summary of the final demand at various price levels as per the electronic book is given below:

PRICE NO. OF BIDS % TO TOTAL CUMULATIVE
TOTAL		 CUMULATIVE
% TO TOTAL
221 11650 0.11 10988250 100.00
222 3975 0.04 10976600 99.89
223 50 0.00 10972625 99.86
224 625 0.01 10972575 99.86
225 2075 0.02 10971950 99.85
226 7775 0.07 10969875 99.83
227 25 0.00 10962100 99.76
228 50 0.00 10962075 99.76
230 44600 0.41 10962025 99.76
231 175 0.00 10917425 99.36
232 200 0.00 10917250 99.35
233 125 0.00 10917050 99.35
234 125 0.00 10916925 99.35
235 2875 0.03 10916800 99.35
236 500 0.00 10913925 99.32
237 50 0.00 10913425 99.32
238 1800 0.02 10913375 99.32
239 950 0.01 10911575 99.30
240 11775 0.11 10910625 99.29
241 200 0.00 10898850 99.19
242 50 0.00 10898650 99.18
243 75 0.00 10898600 99.18
244 150 0.00 10898525 99.18
245 54200 0.49 10898375 99.18
246 225 0.00 10844175 98.69
248 200 0.00 10843950 98.69
249 75 0.00 10843750 98.68
250 3575 0.03 10843675 98.68
251 75 0.00 10840100 98.65
252 25 0.00 10840025 98.65
254 200 0.00 10840000 98.65
255 700 0.01 10839800 98.65
256 200 0.00 10839100 98.64
257 & cut-off 10838900 98.64 10838900 98.64
TOTAL 10988250 10000

The Basis of Allocation was finalized in consultation with the Bombay Stock Exchange Limited ("BSE")on March 7,2007.The Board of Directors of the company at its meeting held on 7th March,2007 approved the Basis of Allocation of equity shares and allotted the equity shares to successful applicants.

A. Allocation to Employees
The Basis of Allocation to the Employees, who have bid at cut-off or at the Issue Price of Rs.257/- per Equity Share, was finalized in consultation with BSE. The Company has received 60 valid applications for 250575 equity shares as against a reservation 324384 equity shares resulting in subscription of 0.77 times. The total number of shares allotted in this category is 250575 Equity Shares. The shares have been allotted on firm basis to all valid applications. The balance unsubscribed shares of 73809 shares were added to the 'Net Issue'.

B. Allocation to Retail Investors
The Basis of Allocation to the Retail Investors, who have bid at cut-off or at the Issue Price of .Rs.257/- per Equity Share, was finalized in consultation with BSE. The category was over subscribed 2.47 times. The total number of shares allotted in this category is 2538769 Equity Shares. The category-wise details of the Basis of Allocationare are as under:

Category No. of Applications % to Total Total No. of
shares applied		 % to total No. of shares allocated Ratio Total No. of
shares Allocated
25 6605 18.57 165125 1.63 25 19:47 66775
50 4527 12.73 226350 3.61 25 55:68 91525
75 1841 5.18 138975 2.20 30 FIRM 55230
100 3518 9.89 351800 5.61 40 FIRM 140720
125 848 2.38 106000 1.69 51 FIRM 43248
150 1091 3.07 163650 2.61 61 FIRM 66551
175 5236 14.72 916300 14.61 71 fTrm 371756
200 920 2.59 184000 2.93 81 FIRM 74520
225 203 0.57 45675 0.73 91 FIRM 18473
250 239 0.67 59750 6.95 101 FIRM 24139
275 92 0.26 25300 0.40 111 FIRM 10212
300 227 0.64 68100 1.09 121 FIRM 27467
325 153 0.43 49725 0.79 131 FIRM 20043
350 177 0.50 61950 0.99 142 FIRM 25134
375 9888 27.80 3708000 59.14 152 FIRM 1502976
TOTAL 35565 6269800 100.00 2538769

C. Allocation to Non Institutional Investors
The Basis of Allocation to the Non institutional investors, who have bid at the Issue Price of Rs 257/- per Equity Share, was finalized in consultation with BSE. The category was subscribed 0.29 times. The balance unsubscribed porton of 350951 Equity Sharsswere added to Retail Category. Thetotal number of sharesaltotted in this category is 146700 Equity Shares. Thecategory-wisedetailsoftheBasisofAllocation(Sample)areasunder:

Category No. of Applications % to Total Total No. of
shares applied		 % to total No. of shares allocated Ratio Total No. of
shares Allocated
400 8 22.22 3200 2.18 400.00 FIRM 3200
425 1 2.78 425 0.29 425.00 FIRM 425
450 1 2.78 450 6.31 450.00 FIRM 450
500 6 16.67 3000 ¦ 2.04 500.00 FIRM 3000
600 1 2.78 600 0.41 600.00 FIRM 600
750 1 2.78 750 0.51 750.00 FIRM 750
775 1 2.78 775 0.53 775.00 FIRM 775
925 1 2.78 925 0.63 925.00 FIRM 925
1000 2 5.56 2000 1.36 1000.00 FIRM 2000
| 1075 1 2.78 1075 0.73 1075.00 FIRM 1075
1925 3 8.33 5775 3.94 1925.00 FIRM 5775
2000 1 2.78 2000 1.36 2000.00 FIRM 2000
3000 1 2.78 3000 2.04 3000.00 FIRM 3000
3875 1 2.78 3875 2.64 3875.00 FIRM 3875
4000 4 11.11 16000 10.91 4000.00 FIRM 16000
25000 1 2.78 25000 17.04 25000.00 FIRM 25000
38925 2 5.56 77850 53.07 38925.00 FIRM 77850
36 146700 100.00 146700

D. Allocation to Qualified Institutional Buyers
Allocation to QIBs have been done on a proportionate basis in consultation with the National Stock Exchange Limited. As per the SEBI guidelines,Mutul Funds were initially allotted 5% of the quantum of shares available (82942) and other QIBs and unsatisfied demands of Mutual Funds were allotted the remaining available shares (552258) on proportionate basis. Mutual Funds were allotted 13.06% for QIB segment and other QIB applicants were allotted 86.94% of the Shares for QIB segment.
The balance unsubscribed portion of 986733 Equity Shares were added to Ratail Category.

Category Fls/Banks MFs FIIS VCs Total
No. of Shares 136700 328500 120000 50000 635200

The Refund Orders and allotment advice and notice has been dispatched to the address of the investors as registered with the depositories. In case the same is not received within ten days, investors may contact at the address given below. The Refund Orders have been over-printed with the Bank Mandate details as registered, if any, with the depositories. The shares allocated to successful applicants are being credited to their beneificiary accounts subject to validation of the accounts details with the depositories concerned. The company is taking steps to get the equity shares admitted for trading on National Stock Exchange of India Limited and Bombay Stock Exchange Limited with in seven working days from the date of approval of the basis of allocation.

INVESTORS PLEASE NOTE
This details of the allocation made would be hosted on the website of Registrars to the Issue, Cameo Corporate Services Limited at www.cameoindia.com
All future correspondece in this regard may kindly be addressed to the Registrars to the Issue quoting full number of the first /Sole applicant, Serial Number of the bid cum-Application form, number of shares bid for, name of the Member of the Syndicate and Place where bid was submitted and payment details at the address given below.

CAMEO CORPORATE SERVICES LIMTED
'Subramanian Building', No. 1, Club House Road, Chennai 600 002, India cameo
Tel:+9144 2846 0390; Fax:+9144 2846 0129
Email: rajtv@cameoindia.com: Website: www.cameoindia.com


Place: Chennai
Date : March 15,2007

For Raj Television Network Limited
Sd/-
Company Secretary

THE 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 RAJ TELEVISION NETWORK LIMITED.
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