TECH MAHINDRA LIMITED
Registered Office: Tech Mahindra Limited, Gateway Building, Apollo
Bunder, Mumbai 400 001, India. Tel: +91 22 2202 1031; Fax: +91 22 2202 8780
Corporate Office: Tech Mahindra Limited, Sharada Centre, Off Karve Road, Erandavane, Pune
411 004, India Tel: +91 20 5601 8100; Fax: +91 20 5601 8313. Contact Person: Mr. Vikrant
Gandhe; Tel: +91 20 5601 8100. E-mail: tmlipo@techmahindra.com
; Website: www.techmahindra.com
BASIS OF ALLOTMENT
PUBLIC ISSUE OF 12,746,000 EQUITY SHARES OF Rs. 10 EACH OF TECH MAHINDRA
LIMITED ("TECH MAHINDRA" OR THE "COMPANY" OR THE "ISSUER")
FOR CASH AT A PRICE OF Rs. 365 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF Rs. 355 PER
EQUITY SHARE), CONSISTING OF A FRESH ISSUE OF 3,186,480 EQUITY SHARES AND AN OFFER FOR
SALE OF 9,559,520 EQUITY SHARES BY MAHINDRA & MAHINDRA LIMITED AND BRITISH
TELECOMMUNICATIONS PLC (THE "SELLING SHAREHOLDERS"), AGGREGATING Rs. 4,652.29
MILLION (THE "ISSUE"). 1,158,790 EQUITY SHARES OF Rs. 10 EACH WERE RESERVED IN
THE ISSUE FOR SUBSCRIPTION BY ELIGIBLE EMPLOYEES (THE "EMPLOYEE RESERVATION
PORTION"). THE ISSUE LESS THE EMPLOYEE RESERVATION PORTION IS REFERRED TO AS THE
"NET ISSUE". THE ISSUE CONSTITUTES 11% OF THE PAID UP POST-ISSUE CAPITAL. THE
NET ISSUE CONSTITUTES 10% OF THE PAID UP POST-ISSUE CAPITAL.
THE FACE VALUE PER EQUITY SHARE IS RS.10/- EACH. THE ISSUE PRICE IS RS. 365/- EACH AND THE
ISSUE PRICE IS 36.5 TIMES OF THE FACE VALUE.
In terms of Rule 19(2)(b) of the Securities Contract Regulations Rules, 1957, the Issue
was made through the 100% Book Building Process where at least 60% of the Net Issue to the
public was allocated on a proportionate basis to Qualified Institutional Buyers
("QIBs"). 5% of the QIB Portion was available for allocation on a proportionate
basis to Mutual Funds only and the remainder of the QIB Portion was 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. Further, up to 10% of the Net Issue to
the public was available for allocation on a proportionate basis to Non-Institutional
Bidders and up to 30% of the Net Issue to the public was available for allocation on a
proportionate basis to Retail Individual Bidders, subject to valid Bids being received at
or above the Issue Price. Further, 1,158,790 Equity Shares were available for allocation
on a proportionate basis to Eligible Employees, subject to valid Bids being received at or
above the Issue Price.
The Issue received 193,731 applications for 893,318,368 equity shares resulting in 70.09
times subscription. The details of the applications received (before rejections) in the
Issue from QIBs, Non-Institutional, Retail Individual Bidders and Employees under the
Employee Reservation Portion are as under:
Category |
No.of Application |
No. of Shares applied for |
Subcription (no.of times) |
Retail Individual Bidders |
187,954 |
26,349,808 |
7.58 |
Non Institutional Bidders |
1,386 |
142,520,192 |
123.00 |
QIBs |
365 |
722,895,856 |
103.98 |
Employees |
4,026 |
1,552,512 |
1.34 |
Total |
193,731 |
893,318,368 |
70.09 |
Final Demand
A sample of the final demand at different bid prices is as under:
Bid Price |
No. of Shares |
% to Total |
Cumulative Total |
Cumulative % to total |
315 |
9,390,400 |
0.94 |
1,003,408,800 |
100.00 |
320 |
23,888 |
0.00 |
994,014,672 |
99.06 |
325 |
685,856 |
0.07 |
993,943,216 |
99.06 |
330 |
337,600 |
0.03 |
993,102,768 |
98.97 |
335 |
454,352 |
0.05 |
992,763,424 |
98.94 |
340 |
4,367,600 |
0.44 |
992,306,592 |
98.89 |
345 |
2,018,144 |
0.20 |
987,602,992 |
98.42 |
350 |
31,099,936 |
3.10 |
985,470,864 |
98.21 |
355 |
11,586,928 |
1.15 |
954,365,872 |
95.11 |
360 |
28,255,568 |
2.82 |
942,610,640 |
93.94 |
365 |
888,497,904 |
88.55 |
914,337,472 |
91.12 |
Cut-off |
25,839,568 |
2.58 |
25,839,568 |
2.58 |
Total |
1,003,408,800 |
|
|
|
The Basis of Allotment was finalized in consultation with the National Stock Exchange
of India Limited ("NSE") on August 16, 2006. The Committee of Directors of the
Company at its meeting held on August 17, 2006 have allotted the Equity Shares in the
Issue to successful applicants.
A. Allocation to Retail Individual Investors
The category (net of technical/multiple rejections) was over subscribed 7,36436 times.
The total number of shares allotted in this category is 3,476,169 Equity Shares to
1,42,318 allottees i.e.77.67% of valid applicants. The category-wise applicants. The
category-wise details of the Basis of Allotment in this category 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 |
16 |
16,040 |
8.75 |
256,640 |
1 |
16 |
15:100 |
38,560 |
32 |
16,415 |
8.96 |
525,280 |
2.05 |
16 |
7:25 |
73,536 |
48 |
12,138 |
6.62 |
582,624 |
2.28 |
16 |
21:50 |
81,568 |
64 |
8,700 |
4.75 |
556,800 |
2.18 |
16 |
14:25 |
77,952 |
80 |
8,814 |
4.81 |
705,120 |
2.75 |
16 |
17:25 |
95,904 |
96 |
8,734 |
4.77 |
838,464 |
3.28 |
16 |
41:50 |
114,592 |
112 |
5,041 |
2.75 |
564,592 |
2.21 |
16 |
24:25 |
77,424 |
128 |
47,385 |
25.86 |
6,065,280 |
23.69 |
17 |
FIRM |
805,545 |
144 |
1,684 |
0.92 |
242,496 |
0.95 |
20 |
FIRM |
33,680 |
160 |
2,706 |
1.48 |
432,960 |
1.69 |
22 |
FIRM |
59,532 |
176 |
534 |
0.29 |
93,984 |
0.37 |
24 |
FIRM |
12,816 |
192 |
1,101 |
0.6 |
211,392 |
0.83 |
26 |
FIRM |
28,626 |
208 |
887 |
0.48 |
184,496 |
0.72 |
28 |
FIRM |
24,836 |
224 |
421 |
0.23 |
94,304 |
0.37 |
31 |
FIRM |
13,051 |
240 |
1,184 |
0.65 |
284,160 |
1.11 |
33 |
FIRM |
39,072 |
256 |
1,995 |
1.09 |
510,720 |
2 |
35 |
FIRM |
69,825 |
272 |
49,450 |
26.99 |
13,450,400 |
52.54 |
37 |
FIRM |
1,829,650 |
B. Allocation to Non Institutional Investors
The category was subscribed (net of technical/multiple rejections) 122.62438 times. The
total number of shares allotted in this category is 1,158,715 Equity Shares to 1,072
allottees i.e.83.82% of valid applicants. A sample of the category-wise details of the
Basis of Allotment in this category 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 |
288 |
49 |
3.83 |
14,112 |
0.01 |
16 |
1:7 |
112 |
1,200 |
8 |
0.63 |
9,600 |
0.01 |
16 |
5:8 |
80 |
10,960 |
5 |
0.39 |
54,800 |
0.04 |
89 |
FIRM |
445 |
54,784 |
22 |
1.72 |
1,205,248 |
0.85 |
447 |
FIRM |
9,834 |
136,976 |
11 |
0.86 |
1,506,736 |
1.06 |
1,117 |
FIRM |
12,287 |
273,968 |
8 |
0.63 |
2,191,744 |
1.54 |
2,234 |
FIRM |
17,872 |
547,936 |
4 |
0.31 |
2,191,744 |
1.54 |
4,469 |
FIRM |
17,876 |
1,260,272 |
3 |
0.23 |
3,780,816 |
2.66 |
10,277 |
FIRM |
30,831 |
1,522,000 |
1 |
0.08 |
1,522,000 |
1.07 |
12,412 |
FIRM |
12,412 |
2,739,968 |
1 |
0.08 |
2,739,968 |
1.93 |
22,344 |
FIRM |
22,344 |
5,600,000 |
1 |
0.08 |
5,600,000 |
3.94 |
45,668 |
FIRM |
45,668 |
6,944,000 |
1 |
0.08 |
6,944,000 |
4.89 |
56,628 |
FIRM |
56,628 |
7,134,704 |
1 |
0.08 |
7,134,704 |
5.02 |
58,183 |
FIRM |
58,183 |
8,561,648 |
1 |
0.08 |
8,561,648 |
6.03 |
69,820 |
FIRM |
69,820 |
10,027,392 |
1 |
0.08 |
10,027,392 |
7.06 |
81,732 |
FIRM |
81,732 |
11,584,000 |
2 |
0.16 |
23,168,000 |
16.31 |
94,425 |
FIRM |
188,850 |
11,587200 |
1 |
0.08 |
11,587,200 |
8.15 |
94,450 |
FIRM |
94,450 |
C Allocation to QIBs
As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of
shares available (347,617) and other QIBs and unsatisfied demands of Mutual Funds were
allotted the remaining available shares (6,604,709) on proportionate basis. Total number
of shares allotted in this category is 6,952,326 Equity Shares to 363 allottees i.e.
99.45% of valid applicants. Mutual Funds were allotted 23.26% and other QIB applicants
were allotted 76.74% of the shares allotted in the QIB category.
Category |
Fls/Banks |
MFs |
Flls |
Insurance Companies |
VCs |
Total |
No. of Shares |
244,773 |
1,617,078 |
4,711,599 |
378,876 |
NIL |
6,952,326 |
D. Allocation to Employees under the Employee Reservation Investors
The category (net of technical/multiple rejections) was over subscribed 1.31 times. The
total number of shares allotted in this category is 1,158,790 Equity Shares to of 3,921
allottees i.e. 100.00% of valid applicants. The sample of the category-wise details of the
Basis of Allotment in this category 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 |
32 |
173 |
14.16 |
5,536 |
6.69 |
32 |
FIRM |
5,536 |
48 |
215 |
17.59 |
10,320 |
12.48 |
48 |
FIRM |
10,320 |
64 |
185 |
15.14 |
11,840 |
14.32 |
64 |
FIRM |
11,840 |
80 |
166 |
13.58 |
13,280 |
16.06 |
80 |
FIRM |
13,280 |
96 |
425 |
34.78 |
40,800 |
49.33 |
96 |
FIRM |
40,800 |
272 |
450 |
16.67 |
122,400 |
6.65 |
219 |
FIRM |
98,550 |
400 |
59 |
2.19 |
23,600 |
1.52 |
308 |
FIRM |
18,172 |
1,008 |
22 |
0.82 |
22,176 |
1.72 |
729 |
FIRM |
16,038 |
20,000 |
1 |
0.04 |
20,000 |
1.71 |
13,880 |
FIRM |
13,880 |
21,920 |
1 |
0.04 |
21,920 |
1.87 |
15,209 |
FIRM |
15,209 |
24,896 |
1 |
0.04 |
24,896 |
2.13 |
17,270 |
FIRM |
17,270 |
25,008 |
1 |
0.04 |
25,008 |
2.14 |
17,348 |
FIRM |
17,348 |
27,408 |
2 |
0.07 |
54,816 |
4.69 |
19,025 |
FIRM |
38,050 |
41,088 |
1 |
0.04 |
41,088 |
3.52 |
28,498 |
FIRM |
28,498 |
54,784 |
3 |
0.11 |
164,352 |
14.09 |
37,986 |
FIRM |
113,958 |
68,000 |
1 |
0.04 |
68,000 |
5.83 |
47,138 |
FIRM |
47,138 |
The physical refund warrants, intimation regarding refunds through electronic modes
(ECS, RTGS. NEFT or Direct Credit) and allotment advice have been dispatched to the
address of the investors as registered with the depositories on August 18, 2006. 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 Equity Shares allocateo to successful applicants are being credited to their
beneficiary accounts subject to validation of the account details with the depositories
concerned on August 18, 2006. The listing application nas Deen fiiec with the National
Stock Exchange of India Limited and the Bombay Stock Exchange Limited on August 18,2006
and the Company is taking steps to complete all formalities for listing and commencement
of trading of Equity Shares on the National Stock Exchange of India Limited and the Bombay
Stock Exchange Limited within seven working days from the date of Allotment.
INVESTORS PLEASE NOTE
This details of the allocation made would be hosted on the website of Registrars to the
Issue, Intime Spectrum Registry Limited at www.intimespectrum.com.
All future correspondence in this regard may kindly be addressed to the Registrars to the
issue quoting full name 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 the bid was submitted and payment details at the address given below:
INTIME SPECTRUM REGISTRY LIMITED
C-13, Pannalal Silk Mills Compound, LBS Marg, Bhandup (West), Mumbai 400 078, India
Tel.: +91 22 2596 0320, Fax: +91 22 2596 0329, Email: tm-ipo@intimespectrum.com, Website: www.intimespectrum.com
Place : Mumbai
DAte : August 18, 2006 |
For Tech Mahindra Limited
Sd/-
Vikrant Gandhe
Assistant Company Secretary and Compliance Officer |
THE LEVEL OF SUBSCRIPTIOIN SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET
PRICE OF THE EQUITY SHARE ON LISTING OR THE BUSINESS PROSPECTS OF TECH MAHINDRA LIMITED. |