Binani Cement IPO Basis of Allotment

BINANI CEMENT LIMITED

(Originally incorporated as Dynasty Dealer Private Limited on Januaiy 15,1996 Under the Companies Act, 1956, The name of the Company was changed to  Binani cement Private Limited on April 23,1998 and it was Converted in to Public limitedCompany, bearing the name Binani Cement Limited on October 6, 1998).
Registered Office: 706 Om Tower, 32, Chowringhee Road, Kolkata -700 071,
Tel:+9133 2288 2508/09; Fax:+9133 2288 2510.
Corporate Office: Mercantile Chambers, 12 J.N.Heredia Marg, Ballard Estate, Mumbai - 400 001.
Tel: 491 22 2263 4951-53; Fax: +91 22 2263 4960,
Website: www.binani.com; Email: bclipo@binani.net
Contact Person: Mr. Atul Falgunia, Company Secretary.

PUBLIC OFFER OF 20,500,000 EQUITY SHARES OF RS. 10 EACH OF BINANI CEMENT LIMITED ('BCL' OR THE 'COMPANY') THROUGH AN OFFER FOR SALE BY JPMORGAN SPECIAL SITUATIONS (MAURITIUS) LIMITED ('JPMSSM' OR THE 'SELLING SHAREHOLDER'), FOR CASH AT A PRICE OF RS. 75 PER EQUITY SHARE AGGREGATING RS. 1537.50 MILLION (THE 'OFFER'). THE OFFER SHALL CONSTITUTE 10.09% OF THE POST OFFER PAID UPCAPITAL OF THECOMPANY.
OFFER PRICE: Rs. 75 PER EQUITY SHARE OF FACE VALUE RS. 10/-. THE OFFER PRICE IS 7.5 TIMES OF THE FACE VALUE.
In terms of Rule 19(2)(b) of the Securities Contracts Regulations Rules, 1957, this being an offer for less than 25% of the post-Offer capital, the Offer was made through the 100% Book Building Process wherein at least 60% of the Offer was to be allocated on a proportionate basis to QIB Bidders. 5% of the QIB Portion was available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the Q1B Portion was available for allocation on a proportionate basis to all QIB Bidders, including Mutual.Funds, subject to valid Bids being received at or above the Offer Price. Further, up to 10% of the Offer was available for allocation on a proportionate basis to Non-Institutional Bidders and up to 30% of the Offer was available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price.

BASIS OF ALLOCATION

The Offer received 27,076 applications for 25,522,627 Equity Shares resulting In 1.25 times subscription. The details of the applications received in the Offer (before technical rejections) from QIB Bidders, Non-Institutional and Retail Bidders are as under:

Final Demand
A sample of the final demand for the Offer at different bid prices is as under

The Basis of Allocation for all the categories namely Retail Individual Bidders, Non Institutional Bidders and QIB Bidders was finalised in consultation with the National Stock Exchange of India Limited (Designated Stock Exchange) on May 22, 2007.

A.Allocated to Retail Individual Bidders(After Technical Rejections)
The bids from all the Retail Individual Bidders, who have bid at the cut-off price or at the Offer Price of Rs. 75/- per Equity Share, have been considered while preparing the basis of allocation. The category was over subscribed 1.4070 times (Before Technical Rejection), The total number of Equity Shares allotted in this category is 7,671,280 Equity Shares. The category-wise details of the Basis of allocation are as under:

B. Allocated to Non Institutional Bidders (After Technical Rejections)
The bids from all the Non-lnstitutionai Bidders, who have bid at the Offer Price of Rs. 75/- per Equity Share, have been considered while preparing the basis of allocation. The category was over subscribed 0.2765 times (Before Technical Rejection). The total number of Equity Shares allocated in this category is 528,720 Equity Shares. The category-wise details of the Basis of allocation are as under.

All the applicants in this category have been given firm allotment on proportionate basis inverse to the over subscription ratio

C. Allocated to OIBs Bidders
Allocation to QIB Bidders has been done on a proportionate basis in consultation with NSE.

The Offer Committee of the Company at Its Meeting held at Mumbai on May 22,2007 has approved the basis of allocation of Equity Shares under the Offer and has allocated the Equity Shares to various successful applicants.

The CAN-cum-Refund Orders and allotment advice and notices have 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 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 National Stock Exchange of India Limited and Bombay Stock Exchange Limited within 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 Offer, Bigshare Services Private Limited at www.bigshareonline.com
All future correspondence in this regard may kindly be addressed to the Registrars to the Offer quoting full name of the First/ Sole applicant, Serial number of the bid-cum-application form, number of Equity 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:

Bigshare Services Private Limited
E/2 Ansa Industrial Estate, Sakivihar Road,
Saki Naka, Andherl (E), Mumbai 400 072
Tel: + 91 22 4043 0200 Fax: + 81 22 2847 5207
Email: ipo@bigshareonline.comWebsite: www.bigshareonline.com
Contact Person: Ashok Shetty

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 BINANI CEMENT LIMITED