SJVN IPO Basis of Allotment

SJVN Limited

Our Company was originally incorporated on May 24,1988 under the Companies Act, 1956, as amended (the 'Companies Act') as a private limited company under the name of Nathpa Jhakri Power Corporation Private Limited with the Registrar of Companies, Punjab, Himachal Pradesh and Chandigarh. For details of changes in the name of our Company, see section titled 'History and Certain Other Corporate Matters' on page 102 of the Prospectus.

Registered and Corporate Office: SJVNL, Himfed Building, New Shimla, Himachal Pradesh, 171009.
Tel: +91 177 267 0741/ 0064/ 0490/ 0521/ 1091. Fax: +91 177 267 0542. Company Secretary and Compliance Officer: Mr. P.S.R. Murthy. Tel: +91 177 267 2324. Fax: +91 177 267 0737. E-mail: psr.murthy@sjvn.nic.in Website: www.sjvn.nic.in. For details of changes in the registered address of our Company, see section titled 'History and Certain Other Corporate Matters' on page 102 of the Prospectus.

BASIS OF ALLOTMENT

PUBLIC OFFERING OF 415,000,000 EQUITY SHARES OF FACE VALUE RS. 10 EACH (THE 'EQUITY SHARES') FOR CASH AT A PRICE OF RS. 26 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF RS. 16 PER EQUITY SHARE) OF SJVN LIMITED ('SJVN' OR 'COMPANY') AGGREGATING UP TO RS. 10,627.37 MILLION THROUGH AN OFFER FOR SALE (THE 'OFFER FOR SALE' OR THE 'OFFER') BY THE PRESIDENT OF INDIA ACTING THROUGH THE MINISTRY OF POWER, GOVERNMENT OF INDIA (THE 'SELLING SHAREHOLDER'). THE OFFER COMPRISED A NET OFFER TO THE PUBLIC OF 411,650,000 EQUITY SHARES (THE 'NET OFFER') AND A RESERVATION OF 3,350,000 EQUITY SHARES FOR PURCHASE BY ELIGIBLE EMPLOYEES (THE 'EMPLOYEE RESERVATION PORTION') AT THE OFFER PRICE. THE OFFER AND NET OFFER CONSTITUTED 10.03% AND 9.95 % OF THE PAID-UP EQUITY CAPITAL OF OUR COMPANY, RESPECTIVELY.

OFFER PRICE IS RS. 26 PER EQUITY SHARE OF FACE VALUE RS. 10 EACH. THE OFFER PRICE IS 2.6 TIMES THE FACE VALUE. A DISCOUNT OF RS. 1.30 BEING 5% OF THE OFFER PRICE, DETERMINED PURSUANT TO COMPLETION OF THE BOOK BUILDING PROCESS HAS BEEN OFFERED TO EUGIBLE EMPLOYEES AND RETAIL INDIVIDUAL BIDDERS.

All terms used herein and not specifically defined shall have the same meaning as ascribed to such terms under the Prospectus dated May 6,2010 (the' Prospectus') with the Registrar of Companies, Punjab, Himachal Pradesh and Chandigarh.

Pursuant to the provisions of regulation 41 (2) (a) of the Securities Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 ('SEBI ICDR Regulations'), the Net Offer consisted of an offer for sale of less than 10% of the issued and paid up share capital of our Company and has been made through a 100% book building process in compliance with the provisions of Rule 19(2)(b) of the SCRR (as defined below), wherein at least 60% of the Net Offer has been Allotted on a proportionate basis to Qualified Institutional Buyers ('QIBs' and the allocation to the QIBs, the 'QIB Portion'). 5% of the QIB Portion has been made available for allocation on a proportionate basis to Mutual Funds only. The remainder of the QIB Portion has been made available for allocation on a proportionate basis to QIBs, including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 10% of the Net Offer has been made available for allocation on a proportionate basis to Non Institutional Bidders and not less than 30% of the Net Offer has been made available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price. 3,350,000 Equity Shares has been made available for allocation on a proportionate basis to Eligible Employees (as defined hereafter), subject to valid Bids being received from them at or above the Offer Price.

The Offer received 186,952 applications for 2,700,634,250 Equity Shares resulting 6.51 times subscription. The details of the applications received in the offer from QIBs, Non-Institutional Bidders, Retail Individual Bidders and Eligible Employees categories are as under (before technical rejections):

Final Demand
The final demand at different bid prices is as under:

The Basis of Allocation was finalized in consultation with the National Stock Exchange of India Limited ('NSE') on May 13,2010.

A. Employees (After Technical Rejections)
The Basis of Allocation to the employees of the SJVN Ltd, who have bid at cut-off or at the Offer Price of Rs. 26 per Equity Share (Rs: 1.30 discount on the Offer price was given to the employees and hence the net offer price for this category is Rs.24.70 per Equity Share), was finalized in consultation with NSE. The total number of shares allotted in this category is 8,58,000. The undersubscribed portion of 24,92,000 equity shares have been spilled over to QIBs(14,95,200 Equity Shares), Non-Institutional Bidders (2,49,200 Equity Shares) and Retail Individual Investor Category (7,47,600 Equity Shares). The category-wise details of the Basis of Allotment are (Sample) as under:

B. Allocation to Retail Individual Investors (After Technical Rejections)
The Basis of Allocation to the Retail Individual Investors, who have bid, at cut-off or at the Offer Price of Rs. (26) per Equity Share, was finalized in consultation with NSE (Rs 1.30 discount on the Offer price was given to the retail individual investors and hence the net Offer price for this category is Rs. 24.70 per Equity Share). This category has been over subscribed to the extent of 2.957 times. There were 39,726 Applications Collected in ASBA Process for 69,325,250 Shares. 180521 applications for 36738000 equity shares were found valid and they were considered for allotment. The total number of shares allotted in Retail Individual Investor category is 12,42,42,600 Equity Shares to 1,51,690 successful applicants, which includes the spill over portion from Employee Category of 7,47,600 equity shares. The category-wise details of the Basis of Allotment are as under:

C. Allocation to Non-Institutional Investors (After Technical Rejections)
The Basis of Allocation to the Non-Institutional Investors, who have bid at the Offer Price of Rs. 26 per Equity Share, was finalized in consultation with NSE. This category has been subscribed to the extent of 2.326 times and hence allotment was done on proportionate basis to all valid applicants. Overall 205 applications for 96339750 equity shares were found valid and they were considered for allotment. The total number of equity shares allotted in this category is 4,14,14,200 to 205 successful applicants, which includes the spill over portion from Employee Category of 2,49,200 equity shares. The category-wise details of the Basis of Allotment are (Sample) as under:

D. Allocation to QIBs (After Technical Rejections)
Allocation to QIBs has been done on a proportionate basis in consultation with NSE. As per the SEBI regulations, Mutual Funds were initially allocated 5% of the quantum of shares available (1,24,24,260 Equity Shares), including Spill over from Employee Category to the extent of 74,760 Equity Shares and other QIBs were allocated the remaining available shares (23,60,60,940 Equity Shares) on proportionate basis, including Spill over from Employee Category to the extent of 14,20,440 Equity Shares.

The IPO Committee of the company at its Meeting held on May 14,2010 has taken on record the basis of allocation of shares approved by the designated Stock Exchange. The CAN-cum-Refund Orders and allotment advice and/ or 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 Account details as registered, if any, with the depositories and the dispatch have been completed on May 17,2010. The shares allocated to successful applicants have been credited to their beneficiary accounts on May 15,2010 subject to validation of the account details with the depositories concerned. The final listing permission from NSE and BSE has been received on May 17,2010 and the equity shares of the company have been admitted for trading with effect from May 20,2010.

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:

Link Intime India Private Limited: C-13, Pannalal Silk Mills Compound, L.B.S. Marg, Bhandup (West),
Mumbai 400 078
Tel.: +91 22 2596 0320, Fax: +91 22 2596 0329 Email ID: sjvnl.ipo@linkintime.co.in

As disclosed in the Prospectus dated May 6, 2010(the 'Prospectus'), in furtherance to the finalisation of 'Basis of Allotment' by the Company and the Selling Shareholder in consultation with the NSE, i.e. the designated stock exchange, the aggregate offer size has been revised from Rs. 10,625.10 million to Rs. 10627.37 million. Accordingly, the Prospectus shall stand amended to this effect.