Titagarh Wagons IPO Basis of Allotment

TITAGARH WAGONS LIMITED

Incorporated on July 3,1997 under the Companies Act, 1956, as amended as a public limited company.
Registered Office: Premlata, 4th Floor, 39, Shakespeare Sarani, Kolkata, 700 017, India.
Contact Person and Compliance Officer: Mr. Dinesh Aiya Tel: +91 33 2283 4467; Fax: +91 33 2289 1655.
Website: www.titagarh.biz

BASIS OF ALLOTMENT

PUBLIC ISSUE OF 23,83,768 EQUITY SHARES OF RS.10 EACH FOR CASH AT A PRICE OF RS 540 PER EQUITY SHARE INCLUDING SHARE PREMIUM  OF RS. 530 PER EQUITY SHARE, AGGREGATING RS. 12,872 LAKHS (THE 'ISSUE') BY TITAGARH WAGONS LIMITED (THE 'COMPANY OR 'THE ISSUER'). THE ISSUE CONSISTING OF A FRESH ISSUE OF 20,68,111 EQUITY SHARES AND AN OFFER FOR SALE OF 3,15,657 EQUITY SHARES OF RS.10 EACH. THE ISSUE COMPRISED  A RESERVATION OF UP TO 15,000 EQUITY SHARES OF RS.10 EACH  FOR ELIGIBLE EMPLOYEES   (THE 'EMPLOYEE RESERVATION PORTION'). THE ISSUE WOULD CONSTITUTE 12.9% OF POST ISSUE CAPITAL OF THE COMPANY.
THE FACE VALUE PER EQUITY SHARE IS RS.10/-. THE ISSUE PRICE PER EQUITY SHARE IS RS. 540/- AND IT IS 54 TIMES THE FACE VALUE.

The equity snares of the Company are proposed to be listed on the National Stock Exchange of India Limited (NSE) and Bombay Stock Exchange Limited (BSE) and trading is expected to commence on or about April 16, 2008.
The Issue made through the 100% Book Building Process wherein at least 60% of the net Issue was to be allocated on a proportionate basis to Qualified Institutional Buyers ('QIBs') (including 5% of the OJB portion that was to specifically be allotted to mutual funds), further, not less than 10% of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 30% of the Issue shall be available for allocation on a proportionate basis to Retail Bidders, subject to valid bids being received at or above the Issue Price.

The Issue received 9,288 applications for 1,62,12,000 equity shares resulting in 6.80 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional, Retail individual Investor and Employee categories are as under (Before technical rejections)

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

The Basis of Allocation was finalized in consultation with the Designated Stock Exchange, the BSE on April 9, 2008.

A. Allocation to Employees (After Technical Rejections)
The Basis of Allocation to the Employees, who have bid at cut-off or at the Issue Price of Rs.540/- per Equity Share, was finalized in consultation with BSE. The category was subscribed to the extent of 0.07 times. The spill over portion of 13,940 equity shares has been added to QIBs (8,364 equity shares), Non-Institutional (1,394 equity shares) and Retail (4,182 equity shares) categories on 60:10:30 ratio. The total number of shares allotted in this category is 1,060 Equity Shares to 6 successful applicants. The category-wise details of the Basis of Allocation (Sample) are as under

B.Allocation to Retail Individual Investors(After Technicai Rejections)
The Basis of Allocation to the Retail Individual Investors, who have bid at cut-off or at the Issue Price of Rs.540/- per Equity Share, was finalized in consultation with BSE. This category has been subscribed to the extent of 0.92 times. The spill over portion of 54,382 equity shares has been added to Non-Institutional Investors category. The total number of shares allotted in this category is 6,60,430 Equity Shares to 9,145 successful applicants. The category-wise details of the Basis of Allocation 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 Issue Price of Rs.540/- per Equity Share, was finalized in consultation with BSE. This category has been subscribed to the extent of 1.70 times. The spill over portion of 1,394 equity shares from the Employee category and 54,382 equity shares from the Retail category has been added to Non Institutional Investors category. The total number of shares allotted in this category is 2,92,653 Equity Shares to 34 successful applicants. The category-wise details of the Basis of Allocation (sample) are as under:

D. Allocation to QIBs
Allocation lo QIBs has been done on a proportionate basis in consultation with BSE. The spill over portion of 8,364 equity shares from the employee category has been added to this category. As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of shares available and the spill over portion from the above category (418 equity shares) and other QIBs and unsatisfied demands of Mutual Funds were allotted the remaining available shares and the spill over portion from the above category (7,946 equity shares) on proportionate basis.

The IPO committee of the company at it' s Meeting held at Kolkata on April 9, 2008 has approved the basis of allocation of shares of the Issue and has allotted the 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 shares allocated to successful applicants are being credited to their beneficiary accounts subject to validation of the account details with the depositories concerned. The listing applications have been filed with the NSE and BSE on April 10,2008 and the company is taking steps to get the equity shares admitted for trading on the Bombay Stock Exchange Limited and the National Stock Exchange of India Limited within seven working days from the date of approval of the basis of allocation.

This details of the allocation made would be hosted on the website of Registrars to the Issue, Karvy Computershare Private Limited at http://kcpl.karvy.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 ol the Member of the Syndicate and Place where the bid was submitted and payment details at the address given below:

TOLL FREE - HELPLINE NUMBER 1-800-3454001

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 TITARAGH WAGONS LIMITED.