Dear Shareholders,
HDFC Asset Management Company Limited (HDFC AMC), a subsidiary of the Corporation, was incorporated on December 10, 1999 as a joint venture between the Corporation and Standard Life Investments Limited (Standard Life). Currently, the Corporation holds 56.97% of the total equity share capital of HDFC AMC.
As you may be aware, the Corporation is offering 85,92,970 equity shares of Rs. 5 each of HDFC AMC and Standard Life is offering 1,68,64,585 equity shares, for sale in the IPO of HDFC AMC, at a price to be determined through a book building process. In the said IPO, up to 24,00,000 equity shares have been reserved for individual and Hindu Undivided Families (HUFs) who were shareholders of the Corporation as on March 14, 2018 i.e. the date of the Draft Red Herring Prospectus (Eligible HDFC Shareholders).
Please note that the Bid/ Issue Opening Date is Wednesday, July 25, 2018 and the Bid/ Issue Closing Date is Friday, July 27, 2018. The Price band has been fixed at Rs. 1,095 to Rs. 1,100 per Share. An Eligible HDFC Shareholder can Bid for a minimum of 13 Shares and in multiples of 13 Shares thereafter such that the total Bid amount does not exceed Rs. 2,00,000.
For easy understanding and assuming that an Eligible HDFC Shareholder is bidding at Rs. 1,100 per Share, he/she would be entitled to apply in the IPO in the following categories:
Category
No. of Shares
Total Amount
1
HDFC Shareholders Reservation Portion (Green form, in case of physical application)
Minimum: 13 Shares*
Rs. 1,100 x 13 Shares= Rs. 14,300
Maximum: 169 Shares
Rs. 1,100 x 169 Shares= Rs. 1,85,900
In case Eligible HDFC Shareholders apply for more Shares, their application will be liable to be rejected.
2
Retail Portion
(White form, in case of physical application)
Minimum: 13 Shares*
Rs. 1,100 x 13 Shares= Rs. 14,300
Maximum: 169 Shares
Rs. 1,100 x 169 Shares= Rs. 1,85,900
In case Eligible HDFC Shareholders apply for Shares under both the HDFC Shareholders Reservation Portion and also in the non-reserved portion in excess of 169 Shares, their applications in both the categories will be treated as multiple applications and will be liable to be rejected.
* application can be made in the multiples of 13 Shares thereafter.
Please also note that Bids by Eligible HDFC Shareholders in the HDFC Shareholders Reservation Portion as well as in the Retail Portion shall not be treated as multiple Bids. However, Bids by a person in the HDFC Shareholders Reservation Portion as well as in the Non-Institutional Portion (generally referred as HNI portion) shall be treated as multiple Bids and therefore liable to be rejected.
Please note that you can either make an application electronically or through the physical Bid-cum-Application form. Electronic Bid-cum-Application forms will be available for downloading on the websites of the stock exchanges at least one day prior to the Bid/Issue Opening Date.
The physical Bid-cum-Application forms are available with the Designated Intermediaries (including the Book Running Lead Managers) at the Bidding Centres (list attached) and at the Registered Office of HDFC AMC and the Corporation. The duly filled and signed physical Bid cum Application forms can be submitted at the various Bidding Centres as listed in the said Application forms.
Bids by Eligible HDFC Shareholders not having a valid Client ID (demat account) with an authorised Depository Participant, DP ID and valid PAN will be rejected. Further, the determination of whether a Bidder is an Eligible HDFC Shareholder shall be made solely on the basis of the information provided by such Bidder in the Bid-cum-Application form and the relevant information, in this regard, available with the Corporation in its records and in accordance with the terms of the Red Herring Prospectus. Please note that in either of the above cases neither the Corporation nor HDFC AMC would be held responsible for any rejection.
Please note that in case of joint Bids, the sole/First Bidder should be an Eligible HDFC Shareholder.
We request you to kindly refer to the Red Herring Prospectus and ASBA forms (available on the website of the Corporation and on the website of SEBI), for further details.
Please note that this communication is neither a solicitation to participate in the Offer, nor does it assure any allocation of shares (either partial or complete) against applications in the Offer. All investment decisions should only be made based on the information contained in the Red Herring Prospectus.
Thank You,
Yours faithfully,
For Housing Development Finance Corporation Limited
Sd/-
Zerodha (Trading & Demat Account)
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