Chemcel Biotech IPO Basis of Allotment

CHEMCEL BIO-TECH LIMITED

(Incorporated on January 04, 2001 under the Companies Act. 1956 as "Chemcel Bio-tech Limited" vide certificate of Incorporation issued by the Registrar of Companies, Andhra Pradesh, having registration No. 01 -21888 and obtained certificate of commencement of business on October 27,2008)

Registered office: 16-130/12, JRD Tata Industrial Estate, Auto Nagar, Kanuru, Vijayawada 520007.
Tel: +91-0866-2540355,2544996, Fax: +91-0866-2545437,
Contact Person: - Shri Shaik Rahmatullah, Company Secretary & Compliance Officer
Website: www.chemcelbiotechltd.com, Email: complianceofficer@chemcelbiotechltd.com

ISSUE OF 1,54,00,000 EQUITY SHARES OF Rs. 10/- EACH AT A PRICE OF Rs.16/- PER EQUITY SHARE (INCLUDING A PREMIUM OF Rs. 6/- PER EQUITY SHARE) OF CHEMCEL BIOTECH LIMITED (HEREINAFTER REFERRED TO AS THE " OUR COMPANY" OR "ISSUER") FOR CASH AGGREGATING TO Rs. 2464 LAKHS ("ISSUE"). THE ISSUE COMPRISES OF CONTRIBUTION BY PROMOTERS OF 16,00,000 EQUITY SHARES OF Rs. 10/- EACH AT A PRICE OF Rs.16/- PER EQUITY SHARE FOR CASH AGGREGATING TO Rs. 256 LAKHS ("PROMOTER'S CONTRIBUTION PORTION"), 10,00,000 EQUITY SHARES OF Rs.10/- EACH RESERVED FOR ELIGIBLE EMPLOYEES OF OUR COMPANY ON COMPETITIVE BASIS AT A PRICE OF Rs.16/- AGGREGATING TO Rs.160 LAKHS (HEREINAFTER REFERRED TO AS EMPLOYEE RESERVATION PORTION) AND THE NET ISSUE TO THE PUBLIC OF 1,28,00,000 EQUITY SHARES OF Rs. 10/- EACH AT A PRICE OF Rs.16/- PER EQUITY SHARE FOR CASH AGGREGATING TO Rs. 2048 LAKHS ("NET ISSUE TO PUBLIC"). THE ISSUE PRICE IS 1.6 TIMES OF THE FACE VALUE OF EQUITY SHARE

The Board of Directors thank the Investing Public for their overwhelming response to the Public Issue which opened for subscription on September 06,2008 and closed on September 12,2008. The Company received 6726 gross applications for 240,76,620 equity shares of which valid applications were 6629 for 234,11,600 equity shares, Out of the total valid applications received 6478 applications were In Retail Category for 166,88,600 equity shares, 46 applications in the Non-Retail category for 67,90,000 equity shares and 5 applications In Employee Reservation Category for 32,900 shares

The Public Issue was over subscribed by 2.59 times in Retail Category, 1.06 times In Non-Retail Category. Overall the Public issue was over subscribed by 1.70 times.

The details of valid applications received In the Issue In Retail Individual Investors and Non-Retail Investor categories are as under(aftertechnical rejections):

In terms of prospectus dated August 29,2008, 10,00,000 shares have to be allotted to employee category. However due to under subscription in this category full and firm allotment has been made for 32900 shares in the employee category and the balance 9,67,100 shares have been added to the net issue to the Public .In terms of the Prospectus and SEBI guidelines a minimum of 50% of the net issue to the Public shall be available for allotment to Retail Individual Investors and balance of the net issue to the public shall be available for allotment to individual applicants other than Retail Individual Investors and other investor including Corporate Bodies/ Institutions irrespective of number of shares applied for. However, out of the total subscription, 70.96% were applied by Retail Investors and 29.04% were applied by Non-Retail investors. Hence the Basis of Allotment was drawn in the proportion of the subscription, I . e . 70.96% to be allotted to Retail investors and the balance, i.e. 29.04% to Non-Retail Investors. As required under the Listing Agreement, the Basis of Allotment has been approved by the Designated Stock Exchange i.e. Bombay Stock Exchange Limited on October 1,2008.

A) Allotment to Employees
The category was subscribed by 0.0329 times. The total number of shares allotted in this category is 32900 Equity Shares. All the applicants in this category have been given firm allotment

B)Allotment to Retail Investors
The total number of shares allotted in this category is 9769340 Equity Shares. (Including 206 excess shares due to rounding off).
The category-wise details of the Basis of Allotment are as under:

C) Allotment to Non Institutional Investors
The total number of shares allotted in this category is 3997966 Shares.All the applicants in this category have been given firm allotment on proportionate basis invest to the over-subscription ratio.

The Board of the Company, at its Meeting held at the Registered Office of the Company in Vijayawada on October 03,2008 has allotted the shares to various successful applicants on the basis of allotment approved by Bombay Stock Exchange Limited Refunds have been made through ECS, Direct credit and RTGS into the Bank Account of the applicants or Refund orders as the case may be to their address mentioned in the records maintained with the Depositories. In case the same is not received within ten days, applicants may contact the Registrar, at the address mentioned below. ECS Intimation Note and Refund Order have been over printed with the Bank Mandate details as registered, If any, with the Depositories. The Equity shares allotted to successful applicants have been credited to their beneficiary accounts. The company is taking steps to get the Equity Shares admitted for trading on Bombay Stock Exchange Limited within seven working days from the date of approval of the basis of allotment.

INVESTOR PLEASE NOTE

These details of the allotment made have been hosted on the website of Registrars to the Issue, Bigshare Services Private Limited at www.bigshareonline.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 Application form, DPID and Client ID, number of shares applied for, Bank Branch Name where the application was submitted and payment details at the address given below: