Engineers India FPO Basis of Allotment

ENGINEERS INDIA LIMITED

Engineers India Limited ('EIL' or the 'Company') was incorporated in New Delhi on March 15,1965 under the Companies Act, 1956, as a private limited company under the name 'Engineers India Private Limited'. Presently the name of the Company is 'Engineers India Limited'
Registered and Corporate Office: Engineers India Bhawan, 1, Bhikaiji Cama Place, New Delhi 110 066, India.
Telephone:+91 11 2676 2121; Facsimile: +91 11 2619 1690; Website:www.engineersindia.com
Company Secretary and Compliance Officer: Dr. R. Soundararajan; E-mail: company.secretary@eil.co.in

FURTHER PUBLIC OFFER OF 33,693,660 EQUITY SHARES OF Rs. 5 EACH (THE 'EQUITY SHARES') OF ENGINEERS INDIA LIMITED THROUGH AN OFFER FOR SALE BY THE PRESIDENT OF INDIA, ACTING THROUGH THE MINISTRY OF PETROLEUM AND NATURAL GAS, GOVERNMENT OF INDIA (THE 'SELLING SHAREHOLDER') FOR CASH AT PRICE OF Rs. 290* AGGREGATING Rs. 9,596.54# MILLION (THE 'OFFER'). THE OFFER COMPRISES A NET OFFER TO THE PUBLIC OF 32,961,660 EQUITY SHAPES (THE 'NET OFFER') AND A RESERVATION OF 712,000 EQUITY SHARES FOR SUBSCRIPTION BY ELIGIBLE EMPLOYEES (THE 'EMPLOYEE RESERVATION PORTION'). THE OFFER SHALL CONSTITUTE 10% OF THE POST OFFER PAID-UP EQUITY SHARE CAPITAL OF THE COMPANY AND THE NET OFFER SHALL CONSTITUTE 9.78% OF THE POST OFFER PAID-UP EQUITY SHARE CAPITAL OF THE COMPANY

* Based on the Retail and Employee Discount, the Offer Price for both the Retail Individual Bidders and Eligible Employees is Rs. 275.50 per Equity Share.

# Amount computed based on the actual allocation done for different categories of investors as per the basis of allotment approved by BSE.

Bid Opened On: For all bidders: Tuesday, July 27,2010. Bid Closed On: For QIB Bidders: Thursday, July 29,2010. For retail and non-institutional bidders (including eligible employees bidding in the employee reservation portion: Friday, July 30,2010.

THE FACE VALUE PER EQUITY SHARE IS RS. 5/-. THE OFFER PRICE PER EQUITY SHARE IS RS. 290/- AND IT IS 58 TIMES THE FACE VALUE.

All terms used herein and not specifically defined shall have the same meaning as ascribed to such terms under the Prospectus dated August 5,2010 (the 'Prospectus') with the Registrar of Companies, National Capital Territory of Delhi and Haryana.

This Offer was made through the 100% Book Building Process wherein up to 50% of the Net Offer was made available for allocation on proportionate basis to Qualified Institutional Buyers ('QIBs' and such portion, 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 from them at or above the Offer Price. Further, not less than 15% of the Net Offer was available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer was available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received from them at or above the Offer Price. Further, 712,000 Equity Shares was available for allocation on a proportionate basis to the Eligible Employees, subject to valid Bids being received from them at or above the Offer Price.

The Offer received 169,359 applications for 449,940,460 Equity Shares (including applications received through ASBA) resulting in 13.35 times subscription. The details of the applications received in the Offer from QIBs, Non-Institutional Bidders, Retail Individual Bidders and Eligible Employee 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 Bombay Stock Exchange Limited ('BSE') on 9th August, 2010.

A. Employees (After Technical Rejections)

The Basis of Allocation to the Eligible Employees of the Company, who have bid at cut-off or at the Offer Price of Rs. 290 per Equity Share was finalized in consultation with the BSE. 5% discount on the Offer price was given to the Eligible Employees and hence the Offer Price for this category was Rs.275.50 per Equity Share. This category has been subscribed to the extent of 0.54 times. The total number of Equity Shares reserved in this category is 712,000. The under subscribed portion of 327,660 Equity Shares have been spilled over to QIBs (163,830 Equfty Shares), Non-Institutional Bidders (49,149 Equity Shares) and Retail Individual Bidders (114,681 Equity Shares). 3,84,340 Equity Shares were allocated on a full and firm basis to 1529 valid applicants under this category

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. 290 per Equity Share, was finalized in consultation with the BSE (5% discount on the Offer price was given to the Retail Individual Bidders and hence the Offer Price for this category was Rs. 275.50 per Equity Share). This category has been over subscribed to the extent of 2.86 times. 11,658,262 Equity Shares have been allotted to 145,773 successful applicants. The spill over portion from Eligible Employee category was to the extent of 114,681 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 Bidders, who have bid at the Offer Price of Rs. 290 per Equity Share, was finalized in consultation with the BSE. This category has been oversubscribed to the extent of 5.59 times. The total number of Equity Shares allotted in this category is 4,996,398 to 549 successful applicants. The spill over portion from Eligible Employee category was to the extent of 49,149 Equity Shares. The category-wise details of the Basis of Allotment are (Sample) under:

D. Allocation to QIBs

Allocation to QIBs has been done on a proportionate basis in consultation with the BSE. As per the SEBI Regulations, Mutual Funds were initially allocated 5% of the total Equity Shares available (832,734 Equity Shares), including spill over from the Eligible Employee category to the extent of 8,192 Equity Shares and other QIBs were allocated the remaining available Equity Shares (15,821,926 Equity Shares) on proportionate basis, including spill over from the Eligible Employee category to the extent of 155,638 Equity Shares

The FPO Committee of the Company at its Meeting held at New Delhi on 10th August, 2010 has taken on record the 'Basis of Allocation' of Equity Shares approved by the BSE.

The dispatch of allotment intimation cum refund orders including electronic transfers to the Bidders as registered with the Depositories have been completed on August 11,2010. In case the same is not received within 10 days, Bidders may contact the Registrar to the Offer at the address given below. The Refund Orders have been over-printed with the Bank Account details as registered, if any, with the Depositories. The Equity Shares Allotted to successful applicants have been credited on August 11,2010 to their beneficiary accounts subject to validation of the account details with the Depositories concerned. The trading in the Equity Shares allotted pursuant to this Offer will commence w.e.f   Thursday, August 12,2010 on the Bombay Stock Exchange Limited and National Stock Exchange of India Limited.

INVESTORS PLEASE NOTE

These details of the allocation made would be hosted on the website of Registrar to the Offer, Link Intime India Private Limited at Website: www.linkintime.co.in

This material is not an offer of securities for sale in the United States or elsewhere. The Equity Shares of the Company are not being registered under the U.S. Securities Act of 1933, as amended (the 'U.S. Securities Act'), or any U.S. state securities laws, and may not be offered or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. There will be no public offering of the Equity Shares of the Company in the United States. This material may not be published or distributed in the United States.

All future correspondence in this regard may kindly be addressed to the Registrar 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:

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