Exxaro Tiles IPO Basis of Allotment

Our Company was incorporated at Himmatnagar as 'Ricasil Ceramic Industries Private Limited' on January 2, 2008 as a private and joint stock company under Part IX of the Companies Act, 1956, with the Assistant Registrar of Companies, Gujarat, Dadra and Nagar Haveli pursuant to conversion of M/s. Ricasil Ceramic Industries, a partnership firm. The partnership firm was originally formed by a partnership deed dated May 14, 2007 read with supplementary partnership deeds dated December 7, 2007 and December 20, 2007, respectively. This firm was thereafter converted into a private company pursuant to a certificate of incorporation dated January 2, 2008 in the name of "Ricasil Ceramic Industries Private Limited" Pursuant to a special resolution passed by the shareholders of our Company at the extra- Ordinary general meeting held on February 12, 2018, the name of our Company was changed to Exxaro Tiles Private Limited. Thereafter, our Company was converted into a public limited company pursuant to a special resolution passed by Shareholders of our Company at the Extraordinary General Meeting held on December 9, 2020. The name of our Company was changed to its present name 'Exxaro Tiles Limited', pursuant to a fresh Certificate of Incorporation issued by the Registrar of Com panes, Ahmedabad on December 28, 2020. For details of changes in the Registered Office, see 'History and Certain Corporate Matters' - Changes in the Registered Office on page 141 of the Prospectus.

Our Company has filed the Prospectus with the RoC, and the Equity Shares are proposed :o be listed on the National Stock Exchange of India Limited ("NSE") and BSE Limited ("BSE") and trading is expected to commence on August 16, 2021.

INITIAL PUBLIC OFFERING OF 13,424,000 EQUITY SHARES OF FACE VALUE OF Rs. 10 EACH ("EQUITY SHARES") OF OUR COMPANY FOR CASH AT A PRICE OF Rs 120 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF Rs 110 PER EQUITY SHARE) ("OFFER PRICE") AGGREGATING TO Rs 1,607.65* MILLION, COMPRISING A FRESH ISSUE OF 11,186,000 EQUITY SHARES AGGREGATING UP TO Rs 1,339.09* MILLION BY OUR COMPANY ("FRESH ISSUE") AND AN OFFER FOR SALE OF 2,238,000 EQUITY SHARES AGGREGATING TO Rs 268.56* MILLION BY MR. DIXITKUMAR PATEL ("SELLING SHAREHOLDER") ("OFFER FOR SALE", AND TOGETHER WITH THE FRESH ISSUE, "OFFER"). THE OFFER WILL CONSTITUTE 30% OF OUR POSTOFFER PAID-UP EQUITY SHARE CAPITAL. THIS OFFER INCLUDES A RESERVATION OF 268,500* EQUITY SHARES AGGREGATING TO Rs 28.99* MILLION (CONSTITUTING 0.60% OF THE POST-OFFER PAID-UP EQUITY SHARE CAPITAL OF OUR COMPANY) FOR PURCHASE BY ELIGIBLE EMPLOYEES (THE "EMPLOYEE RESERVATION PORTION"). THE OFFER LESS THE EMPLOYEE RESERVATION PORTION IS HEREINAFTER REFERRED TO AS THE "NET OFFER". THE OFFER AND THE NET OFFER CONSTITUTES 30% AND 29.40%, RESPECTIVELY, OF OUR POST-OFFER PAID-UP EQUITY SHARE CAPITAL OF OUR COMPANY. OUR COMPANY AND THE SELLING SHAREHOLDER IN CONSULTATION WITH THE BOOK RUNNING LEAD MANAGER, OFFERED A DISCOUNT OF Rs 12 OF THE OFFER PRICE TO ELIGIBLE EMPLOYEES BIDDING IN THE EMPLOYEE RESERVATION PORTION ("EMPLOYEE DISCOUNT").

*Prior to finalization of Basis of Allotment.

The Offer was made through the Book Building Process, in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended ("SCRR") read with Regulation 31 of the SEBI ICDR Regulations and in compliance with Regulation 6(1) of the SEBI ICDR Regulations, wherein not more than 25% of the Net Offer was allocated on a proportionate basis to Qualified Institutional Buyers ("QIBs", the "QIB Portion"). Our Company and the Selling Shareholder, in consultation with the Book Running Lead Manager, allocated up to 60% of the QIB Portion to Anchor Investors on a discretionary basis in accordance with the SEBI ICDR Regulations ("Anchor Investor Portion"), of which one-third was reserved for domestic Mutual Funds, subject to valid Bids having been received from domestic Mutual Funds at or above the Anchor Investor Allocation Price. Further, 5% of the Net QIB Portion was available for allocation on a proportionate basis only to Mutual Funds, and the remainder of the Net QIB Portion was available for allocation on a proportionate basis to all QIBs, including Mutual Funds, subject to valid Bids having been received at or above the Offer Price. Further, not less than 35% of the Net Offer was available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 40% of the Net Offer was available for allocation to Retail Individual Bidders in accordance with the SEBI ICDR Regulations, subject to valid Bids having been received at or above the Offer Price. Further, Equity Shares were allocated on a proportionate basis to Eligible Employees applying under the Employee Reservation Portion, subject to valid Bids having been received from them at or above the Offer Price. All potential Bidders (except Anchor Investors) were required to mandatorily utilise the Application Supported by Blocked Amount ("ASBA") process providing details of their respective ASBA accounts, and UPI ID in case of RIBs using the UPI Mechanism, if applicable, in which the corresponding Bid Amounts were blocked by the SCSBs or by the Sponsor Bank under the UPI Mechanism, as the case may be, to the extent of respective Bid Amounts. Anchor Investors were not permitted to participate in the Offer through the ASBA process. For details, see "Offer Procedure" beginning on page 221 of the Prospectus.

The Offer (excluding the Anchor Investor Portion) received 1,183,872 applications for 220,118,500 Equity Shares resulting in 19.22 times subscription. The details of the applications received in the Offer from various categories are as under (before technical rejections):

Final Demand

A summary of the final demand as per BSE and NSE as on the Bid/Offer Closing Date at different Bid prices is as under:

The Basis of Allotment was finalized in consultation with the Designated Stock Exchange, being BSE on August 11, 2021.

A. Allotment to Retail Individual Investors (After Technical Rejections)

The Basis of Allotment to the Retail Individual Investors, who have bid at cut-off price or at the Offer Price of Rs 120 per Equity, was finalized in consultation with BSE. This category has been subscribed to the extent of 32.1696 times. The total number of Equity Shares Allotted in Retail Individual Bidders category is 5,267,900* Equity Shares to 42,143 successful applicants. The category- wise details of the Basis of Allotment are as under:

Includes under subscribed portion of 5,700 Equity Shares spitted over from Employee Category.

B. Allotment to Non Institutional Investors (After Technical Rejections)

The Basis of Allotment to the Non-Institutional Investors, who have bid at the Offer Price of Rs 120 per Equity Share or above, was finalized in consultation with BSE. This category has been subscribed to the extent of 4.5562 times. The total number of Equity Shares allotted in this category is 4,609,413* Equity Shares to 1,717 successful applicants. The category-wise details of the Basis of Allotment are as under: (Sample)

*Includes under subscribed portion of 4,988 Equity Shares spilled over from Employee Category.

C. Allotment to Employee Reservation (After Technical Rejections)

The Basis of Allotment to the Eligible Employees, who have bid at the Offer Price of Rs 120 per Equity Share or above, was finalized in consultation with BSE. This category has been subscribed to the extent of 0.9469 times. The total number of Equity Shares allotted in this category is 254,250* Equity Shares to 115 successful applicants. The category-wise details of the Basis of Allotment are as under:

*The under subscribed portion of 14,250 Equity Shares in the Employee Category has been spilled over to QIBs, Non Institutional Investors and Retail Individual Investors in the ratio of 25:35:40 i.e. 3,562 Equity Shares for QIBs, 4,988 Equity Shares for Non Institutional Investors and 5,700 Equity Shares for Retail Individual Investors.

D. Allotment to QIBs (Excluding Anchor Investors) (After Technical Rejections)

Allotment to QIBs, who have bid at the Offer Price of Rs 120 per Equity Share or above, has been done on a proportionate basis in consultation with BSE. This category has been subscribed to the extent of 17.5879 times of Net QIB portion. No applications were received from Mutual Funds. Hence, entire mutual funds portion was added back to balance QIB Category. The total number of Equity Shares allotted in the QIB category is 1,319,112' Equity Shares, which were allotted to 16 successful Applicants. includes under subscribed portion of 3,562 Equity Shares spilled over from Employee Category.

E. Allotment to Anchor Investors (After Technical Rejections)

The Company and the Selling Shareholder, in consultation with the BRLM, have allocated 1,973,325 Equity Shares to 2 Anchor Investors through 3 Applications (including 1 Mutual Fund through 2 schemes) at the Anchor Investor Offer Price of Rs. 120 per Equity Share in accordance with the SEBI Regulations. This represents 60% of the QIB Portion.

The Board of our Directors of our Company at its meeting held on August 12. 2021 has taken on record the basis of allotment of Equity Shares approved by the Designated Stock Exchange, being BSE and has allotted the Equity Shares to various successful applicants. The Allotment Advice Cum Refund Intimation will be dispatched to the address of the investors as registered with the depositories. Further, instructions to the SCSBs have been issued for unblocking of funds and transfer to the Public Offer Account on August 11, 2021 and the payments to non-syndicate brokers have been issued on August 12, 2021. In case the same is not received within ten days, investors may contact the Registrar to the Offer at the address given below. The Equity Shares allotted to the successful allottees have been uploaded on August 12, 2021 for credit into the respective beneficiary accounts subject to validation of the account details with the depositories concerned. The Company is in the process of obtaining the listing and trading approval from BSE and NSE and trading is expected to commence on or about August 16, 2021.

Note: All capitalized terms used and not defined herein shall have the respective meanings assigned to them in the Prospectus.

INVESTORS PLEASE NOTE

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

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 ASBA form, number of Equity Shares bid for, name of the Member of the Syndicate, place where the bid was submitted and payment details at the address given below

Link Intime India Private Limited

C-101, 1st Floor, 247 Park, Lai Bahadur Shastri Marg, Vikhroli (West) Mumbai, Maharashtra 400 083 Tel; +91 22 4918 6200; Fax: +91 22 4918 6195; Email: exxaro.ipo@linkintime.co.in;

Investor Grievance Email: exxaro.ipo@linkintime.co.in; Website: www.linkintime.co.in Contact Person: Shanti Gopalkrishnan;

SEBI Registration No.: INR000004058

THE LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARES ON LISTING OR THE BUSINESS PROSPECTS OF EXXARO TILES LIMITED.

EXXARO TILES LIMITED is has filed the Prospectus with the RoC and thereafter with SEBI and the Stock Exchanges. The Prospectus is available on the website of the SEBI at www.sebi.gov.in as well as on the websites of the Book Running Lead Manager: i.e. Pantomath Capital Advisors Private Limited at www.pantomathgroup.com and Stock exchanges at www.nseindia.com and www.bseindia.com. Investors should note that investment in equity shares involves a high degree of risk and for details relating to such risks, see "Risk Factors" on page 22 of the Prospectus.

The Equity Shares of the Issuer Company offered in the offer have not been and will not be registered under United States Securities Act, of 1933, as amended ("U.S. Securities Act") or any state securities laws in United States and may not be offered or sold within the United States or to, of the account of Benefit of "U.S. persons" (as defined in Regulation S), 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 not and is not currently intended to be any public offering of securities in the United States. Accordingly, the Equity Shares are only being offered and sold outside the United States in reliance on Regulation S of the U.S Securities Act and the applicable laws of the jurisdiction where these offer and sales occur.