Gayatri IPO Basis of Allotment

(Incorporated as Private Limited Company on September 15, 1989, under the Companies Act, 1956 as Andhra Coastal Construction Private Limited. The name of the company was changed to Gayatri Projects Private Limited on 31st March, 1994 and it was converted into a public limited company on 2nd December, 1994)
Regd. Office: G-2, Mangal Adesh Society, 4th Road, T P S III, Santacruz (East), Mumbai 400 055, Tel:+91-22- 5600 5785, Fax:+91-22-2617 6429 Corporate Office: B-1, TSR Towers, 6-3-1090, Rajbhavan Road, Somajiguda, Hyderabad 500 082. Tel: +91-40-2331 3330, 2331 4284, Fax: +91-40-2339 8435. email: publicissue@gayatri.co.in Website: www.gayatri.co.in

BASIS OF ALLOCATION

PUBLIC ISSUE OF 29,00,000 EQUITY SHARES OF RS. 10 EACH FOR CASH AT A PRICE OF RS. 295 PER EQUITY SHARE AGGREGATING RS. 8555 LAKHS, CONSISTING OF OFFER FOR SALE OF 19,00,000 EQUITY SHARES BY VIDEOCON APPLIANCES LIMITED & VIDEOCON INDUSTRIES LIMITED (TOGETHER REFERRED AS 'THE SELLING SHAREHOLDERS') AND A FRESH ISSUE OF 10,00,000 EQUITY SHARES BY GAYATRI PROJECTS LIMITED ('GAYATRI' OR 'COMPANY' OR 'ISSUER'). THE OFFER FOR SALE AND THE FRESH ISSUE ARE JOINTLY REFERRED TO HEREIN AS THE OFFER ('THE OFFER').
1,00,000 EQUITY SHARES OF RS. 10 EACH FOR CASH AT A PRICE OF RS. 295 PER EQUITY SHARE AGGREGATING RS. 295 LAKHS WERE RESERVED IN THE OFFER FOR SUBSCRIPTION BY ELIGIBLE EMPLOYEES (THE 'EMPLOYEE RESERVATION PORTION'), AND THE OFFER OF EQUITY SHARES OTHER THAN THE EMPLOYEE RESERVATION PORTION, IS THE 'NET OFFER'. THE OFFER SHALL CONSTITUTE 29% OF THE FULLY DILUTED POST OFFER PAID-UP CAPITAL OF THE COMPANY
THE FACE VALUE PER EQUITY SHARE IS RS.10/-. THE ISSUE PRICE PER EQUITY SHARE IS RS. 295/-AND THE ISSUE PRICE IS 29.5 TIMES THE FACE VALUE.

The Offer was made through a 100% Book Building Process wherein not more than 50% of the Net Offer to Public was available for allocation on a proportionate basis to Qualified Institutional Buyers ('QIBs'). 5% of the QIB Portion was available for allocation on a proportionate basis to Mutual Funds only. Further, not less than 15% of the Net Offer to Public was available for allocation on a proportionate basis to Non Institutional Bidders and not less than 35% of the Net Offer to Public was available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid bids being received at or above the Offer Price.

The Issue received 25,199 applications for 1,64,87,698 equity shares resulting in 5.68 times subscription. The details of the applications received in the Issue from Qualified Institutional Bidders, Non-Institutional Bidders, Retail Individual Bidders and Employees of the Company categories are as under: (Before technical resections)

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

The Basis of Allocation was finalized in consultation with Bombay Stock Exchange Limited ('BSE') on 10th October, 2006.

A. Allocation to Employees under Employee Reservation Portlon(After Technical Rejections)
The Basis of Allocation to the Employees, who have bid at cut-off or at the Offer Price of Rs.295/- per Equity Share, was finalized in consultation with BSE. The category was subscribed 1.00 times.. The total number of shares allotted in this category is 1,00,000 Equity Shares. The category-wise details of the Basis of Allocation in this category are as under:

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.295/- per Equity Share, was finalized in consultation with BSE. The category was over subscribed 3.97 times. The total number of shares allotted in this category is 9,80,000 Equity Shares. The category-wise details of the Basis of Allocation in this category are as under:

C. Allocation to Non Institutional Investors (After Technical Rejections)
The Basis of Allocation to the Non institutional, who have bid at the Offer Price of Rs.295/- per Equity Share, was finalized in consultation with BSE. The category was subscribed 2.21 times. The total number of shares allotted in this category is 4,20,000 Equity Shares. A sample of category-wise details of the Basis of Allocation in this category are as under:

D.Allocation to QIBs
Allocation to QIBs has been done on a proportionate basis in consultation with BSE. As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of shares available (70,000) and other QIBs and unsatisfied demands of Mutual Funds were allotted the remaining available shares (13,30,000) on proportionate basis. Total number of shares allotted in this category is 14,00,000 Equity Shares

The Board of Directors of the company at its Meeting held at Hyderabad on 11 th October, 2006 has approved the basis of allocation of shares of the Issue and has allotted the shares to various successful applicants.

The physical refund warrants, intimation regarding refunds through electronic modes (ECS, RTGS, NEFT or Direct Credit) and allotment advice have been dispatched to the address of the investors as registered with the depositories on October 12, 2006. 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 Equity Shares allocated to successful applicants are being credited to their beneficiary accounts subject to validation of the account details with the depositories concerned on October 12, 2006. The listing application has been filed with the Bombay Stock Exchange Limited on October 13, 2006 and the company is taking steps to complete all formalities for listing and commencement of trading of Equity Shares on The Bombay Stock Exchange Limited within seven working days from the date of approval of the basis of allocation.

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 of the Member of the Syndicate and Place where the bid was submitted and payment details at the address given below:

KARVY KARVY COMPUTERSHARE PRIVATE LIMITED
Unit: Gayatri Projects, Karvy House, 46, Avenue 4, Street No.1, Banjara Hills,
Hyderabad -500034, Fax: 040-23420814
Email: gayatri.ipo@karvy.com and mailmanager@karvy.com

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