Kaushalya IPO Basis of Allotment

KAUSHALYA INFRASTRUCTURE DEVELOPMENT CORPORATION LIMITED

(TheCompany was originally incorporated on 4th June 1992 as R.M.S. Exim Private Limited with the Registrar of Companies, West Bengal, Kolkata under the Companies Act 1956. The name of the Company was changed to Kaushalya Infrastructure Development Corporation Private Limited and a fresh Certificate of Incorporation was obtained on 5th November 2001 from the Registrar of Companies, West Bengal, Kolkata. The Company was subsequently converted into a public limited company under section 44 of the Companies Act, 1956 and received a fresh certificate of incorporation on 7th February 2002 and the name of the Company was changed to Kaushalya Infrastructure Development Corporation Limited).

Registered Office: HB170, Sector III, Salt Lake Kolkata - 700106 India
Telephone: +91 33 2358 3694,2334 4166 Fax: +9133 2334 4148
Email: info@kaushalyainfrastructure.com Website: www.kaushalyainfrastructure.com
Contact Person /Compliance Officer: Mr A B Chakrabartty,Company Secretary

PUBLIC ISSUE OF 85,00,000 EQUITY SHARES OF Rs. 10 EACH ('EQUITY SHARES') FOR CASH AT A PRICE OF RS. 60/- PER EQUITY SHARE (INCLUDING SHARE PREMIUM OF RS. 50/- PER EQUITY SHARE) AGGREGATING RS. 5100 LAKHS. THE ISSUE COMPRISED A RESERVATION FOR ELIGIBLE EMPLOYEES OF UPTO 4,75,000 EQUITY SHARES OF RS. 10 EACH (THE 'EMPLOYEE RESERVATION PORTION') AND THE NET ISSUE TO THE PUBLIC OF 80,25,000 EQUITY SHARES OF RS.10/- EACH (THE 'NET ISSUE'). THE ISSUE CONSTITUTED 43.35% OF THE FULLY DILUTED POST-ISSUE CAPITAL OF THE COMPANY. THE NET ISSUE TO THE PUBLIC CONSTITUTED 40.93% OF THE FULLY DILUTED POST ISSUE PAID UP CAPITAL OF THE COMPANY

THE ISSUE PRICE OF THE EQUITY SHARES IS RS. 60/- PER EQUITY SHARE WHICH IS 6.0 TIMES THE FACE VALUE OF THE EQUITY SHARES

The Issue was made through the 100% Book Building Process wherein upto 50% of the Net Issue to the public was to be allocated on a proportionale basis to Qualified Institutional Buyers ('QIBs') (including 5% of the QIB portion that would be specifically reserved for Mutual Funds). Further, not less than 15% of the Net Issue was to be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% ol the Net Issue was to be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Issue Price.
The Issue opened for subscription on November 20,2007 and closed on November 23,2007. The Issue received 39115 applications for 5,00,13,800 Equity Shares resulting in 5.8840 times subscription. The details of the applications received in the Issue from QIBs, Non-Institutional Bidders, Retail Individual Bidders and Eligible Employee categories are as under: Before Technical & Multiple Rejections)

Final Demand
The final demand at different bid prices is as under:

The Basis of Allotment was finalised in consultation with the Designated Stock Exchange Bombay Stock Exchange Limited
('BSE') on Thursday 6,2007.
A) Allocation to Employees
The Basis of Allotment to the Employees in the Firm Allotment category, who bid at the cut-off price or at the Issue Price of Rs. 60 per Equity Share, was finalized in consultation with the BSE. The Company received 12 valid applications for 4,77,100 Equity Shares as against a Firm Allotment portion of 4,75,000 Equity Shares resulting in 1.004421 times subscription. The category wise details of the Basis of Allotment are given below

B) Allocation to Retail Investors
The Basis of Allotment to the Retail Individual Bidders, who bid at the cut-off price or at the Issue Price of Rs. 60 per Equity Share, was finalized in consultation with the BSE. The Company received 38,164 valid applications for 2,61,22,100 Equity Shares in this category resulting in 9.300258 times subscription. The total number of Equity Shares allotted in this category is 28,08,754. Thecategory wise details ol the Basis of Allotment are given below.

C) Allocation to Non-Institutional Investors
The Basis of Allotment to the Non Institutional Bidders, who bid at the cut-price or at the Issue price of Rs. 60 per Equity Share, was finilized in consultation with the BSE. The company received 90 valid applications for 1,16,15,300 equity shares in this category is 12,03,746. The category wise details of the Basis of Allotment are given below

D)Allocation to QIBs
AlkxatontoQIBs was dorfflonaproportcrate basis. As pertteSE Over From Mutual Funds and other unsatisfied demands is included in this category(200625 Equity Shares). So the Total Allotment done in this category is 40,12,500 Equity Snares.

The meeting held In Kolkata, on December 6,2007 approved the Basis of Allotment of Equity Shares In the Issue and recommended the allotment of Equity Shares to successful applicants.
The CAN-cum-Refund orders and ECS/RTGS/NEFT/Direct credit intimation and notices (wherever applicable) have been dispatched to the addresses of the Investors as registered with the depositories. In case the same are not received within ten days, investors may contact the Registrar to the Issue 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 shares allocated to the successful applicants are being credited to their beneficiary accounts subject to validation of the account details with the depositories concerned. The Company is taking steps to get the Equity Shares admitted for trading on the National Stock Exchange of India Limited and Bombay Stock Exchange Limited within seven working days from the date of approval of Basis of Allotment.

INVESTORSPLEASEHOTE

These details of the allocation will also be available on the website of the Regjstrart to the Issue, IntimeSpectrum Registry limited, at http://wvw.intimespectrum.com.
All future correspondence in this regard may kindly be addressed to the Registrar to the Issue quoting the full name of the First/Sole applicants, 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:

Intlme Spectrum Registry Limited
C-13, Pannalal Silk Mills Compound, LBS Marg, Bhandup (West), Mumbai 400078
Phone: (91-22) 2596 0320; Fax: (91 -22) 2596 0329 Email: kdcl.ipo@intimespectrum.com, Website:www.intimespectrum.com

THE LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARE ON LISTING OR THE BUSINESS PROSPECTS OF KAUSHALYA INFRASTRUCTURE DEVELOPMENT CORPORATION LIMITED