Macpower CNC Machines IPO Basis of Allotment

MACPOWER CNC MACHINES LIMITED

Our company was incorporated as Macpower CNC Machines Private Limited under the provision of the companies Act, 1956 vide certificate of incorporation dated December 31,2003 issued by RoC Gujrat Dadra and Nagar Havelli bearing Corporate Identification Number U30009GJ2003PTC043419. Consequently, it was converted into a public limited company pursuant to shareholders resolution passed at Extra-ordinary General Meeting of our Company held on November 03,2017 and the name of our Company was changed to Macpower CNC Machines Limited and a fresh certificate of incorporation consequent upon Conversion of Private Company to Public Limited dated November 16,2017 was issued by Registrar of Companies, Gujarat, Ahmedabad. The Corporate Identification Number of our Company is U30009GJ2003PLC043419.For further details of Incorporation, Change of Name and Registered Office of our company, please refer to chapter titled 'General Information' and 'Our History and Certain Other Corporate Matters' beginning on page 54 and page 134 of the Prospectus.

Registered Office: Plot No.2234, Nr. Krnati Gate, GIDC Metoda, Tal Lodhika Dist Rajkot-360007,Gujarat, India
Tel No.: 02827-287930; Fax No.: 02827 287933; E-mail: info@macpowercnc.com; Website: www.macpowercnc.com
Corporate Identification Number: U30009GJ2003PLC043419; Contact Person: Ekta Shukla, Company Secretary and Compliance Officer

Risks to Investors:

I. As on date of the Prospectus, the average cost of acquisition per Equity Share by our Promoters viz. Rupesh mehta is and Nikesh mehta is Rs. 4.49 and Rs.3.84 respectively.

II. This being the first public Issue of our Company, there has been no formal market for the Equity Shares. The face value of the Equity Shares is Rs. 10 each. The Floor Price is 12.6 times the face value and the Cap Price is 14 times the face value. The Issue Price (determined and justified by our Company in consultation with the BRLM as stated in 'Basisfor Issue Price' on page 87 of the Prospectus should not be taken to be indicative of the market price of the Equity Shares after the Equity Shares are listed. No assurance can be given regarding an active or sustained trading in the Equity Shares or regarding the price at which the Equity Shares will be traded after listing.

All Investors have participated in this Issue through ASBA process. For details in this regards, specific attention is invited to chapter 'Issue Procedure' on page 223 of the Prospectus.

In terms of Rule 19(2) (b)(i) of the Securities Contracts (Regulation) Rules, 1957, as amended (the 'SCRR') the Issue is being made for at least 25% of the post-Issue paid-up Equity Share capital of our Company wherein 49.96% of the Net Issue was available for allocation on a proportionate basis to QIBs, provided that our Company, in consultation with the BRLM allocated upto 58.04% of the QIB Portion to Anchor Investors on a discretionary basis after adjusting lot size. One-third of the Anchor Investor Portion was reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price. In the event of under-subscription in the Anchor Investor Portion, the remaining Equity Shares was added to the QIB Portion. 5% of the QIB Portion (excluding the Anchor Investor Portion) was available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the QIB Portion (excluding Anchor Investor Portion) was available for allocation on a proportionate basis to all QIB Bidders, including Mutual Funds, subject to valid Bids being received at or above the Issue Price. In the event the aggregate demand from Mutual Funds is less than as specified above, the balance Equity Shares available for Allotment in the Mutual Fund Portion will be added to the QIB Portion and allocated proportionately to the QIB Bidders (other than Anchor Investors) in proportion to their Bids. Further not less than 15% of the Net Issue was available for allocation on a proportionate basis to Non Institutional Bidders and Not less than 35% of the Net Issue was available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Issue Price. For further details, please refer to the chapter titled 'Issue Procedure' on page 223 of Prospectus.

The Equity Shares of our Company issued through the Prospectus are proposed to be listed on the EMERGE Platform of National Stock Exchange of India Limited ('NSE EMERGE'), in terms of the Chapter XB of the SEBI (ICDR) Regulations, 2009 as amended from time to time. Our Company has received an approval letter dated February 22,2018 from NSE EMERGE for using its name in the Issue document for listing of our shares on the EMERGE Platform of National Stock Exchange of India Limited. For the purpose of this Issue, EMERGE Platform of the National Stock Exchange of India Limited shall be the Designated Stock Exchange.

SUBSCRIPTION DETAILS

The Issue has received 6,328 applications for 93,66,000 Equity shares (Before Technical Rejections, Multiple Rejections, bids not banked and invalid duplicate bids) including Market Maker Application of 1,53,000 Equity Shares. The issue was subscribed to the extent of 4.92 times as per the application data (excluding Anchor Investor Portion and after removing multiple and duplicate bids). After removing multiple and duplicate bids and technical rejections cases, the issue was subscribed 4.42 times.
The details of application received (Before Technical Rejection and Multiple Rejections but after bids not banked and invalid duplicate bids)

Final Demand

ALLOCATION: The Basis of Allotment was finalized in consultation with the Designated Stock Exchange - EMERGE Platform of the National Stock Exchange of India Limited on December20,2017

A. Allocation to Market Maker (After Technical Rejections and Multiple Rejections): The Basis of Allotment to the Market Maker, at the issue price of Rs. 140/- per Equity Share, was finalized in consultation with National Stock Exchange of India Limited. The category was subscribed by 1.00 times. The total number of shares allotted in this category is 1,53,000 Equity shares in full out of reserved portion of 1,53,000 Equity Shares.

B. Allocation to Retail Individual Investors (After Technical Rejections and Multiple Rejections): The Basis of Allotment to the Retail Individual Investors, at the issue price of Rs. 140/- per Equity Share, was finalized in consultation with National Stock Exchange of India Limited. The category was subscribed by 6.91 times. Total number of shares allotted in this category is 8,62,000 Equity Shares. The category wise basis of allotment is as under:

C. Allocation to Non Institutional Investor (After Technical Rejection and Multiple Rejections): The Basis of Allotment to Non Institutional Investors, at the issue price of Rs. 140/- per Equity Share, was finalized in consultation with National Stock Exchange of India Limited. The category was subscribed by 4.21 times. Total number of shares allotted in this category is 3,70,000 Equity Shares. The category wise basis of allotment is as under:

D. Allocation to Qualified Institutional Investor (Excluding Anchor Investors and After Technical Rejection and multiple rejections): Qualified Institutional Investor (Excluding Anchor Investors), at the issue price of Rs. 140/- per Equity Share, was finalized in consultation with National Stock Exchange of India Limited. The category was subscribed by 1.43 times. As per the SEBI regulations, Mutual Funds were allotted 5% of the Equity Shares of QIB Category (excluding anchor investors) available i.e. 25,000 Equity Shares and other QIBs and unsatisfied demand from Mutual Funds were allotted the remaining available Equity Shares i.e. 4,91,000 Equity Shares on a proportionate basis. Total number of shares allotted in this category is 5,16,000 Equity Shares, which were allotted to 6 successful QIB bidders.
The category-wise details of the Basis of Allotment are as under:

E. Allocation to Anchor Investors: Our Company in consultation with the BRLM have allocated 7,14,000 Equity Shares to 1 Anchor Investors (through 1 application) at the Anchor Investor Issue Price of Rs. 140/- per Equity Share in accordance with SEBI ICDR Regulations. This represents 56.80% of the QIB Portion after adjusting Lot size:

The Board of Directors of the Company at its meeting held on March 20,2018 has taken on record the Basis of Allocation of Equity Shares approved by the Designated Stock Exchange viz. National Stock Exchange of India Limited and authorized corporate action for allotment of shares in dematerialized form to various successful applicants. The Allotment cum refund advice and/or notices will be dispatched to the address of the Applicants as registered with the depositories. Further, the instructions to SCSBs have been issued on March 20,2018 for unblocking of funds. 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. In case the same is not received within prescribed time, Investors may contact the registrar to the Issue at the address given below. The Company is taking steps to get the Equity Shares admitted for trading on the EMERGE Platform of the National Stock Exchange of India Limited within six working days from the date of the closure of the Issue. The trading is proposed to commence on or before March 22,2018 subject to receipt of listing and trading approvals from NSE.

INVESTORS PLEASE NOTE

The details of the allotment made will be hosted on the website of the Registrar to the Issue at www.linklntime.co.in. All future correspondence in this regard may kindly be addressed to the Registrar quoting full name of the First/ Sole applicant, serial number of the Application Form, number of shares applied for and Bank Branch where the application had been lodged and payment details at the address of the Registrar given below:

LINK INTIME INDIA PRIVATE LIMITED
C-101, 1st Floor, 247 Park, L.B.S. Marg, Vikhroli (West), 400083, Maharashtra, India;
Tel: +91 22 49186200; Fax: +91 22 49186195
Email: macpower.ipo@linkintime.co.in; Website: www.linkintime.co.in
Investor Grievance Id: macpower.ipo@linkintime.co.in
Contact Person: Shanti Gopalkrishnan; SEBI Registration No.: INR000004058