Prestige Estates IPO Basis of Allotment

Our Company commenced operations as a partnership firm constituted under the Indian Partnership Act, 1932 on April 1,1986 under the name and style of Prestige Estates and Properties with its registered office at No. 6, Commercial Street, Bangalore 560 001. The partners of the firm were the Late S. Razack, Irfan Razack, Rezwan Razack and Sameera Noaman. The name of the firm was changed to Prestige Estates Projects by a supplementary deed of partnership dated May 12, 1997. The firm was registered as a private limited company under Part IX of the Companies Act, 1956, on June 4,1997 with the name Prestige Estates Projects Private Limited and was allotted company identification number 08/22322/1997. All the business and property of the erstwhile partnership firm therefore became vested in our Company. Our Company was converted into a public limited company on November 10,2009 with the name Prestige Estates Projects Limited and received a fresh certificate of incorporation consequent upon change in status on November 10,2009 from the RoC.
Registered Office: The Falcon House, No. 1, Main Guard Cross Road, Bangalore 560 001, Karnataka, India.
Tel: (91 80) 2559 1080; Fax: (91 80) 2559 1945 Company Secretary and Compliance Officer: Lalitha Kini;
Website: www.prestigeconstructions.com; Email: investors@prestigeconstructions.com.

PROMOTERS: OUR COMPANY IS PROMOTED BY IRFAN RAZACK, REZWAN RAZACK AND NOAMAN RAZACK

BASIS OF ALLOTMENT

PUBLIC ISSUE OF 65,573,770 EQUITY SHARES OF RS. 10 EACH OF PRESTIGE ESTATES PROJECTS LIMITED (THE "COMPANY" OR THE "ISSUER") FOR CASH AT A PRICE OF RS. 183 PER EQUITY SHARE (INCLUDING A SHARE PREMIUM OF RS. 173 PER EQUITY SHARE) AGGREGATING TO RS. 12,000 MILLION (THE "ISSUE"). THE ISSUE COMPRISES A NET ISSUE TO THE PUBLIC OF 65,409,836 SHARES OF RS. 10 EACH (THE "NET ISSUE") AND A RESERVATION OF 163,934 EQUITY SHARES OF RS. 10 EACH FOR ELIGIBLE EMPLOYEES (THE "EMPLOYEE RESERVATION PORTION") AGGREGATING TO RS. 30 MILLION. THE NET ISSUE WILL AGGREGATE TO 65,409,836 EQUITY SHARES AMOUNTING TO RS. 11,970 MILLION. THE ISSUE WILL CONSTITUTE 19.99% OF THE FULLY DILUTED POST ISSUE PAID-UP CAPITAL OF THE COMPANY AND THE NET ISSUE WOULD CONSTITUTE 19.94% OF THE FULLY DILUTED POST ISSUE PAID-UP CAPITAL OF THE COMPANY.

BID/ISSUE OPENED ON OCTOBER 12,2010, CLOSED ON OCTOBER 14,2010*
* ANCHOR INVESTOR BIDDING PERIOD OPENED AND CLOSED ON OCTOBER 11,2010.

The Company has allotted 11,773,770 Equity Shares to Anchor Investors at Rs 183/- per Equity Share in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended.

THE EQUITY SHARES OF THE COMPANY ARE PROPOSED TO BE LISTED ON THE NATIONAL STOCK EXCHANGE OF INDIA LIMTED ("NSE") AND BOMBAY STOCK EXCHANGE LIMITED ("BSE") AND THE TRADING IS EXPECTED TO COMMENCE ON OR ABOUT OCTOBER 27,2010.

THE FACE VALUE PER EQUITY SHARE IS RS.10/-. THE ISSUE PRICE PER EQUITY SHARE IS RS. 183/- AND IT IS 18.3 TIMES THE FACE VALUE.

In terms of the proviso to Rule 19(2) (b) (ii) of the Securities Contracts (Regulation) Rules, 1957, as amended, this being an Issue for less than 25% of the post Issue paid-up equity capital, the Issue is being made through the 100% Book Building Process wherein at least 60% of the Net Issue will be allocated on a proportionate basis to Qualified Institutional Buyers ("QIBs"), ("QIB Portion"). Provided that our Company may allocate up to 30% of the QIB Portion, to Anchor Investors, on a discretionary basis ("Anchor Investor Portion"). For details, see "Issue Procedure" on page 502. Further 5% of the QIB Portion less Anchor Investor Portion shall be available for allocation on a proportionate basis to Mutual Funds only. The remainder shall be available for allocation on a proportionate basis to QIBs and Mutual Funds, subject to valid Bids being received from them at or above the Issue Price. If at least 60% of the Net Issue cannot be Allotted to QIBs, then the entire application money will be refunded forthwith. Further, not less than 10% of the Net Issue will be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 30% of the Net Issue will 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 received 7,480 applications for 143,642,760 equity shares resulting in 2.1906 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional, Retail Individual. Employee. Anchor Investor categories are as under: (Before technical rejections)

Final Demand
A summary of the final demand as per BSE and NSE as on the Bid/Issue Closing date at different bid prices is as under:

The Basis of Allocation was finalized in consultation with the Designated Stock Exchange, being the National Stock Exchange of India Limited ("NSE") on October 21,2010.

A. Allocation to Employee Investors (After Technical Rejections) Including ASBA Applications
The Basis of Allocation to the Employee, who have bid at cut-off or at the Issue Price of Rs. 183 per Equity Share, was finalized in consultation with NSE. This category has been under subscribed to the extent of 0.2421 times. The total number of shares allotted in Employee category is 39,690 Equity Shares to 174 successful applicants. As per the Red Herring Prospectus, the under subscribed portion of 124,244 equity shares have been spilled over to QIBs. The category-wise details of the Basis or Allotment are as under:

B. Allocation to Retail Individual Investors (After Technical Rejections) Including ASBA Applications
The Basis of Allocation to the Retail Individual Investors, who have bid at cut-off or at the Issue Price of Rs. 183 per Equity Share, was finalized in consultation with NSE. This category has been under subscribed to the extent of 0.0762 times. The total number of shares allotted in Retail Individual Investor category is 1,496,070 Equity Shares to 6,767 successful applicants. As per the Red Herring Prospectus, the under subscribed portion of 18,126,881 equity shares have been spilled over to QIBs. The category-wise details of the Basis of Allotment are as under:

C. Allocation to Non Institutional Investors (After Technical Rejections) Including ASBA Applications
The Basis of Allocation to the Non-Institutional Investors, who have bid at the Issue Price of Rs. 183 per Equity Share, was finalized in consultation with NSE. This category has been under subscribed to the extent of 0.1755 times. The total number of Equity Shares allotted in this category is 11,47,770 equity shares to 69 successful applicants. As per the Red Herring Prospectus, the under subscribed portion of 5,393,213 equity shares have been spilled over to QIBs. The category-wise details of the Basis of Allotment (sample) are under:

D. Allocation to QIBs Including ASBA Applications
Allocation to QIBs has been done on a proportionate basis in consultation with NSE. As per the SEBI regulations, Mutual Funds were initially allocated 5% of the quantum of shares available (2,555,823 Equity Shares) including Spill over from Employee, Retail, Non Institutional Category to the extent of 1,182,217 Equity Shares and other QIBs were allocated the remaining available shares (48,560,647 Equity Shares) including Spill over from Employee, Retail, Non Institutional Category to the extent of 22,462,121 Equity Shares on proportionate basis was allocated to other QIBs on proportionate basis.

E. Allocation to Anchor Investors
Allocation to Anchor Investors has been done on a Drooortionate basis in consultation with BSE. As oer the SEBI reaulations. 30% of QIB Portion.of 11,773,770 was allotted to Anchor Investors.

The IPO Committee of the Board of Directors of the company at its Meeting held on October 21,2010 has approved the basis of allocation of shares of the Issue and has allotted the shares to various successful applicants. The CAN-cum-Refund Orders and allotment advice and notices have been dispatched to the address of the Bidders as registered with the depositories on or prior to October 23,2010. Further, the instructions to SCSBs have been dispatched on October 21,2010. 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.
Note: All capitalized terms used and not defined herein shall have the respective meaning assigned to them in the prospectus dated October 19,2010 filed with the Registrar of Companies, Karnataka ("Prospectus").
INVESTORS PLEASE NOTE: This details of the allocation made would be hosted on the website of Registrars to the Issue, Link Intime India Private Limited at http://www.linkintime.co.in
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:

Link Intime India Private Limited
C-13, Pannalal Silk Mills Compound, L.B.S Marg, Bhandup (West), Mumbai -400 078 Email: pepl.ipo@linkintime.co.in, Tel: (91 22) 25960320 Fax: (91 22) 25960329