Ruchira IPO Basis of Allotment

RUCHIRA PAPERS LIMITED

(Our Company was incorporated as a Public Limited Company on December 8, 1980 and obtained the certificate of commencement of business on July 23, 1981)
Registered Office: Trilokpur Road, Kala-Amb, District Sirmour-173030, Himachal Pradesh
Tel.: 91-1702-238654, 238537, 238350, Fax: 91-1734-261141
Administrative Office: 21-22, New Professors Colony, Yamuna Nagar 135001, Haryana
Tel.: 91-1732-233799,233140, Fax: 91-1732-230403
Contact Person/ Compliance Officer: Mr. Vipin Gupta, DGM Finance, E-mail: lpo@ruchirampapers.com,
Website: www.ruchirapapers.com

BASIS OF ALLOCATION

PUBLIC ISSUE OF 12391304 EQUITY SHARES OF RS. 10 EACH ISSUED FOR CASH AT A PRICE OF
Rs 23/- AGGREGATING TO Rs. 2850 LACS (HERE IN AFTER REFERRED TO AS 'ISSUE'). THE ISSUE COMPRISES OF PROMOTERS CONTRIBUTION OF 2173913 EQUITY SHARES OF RS.10/- EACH AT PRICE OF R&23/- EACH AGGREGATING TO RS. 500 LACS AND THE NET OFFER TO THE PUBLIC OF 10217391 EQUITY SHAM AGGREGATING TO RS. 2350 LACS (HEREINAFTER REFERRED TO AS 'NET ISSUE TO PUBLIC'). THE NET ISSUE TO PUBLIC CONSTITUTE 45.57% OF THE FULLY DILUTED POST ISSUE PAID UP CAPITAL OF OUR COMPANY.

ISSUE PRICE: Rs. 23/- PER EQUITY SHARE OF FACE VALUE OF Rs.10 EACH.

The Issue made through the 100% Book Building Process where up to 50% of the net issue to the public was to be allocated on a proportionate basis to Qualified Institutional Buyers ('QIBs') (including 5% of the QIB portion that was to specifically be allotted to mutual funds)., Further, not less than 15% of the net issue to the public shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the net issue to the public shall be available for allocation on a proportionate basis to Retail Bidders, subject to valid bids being received at or above the Issue Price.

The Net Issue to Public received 10989 applications for 25783000 equity shares resulting in 2.5234 times subscription. The details of the applications received in the Issue from Qualified Institutional Buyers, Non-Institutional, Retail Individual Investors are asunder (Before technical and multiple relections):

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

The Basis of Allocation was finalized in consultation with the Bombay Stock Exchange Limited ('BSE') on 11'December,2006.

A. Allocation to Retail Investors
The category was over subscribed 2.74154 times. The total number of shares allotted in this category is 3576087 Equity Shares. The category-wise details of the Basis of Allocation are as under:

B. Allocation to Non Institutional Investors
The category was subscribed 2.81856 times. The total number of shares allotted in this category is 1532609 Equity Shares. The category-wise details of the Basis of Allocation (Sample) are as under.

C. Allocation to QIBS
Allocation to QIBs has been done on a proportionate basis. As per the SEBI guidelines, Mutual Funds were initially allotted 5% of the quantum of shares available (255435) and other QIBs and unsatisfied demands of Mutual Funds were allotted the remaining available shares (4853260) on proportionate basis. Mutual Funds were allotted 15.0043% for QIB segment and other QIB applicants were allotted 84.9960% of the shares for QIB segment

The Board of Directors of the company at its Meeting held at Registered Office of the Company at Kala-Amb, Himachal Pradesh on 12th December 2006 has approved the basis of allocation of shares of the Issue and has allotted the shares to various successful applicants.

The Refund Orders and allotment advice and intimation regarding refund through electronic modes (ECS, RTGS, NEFT or Direct Credit) has been dispatched to the address of the investors as registered with the depositories on December 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 shares allocated to 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 Bombay Stock Exchange Limited and National Stack Exchange of India Limited within seven working days from the date of approval of the basis of allocation.

INVESTORS PLEASE NOTE
This details of the allocation made would be hosted on the Website of Registrar to the Issue, Intime Spectrum Registry Limited at www.intimespectrum.com
All future correspondence in this regard may kindly be addressed to the Registrar 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:

INTIME SPECTRUM REGISTRY LIMITED
Unit: Ruchira Papers Limited
C-13, Pannalal Silk Mills Compound,
L. B.S. Marg, Bhandup (West) Mumbai-400 078 Tel.: (9122) 2596 0320 - 28 Fax. No.: (9122) 2596 032
Email: rplipo@inbmespectrum.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 RUCHIRA PAPERS LIMITED.