The company is planning to raise Rs 1,000 crore consisting of approximately Rs 700 crore by way of fresh issue of equity shares, and its promoter Gujarat Fluorochemicals selling Rs 300 crore worth of shares.
The Company and the Selling Shareholder, in consultation with the Global Co-ordinators and Book Running Lead Managers (“GC-BRLMS”) and the Book Running Lead Manager (“BRLM”) (together referred to as “Managers”) have decided to offer a discount of Rs. 15 to the Issue Price to Eligible Employees (“Employee Discount”) and Retail Investors (“Retail Discount”).
The Equity Shares offered through the Red Herring Prospectus are proposed to be listed on the BSE and the NSE.
The Global Co-ordinators and Book Running Lead Managers (GC-BRLMs) to the Issue are Axis Capital Limited, DSP Merrill Lynch Limited and Edelweiss Financial Services Limited and the Book Running Lead Manager (BRLM) is YES Bank Limited.
The Issue is being made through the Book Building Process in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended (“SEBI ICDR Regulations”), where in 50% of the Net Issue shall be allocated on a proportionate basis to Qualified Institutional Buyers (“QIBs”). The Company may, in consultation with the Managers, allocate up to 60% of the QIB Portion to Anchor Investors (the “Anchor Investor Portion”) at the Anchor Investor Allocation Price, on a discretionary basis, out of which at least one-third will be available for allocation to domestic Mutual Funds only.
The Anchor Investor shall bid on one Working Day prior to the Bid/ Issue Opening Date i.e., Tuesday, March 17, 2015. In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added to the Net QIB Portion. Such number of Equity Shares representing 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and the remaining Net QIB Portion shall be available for allocation on a proportionate basis to all QIBs, including Mutual Funds, subject to valid Bids being received at or above Issue Price. Further not less than 15% of the Net Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Issue shall be available for allocation to Retail Individual Bidders, subject to valid Bids being received from them at or above the Issue Price such that subject to availability of Equity Shares, each Retail Individual Bidder shall be Allotted not less than the minimum Bid Lot, and the remaining Equity Shares, if available, shall be allotted to all Retail Individual Bidders on a proportionate basis.
Further, 500,000 Equity Shares shall be reserved for allocation on a proportionate basis to Eligible Employees, subject to valid Bids being received at or above the Issue price. All QIBs (other than Anchor Investors) and Non-Institutional Investors must compulsorily and Retail Individual Bidders and Eligible Employees may optionally participate in this Issue through the ASBA process by providing the details of their respective bank accounts in which the corresponding Bid Amounts will be blocked by the SCSBs.