IndoStar Capital Finance Limited Offer Closes on May 11, 2018

IndoStar Capital Finance Limited Offer Closes on May 11, 2018

'R. Sridhar'

* The Price Band to the Offer is Rs. 570 to Rs. 572 per Equity Share

* The Floor Price is 57 times of the face value and the Cap Price is 57.2 times of the face value of the Equity Shares.

* Bids can be made for a minimum of 26Equity Shares and in multiples of 26 Equity Shares thereafter.

* The IPO comprises a Fresh Issue aggregating up to Rs. 7,000 million and an Offer for Sale of up to 20,000,000 Equity Shares.

* Offer Opening Date –May 9, 2018 and Offer Closing Date –May 11, 2018.

Chennai: IndoStar Capital Finance (“Company”) will be launching its initial public offering (“IPO” or the “Offer”). The IPO is scheduled to open on May 9, 2018 and close on May 11, 2018 with a price band of Rs. 570 to Rs. 572 per equity share of face value of Rs. 10 each of the Company (the “Equity Shares”). The anchor investor allocation will be a day prior to the Bid/Offer Opening Date i.e. May 8, 2018.

The IPO comprises a Fresh Issue aggregating up to Rs. 7,000 million (“Fresh Issue”) and an Offer for Sale of up to 20,000,000 Equity Shares by the selling shareholders, comprising an offer for sale of up to 18,508,407 equity shares by Indostar Capital (“Promoter Selling Shareholder”) and an offer for sale of up to 1,491,593 Equity Shares by the Other Selling Shareholders (as defined in the RHP, and together with the Promoter Selling Shareholder, the “Selling Shareholders”, and such offer for sale, the “Offer for Sale”).

The Company intends to primarily utilize the Net Proceeds of the Fresh Issue for augmenting its capital base to meet future capital requirements.

The Offer is being made in terms of Rule 19(2) (b) of the Securities Contracts (Regulation) Rules, 1957 (SCRR), through the Book Building Process in accordance with Regulation 26(1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended (the “SEBIICDR Regulations”), wherein 50% of the Offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs”). Our Company and the Promoter Selling Shareholder, in consultation with the BRLMs, may allocate up to 60% of the QIB Portion to Anchor Investors at the Anchor Investor Allocation Price, on a discretionary basis, out of which at least one-third will be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Fundsat or above the Anchor Investor Allocation Price.

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 (other than Anchor Investor Portion) shall be available for allocation on a proportionate basis to Mutual Funds only.

The remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to QIBs (other than Anchor Investors), including Mutual Funds, subject to valid Bids being received from them at or above the Offer Price. However, if the aggregate demand from Mutual Funds is less than 5% of the Net QIB Portion, the balance Equity Shares available for allocation in the Mutual Fund Portion will be added to the remaining Net QIB Portion for proportionate allocation to QIBs.

Further not less than 15% of the Offer shall be available for allocation on a proportionate basis to Non Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders in accordance with the SEBIICDR Regulations, subject to valid Bids being received from them at or above the Offer 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.