Price Band fixed from Rs. 850 to Rs. 860 per equity share
Mumbai September 6, 2016: L&T Technology Services Limited (the “Company”) proposes to open on Monday, September 12, 2016, its initial public offer of up to 10,400,000 equity shares of face value of Rs. 2 each (the “Equity Shares”) for cash at a price band from Rs. 850 to Rs. 860 per Equity Share through an offer for sale (the “Offer”) by the promoter of the Company, Larsen & Toubro Limited (the “Selling Shareholder”). The Offer would constitute 10.2% of the post-offer paid-up Equity Share capital of the Company. The Offer will close on Thursday, September 15, 2016.
Bids can be made for a minimum of 16 Equity Shares and in multiples of 16 Equity Shares thereafter. The Company and the Selling Shareholder may, in consultation with the Book Running Lead Managers (the “BRLMs”), consider participation by Anchor Investors in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended (the “SEBI Regulations”). The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening Date.
The BRLMs to the Offer are Kotak Mahindra Capital Company Limited, DSP Merrill Lynch Limited, JM Financial Institutional Securities Limited and SBI Capital Markets Limited.
The Equity Shares offered through the Offer are proposed to be listed on National Stock Exchange of India Limited (“NSE”) and BSE Limited (“BSE”).
The Offer is being made in accordance with Regulation 26(1) of the SEBI Regulations, through the Book Building Process wherein 50.0% of the Offer shall be allocated on a proportionate basis to Qualified Institutional Buyers (“QIBs”), provided that the Company and the Selling Shareholder may allocate up to 60.0% of the QIB Portion to Anchor Investors on a discretionary basis, out of which one-third shall be reserved for domestic Mutual Funds only, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price, in accordance with the SEBI Regulations. Post allocation to Anchor Investors, the QIB Portion will be reduced by such number of Equity Shares. 5.0% of the QIB Portion (excluding the Anchor Investor Portion) shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders (other than Anchor Investors), including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 15.0% of the Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35.0% of the Offer shall be available for allocation to Retail Individual Bidders in accordance with the SEBI Regulations, subject to valid Bids being received at or above the Offer Price. All potential investors, other than Anchor Investors, are required to mandatorily utilise the Application Supported by Blocked Amount (“ASBA”) process providing details of their respective bank account which will be blocked by the Self Certified Syndicate Banks (“SCSBs”), to participate in this Offer.
Disclaimer:
L&T TECHNOLOGY SERVICES LIMITED is proposing, subject to receipt of requisite approvals, market conditions and other considerations, to make an initial public offer of its Equity Shares and has filed the Red Herring Prospectus dated August 31, 2016 (the “RHP”) with the RoC, on August 31, 2016. The RHP is available on the websites of SEBI and Stock Exchanges at www.sebi.gov.in, www.bseindia.com and www.nseindia.com, respectively, and is also available on the websites of the Book Running Lead Managers at http://investmentbank.kotak.com, www.dspml.com, www.jmfl.com and www.sbicaps.com. Potential investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see “Risk Factors” beginning on page 21 of the RHP.
These materials are not for publication or distribution, directly or indirectly, in or into the United States (including its territories and possessions, any state of the United States and the District of Columbia). These materials are not an offer of securities for sale into the United States, Canada or Japan. The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States, except pursuant to an applicable exemption from registration. No public offering of securities is being made in the United States.
