RED HERRING PROSPECTUS
Please read Section 60B of the Companies Act, 1956
100% Book Building Issue
AMD Metplast Limited
(The Company was originally incorporated as Ashoka Metal Décor Private Ltd on 17
December, 1983 with Registrar of Companies, Delhi & Haryana. The name ofthe Company was changed to AMD Metplast Private Limited and a Fresh Certificate of Incorporation consequent to change of name was granted to the companyon 27
August, 2004. The Company subsequently became a public limited Company and the name of the Company was further changed to AMD Metplast Limitedand the fresh certificate of incorporation was granted to the Company on 2
18, Pusa Road, 1
Floor, Karol Bagh, New Delhi – 110 005
: +91-11- 2575 8645 2575 8649/50,
: +91-11-2575 3591,(The registered office of the Company was changed from 53/73, Ramjas Road, Karolbagh, New Delhi – 110 005 to the present address w.e.f 5
: www.amdmetplast.com ,
Mr. Rajkumar Aggarwa
Compliance Officer.PUBLIC ISSUE OF 1,01,66,700 EQUITY SHARES OF RS.10/- EACH FOR CASH AT A PRICE OF Rs. [
] PER EQUITY SHARE (INCLUDING A SHARE PREMIUMOF RS. [
] PER EQUITY SHARE) AGGREGATING Rs. [
] LACS BY AMD METPLAST LIMITED (“THE COMPANY” OR “ISSUER” OR “AMD”) (HEREINAFTERREFERRED TO AS THE “ISSUE”) COMPRISING OF PROMOTERS’ CONTRIBUTION OF 10,70,180 EQUITY SHARES OF FACE VALUE OF RS.10/- EACH AT APRICE OF RS. [
] PER EQUITY SHARE FOR CASH AGGREGATING RS. [
] LACS (HEREINAFTER REFFERED TO AS THE “PROMOTERS’ CONTRIBUTION”) ANDEMPLOYEE RESERVATION OF 10,16,670 EQUITY SHARES OF FACE VALUE OF RS. 10/- EACH AT A PRICE OF RS. [
] PER EQUITY SHARE FOR CASHAGGREGATING RS. [
] LACS (HEREINAFTER REFERRED TO AS THE “EMPLOYEE RESERVATION PORTION”) AND THE NET OFFER TO THE PUBLIC IS OF80,79,850 EQUITY SHARES OF Rs.10/- EACH AT A PRICE OF Rs. [
] FOR CASH AGGREGATING TO Rs. [
] HEREINAFTER REFERRED TO AS THE “NETISSUE”). THE NET ISSUE TO THE PUBLIC WOULD CONSTITUTE 42.16 % OF THE FULLY DILUTED POST ISSUE PAID UP CAPITAL OF THE COMPANY.PRICE BAND: Rs. 65 TO Rs. 75 PER EQUITY SHARES OF FACE VALUE Rs.10/-THE ISSUE PRICE IS 6.5 TIMES THE FACE VALUE AT THE LOWER END OF THE PRICE BAND AND 7.5 TIMES THE FACE VALUE AT THEHIGHER END OF THE PRICE BAND.
In case of revision in the Price Band, the Bidding/Issue Period will be extended for three additional days after revision of the Price Band subject to the Bidding/ Issue Period not exceeding 10 working days. Any revision in the Price band and the revised Bidding/Issue Period, if applicable, will be widely disseminated bynotification to Bombay Stock Exchange Ltd. (“BSE”) and the National Stock Exchange of India Limited (“NSE”), by issuing a press release and also by indicatingthe change on the website of the Book Running Lead Manager (“BRLM”) and at the terminals of the Syndicate.The Issue is being made through the 100% Book Building Process wherein up to 50% of the Net Issue to the public shall be allocated on a proportionate basisto Qualified Institutional Buyers, out of which 5% of the QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and theremainder of the QIB Portion shall be available for allocation on a proportionate basis to all Qualified Institutional Buyers, including Mutual Funds, subject to validBids being received at or above Issue Price. Further, at least 15% of the Net Issue to the public shall be available for allocation on a proportionate basis to Non-Institutional Bidders and at least 35% of the Net Issue to the public shall be available for allocation on a proportionate basis to Retail Individual Bidders, subjectto valid Bids being received at or above the Issue Price.
BOOK RUNNING LEAD MANAGER
Chartered Capital And Investment Limited
711, Mahakant, Opp V.S. Hospital,Ellisbridge, Ahmedabad-380 006
: +91-79-2657 5337, 2657 7571
: +91-79-2657 5731
REGISTRAR TO THE ISSUE
BIGSHARE SERVICES PVT LTD
E-2, Ansa Industrial Estate,Saki-Vihar Road, Sakinaka,Mumbai - 400 072.Tel.: +91 22 2847 0652; Fax: +91 22 2852 5207E-mail: firstname.lastname@example.orgWebsite: www.bigshareonline.com
RISK IN RELATION TO FIRST ISSUE
This being the first issue of Equity shares of AMD Metplast Limited there has been no formal market for the Equity Shares of the Company.
Theface value of the Equity Shares is Rs 10 and issue price is [•] times of the face value.
The Issue price (as determined and justified by theCompany in consultation with Book Running Lead Manager (“BRLM”) on the basis of assessment of market demand for the Equity Shares by wayof book-building)) should not be taken to be indicative of the market price of the Equity Shares after the Equity Shares are listed. No assurancecan be given regarding an active and/or sustained trading in the Equity Shares of the Company or regarding the price at which the Equity Shareswill be traded after listing.
Investments in equity and equity-related securities involve a degree of risk and investors should not invest any funds in this Issue unless theycan afford to take the risk of losing their investment. Investors are advised to read the risk factors carefully before taking an investment decisionin this issue. For taking an investment decision, investors must rely on their own examination of the Company and the Issue including the risksinvolved. The Equity Shares offered in the issue have not been recommended or approved by the Securities and Exchange Board of India(“SEBI”), nor does SEBI guarantee the accuracy or adequacy of this Red Herring Prospectus.
Specific attention of the investors is invited tothe section titled “Risk factors” on page x of this Red Herring Prospectus.ISSUER’S ABSOLUTE RESPONSIBILITY
The Company, having made all reasonable inquiries, accepts responsibility for and confirms that this Red Herring Prospectus contains allinformation with regard to the Company and the Issue, which is material in the context of the issue, that the information contained in this RedHerring Prospectus is true and correct in all material aspects and is not misleading in any material respect, that the opinions and intentionsexpressed herein are honestly held and that there are no other facts, the omission of which makes this Red Herring Prospectus as a whole orany of such information or the expression of any such opinions or intentions misleading in any material respect.
The Equity shares offered through this Red Herring Prospectus are proposed to be listed on Bombay Stock Exchange Ltd (BSE) (DesignatedStock Exchange) and the National Stock Exchange of India Ltd (NSE). We have received in-principle approval from BSE & NSE for the listingof the Equity Shares pursuant to their letter dated November 16, 2006 and dated December 14, 2006 respectively.
The Company has opted for Grading. CARE has assigned “
CARE IPO GRADE 3
” to the Initial Public Offering of the Company. For moreinformation on IPO Grading please refer to page no.9 of this Red Herring Prospectus.
ISSUE PROGRAMMEBID / ISSUE OPENS ON : 15
FEBRUARY, 2007 BID / ISSUE CLOSES ON : 23