Titagarh Wagons Limited (“TWL” or the “Company”), a private sector railway wagon manufacturer in India, primarily engaged in the business of manufacturing railway wagons, heavy earth moving and mining equipment, bailey bridges, steel and SG iron castings, has fixed the Issue Price at Rs. 540 per equity share for its initial public offering (the “Issue”) of 23,83,768 equity shares of Rs. 10 (the “Equity Shares”) for cash at a price determined through 100% Book Building Process.

The Issue closed on March 27, 2008, and was subscribed to 6.75 times based on the preliminary bidding data received from the stock exchanges on the closing day. The Qualified Institutional Bidders (“QIBs”) portion was subscribed approximately 10.37 times; the Non Institutional Bidder portion was subscribed approximately 2.77 times; and the Retail Bidder portion was subscribed approximately 0.98 times. The Company proposes to list its Equity Shares on the Bombay Stock Exchange Limited (“BSE”) and the National Stock Exchange of India Limited (“NSE”).

The Issue comprises a fresh issue of 20,68,111 Equity Shares and an offer for sale of 3,15,657 Equity Shares by Mrs. Rashmi Chowdhary and Strategic Ventures Fund (Mauritius) Limited (the “Selling Shareholders”). The Issue consists of a net issue of 23,68,768 Equity Shares (the “Net Issue”) and a reservation of up to 15,000 Equity Shares for subscription by eligible employees. The Net Issue constitutes 12.8% of the post issue capital of the Company.

The objects of the Issue are to utilise the proceeds of the Fresh Issue towards the purposes of a) Setting up an EMU manufacturing facility at Uttarpara unit; b) Modernising and expanding the existing facilities at Titagarh and Uttarpara units; c) Setting up an axle machining and wheelset assembly facility at Uttarpara unit; d) Constructing a corporate office and a design cum research and development office; e) Strategic acquisition or investments; f) Brand building exercise; and g) general corporate purposes.

Titagarh Wagons Limited operates two manufacturing facilities located at Titagarh and Uttarpara, in West Bengal. The Uttarpara unit functions as its second manufacturing plant for wagons, in addition to manufacturing heavy earth moving and mining equipment. As an “Industry Partner” to the Defence Research and Development Organisation, Ministry of Defence (“DRDO”), the Company also manufactures other products for the Indian Defence establishment, such as special purpose wagons, shelters and other engineering equipments. The Company is structured along three broad business lines: a) wagon manufacturing division, b) special projects division (includes defence, bailey bridges and other fabricated equipment) and c) heavy earth moving and mining equipment division.

The Book Running Lead Manager (“BRLM”) to the Issue is Kotak Mahindra Capital Company Limited and the Co-Book Running Lead Manager (“CBRLM”) is JM Financial Consultants Private Limited.

Sourced From: Adfactors Public Relations Pvt Ltd

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