RED HERRING PROSPECTUS Dated August 24 ... - Globus Spirits
RED HERRING PROSPECTUS Dated August 24 ... - Globus Spirits RED HERRING PROSPECTUS Dated August 24 ... - Globus Spirits
. Samalkha, District Panipat, Haryana: The production facility is built on an area spread over 16.575 acres of land. This unit too has its own captive supply of water and power. At present both the units are capable of manufacturing Alcohol from both molasses and grain. The total licensed and installed capacity of each of the units is 144 lakh Bulk Litres (BL) per annum The plants are currently engaged in the manufacturing of Industrial Alcohol [comprising Rectified Spirit, and Extra Neutral Alcohol (ENA)]; Country Liquor (CL); and Indian Made Foreign Liquor (IMFL). The distilleries have modern bottling facilities equipped with bottling machines, which caters to its own production of Country Liquor and IMFL brands. Also, the Company has tie-ups and separate arrangements for bottling IMFL products for other brand owners. The Company is now gearing up for modernization and expansion of its production facilities, along with setting up latest facilities in utility management to enable it to lower the cost of production while continuing to produce high quality spirit. Notwithstanding its above plans, the Company also intends to enter the IMFL market by developing its own brands and/or acquiring existing brands and marketing them all over India. The Company has engaged Ernst & Young, a consulting firm, as its Advisor regarding matters related to Kyoto Protocol under United Nations Framework Convention on Climate Change (UNFCCC). The Company proposes to implement greenhouse gas abatement project by utilizing biomass and biogas for steam and power generation that would reduce emission of Green House gases from fossil fuel combustions for equivalent energy generation. Ernst & Young will assist the Company in getting the potential benefits of the GHG abatement project under the clean Development Mechanism (CDM) of the Kyoto Protocol. For further details, please see the section on “Business Overview” beginning from page no. 73 of this Red Herring Prospectus. 3
THE ISSUE Equity Shares offered: Fresh Issue 75,00,000 Equity Shares of Rs.10/- each Comprising of: Employee Reservation Portion Net Issue Of which: Qualified Institutional Buyers portion of which: Available for allocation to Mutual Funds Balance for all QIBs including Mutual Funds 50,000 Equity Shares of Rs.10/ 74,50,000 Equity Shares of Rs.10/ Upto 37,25,000 Equity Shares of Rs. 10/- each (Available for Allocation on a proportionate basis) Upto 1,86,250 Equity Shares of Rs. 10/- each (Available for Allocation on a proportionate basis) 35,38,750 Equity Shares of Rs. 10/- each (Available for Allocation on a proportionate basis) Non Institutional portion Not less than 11,17,500 Equity Shares of Rs. 10/- each (Available for Allocation on a proportionate basis) Retail portion Not less than 26,07,500 Equity Shares of Rs. 10/- each (Available for Allocation on a proportionate basis) Equity Shares outstanding prior to the Issue 1,22,57,741 Equity Shares of Rs. 10/- each Equity Shares outstanding after the Issue Objects of the Issue 1,97,57,741 Equity Shares of Rs. 10/- each The Company intends to deploy the net proceeds of the fresh issue for part-financing its proposed projects, the details of which have been mentioned under the section titled “Objects of the Issue” beginning at page no. 32 of this Red Herring Prospectus. NOTES: The fresh issue of Equity Shares in terms of this Red Herring Prospectus has been authorized by the Board of Directors in their meeting held on April 2, 2009 and a Special Resolution (pursuant to the provisions of Section 81(1A) of the Companies Act, 1956) passed at the Extra Ordinary General Meeting of the Company held on May 29, 2009 i. Eligible Employees of the Company during the period commencing from the date of filing of the Red Herring Prospectus with ROC up to the Bid/Issue closing date shall be entitled to apply in the Reserved for Employees category. ii. iii. iv. Under subscription, if any, in the Qualified Institutional, Non Institutional and Retail portion would be met with spill over from any other category, at the sole discretion of the Company in consultation with the BRLMs. Under subscription, if any, in the Reservation for Eligible Employees, shall be added back to the Net Issue and will be considered for allotment only on a proportionate basis. Under-subscription, if any, in any category in the Net Issue, would be allowed to be met with spill-over from the reserved category 4
- Page 1 and 2: RED HERRING PROSPECTUS Please read
- Page 3 and 4: TABLE OF CONTENTS SECTION TITLE PAG
- Page 5 and 6: Chatrath & Co., Chartered Accountan
- Page 7 and 8: Margin Amount Memorandum of Associa
- Page 9 and 10: Company/Industry Related Terms/Tech
- Page 11 and 12: NRE Account Non Resident External A
- Page 13 and 14: • Company’s ability to successf
- Page 15 and 16: The Company constantly endeavours t
- Page 17 and 18: The Company has reported a net nega
- Page 19 and 20: the Excise and liquor sourcing poli
- Page 21 and 22: Writ Petitions related to notificat
- Page 23 and 24: Northern India Alcohol Sales Pvt. L
- Page 25 and 26: 8. Dependence on agri products Mana
- Page 27 and 28: l. In addition to the BRLMs, the Co
- Page 29: enforced prohibition in 1996, but h
- Page 33 and 34: Particulars As on 31.03.2005 31.03.
- Page 35 and 36: Particulars For the Year/Period End
- Page 37 and 38: BOARD OF DIRECTORS Name of the Dire
- Page 39 and 40: Jawahar Vyapar Bhawan, 14th Floor 1
- Page 41 and 42: STATEMENT OF INTER SE ALLOCATION OF
- Page 43 and 44: The grading is however, constrained
- Page 45 and 46: Industry Outlook & Prospects The do
- Page 47 and 48: on a proportionate basis. For furth
- Page 49 and 50: CAPITAL STRUCTURE OF THE COMPANY Sh
- Page 51 and 52: others # 17.4.1995 $ 2,11,640 10 47
- Page 53 and 54: 1.11.1994 Acquisition 18,75,000 10
- Page 55 and 56: Category Code Category of Sharehold
- Page 57 and 58: 8. Mr. Ashok Kumar 33 0.0003 9. Mr.
- Page 59 and 60: OBJECTS OF THE ISSUE The Company pr
- Page 61 and 62: In case of variations in the actual
- Page 63 and 64: 1. Plant and Machinery for 35 KLPD
- Page 65 and 66: Taxes & Duties 127.00 Total 918.00
- Page 67 and 68: Franchise Fees - - - 4.00 Bond Fees
- Page 69 and 70: Mass Media options: • Hoardings 3
- Page 71 and 72: Alcobrew has vide its letter dated
- Page 73 and 74: K GENERAL CORPORATE PURPOSES: The l
- Page 75 and 76: FUNDS DEPLOYED As per the certifica
- Page 77 and 78: Terms of Payment Margin Amount empl
- Page 79 and 80: BASIS FOR ISSUE PRICE The Issue Pri
THE ISSUE<br />
Equity Shares offered:<br />
Fresh Issue<br />
75,00,000 Equity Shares of Rs.10/- each<br />
Comprising of:<br />
Employee Reservation Portion<br />
Net Issue<br />
Of which:<br />
Qualified Institutional Buyers portion of<br />
which:<br />
Available for allocation to Mutual Funds<br />
Balance for all QIBs including Mutual Funds<br />
50,000 Equity Shares of Rs.10/<br />
74,50,000 Equity Shares of Rs.10/<br />
Upto 37,25,000 Equity Shares of Rs. 10/- each<br />
(Available for Allocation on a proportionate<br />
basis)<br />
Upto 1,86,250 Equity Shares of Rs. 10/- each<br />
(Available for Allocation on a proportionate<br />
basis)<br />
35,38,750 Equity Shares of Rs. 10/- each<br />
(Available for Allocation on a proportionate<br />
basis)<br />
Non Institutional portion Not less than 11,17,500 Equity Shares of Rs. 10/-<br />
each<br />
(Available for Allocation on a proportionate<br />
basis)<br />
Retail portion Not less than 26,07,500 Equity Shares of Rs. 10/-<br />
each<br />
(Available for Allocation on a proportionate<br />
basis)<br />
Equity Shares outstanding prior to the Issue 1,22,57,741 Equity Shares of Rs. 10/- each<br />
Equity Shares outstanding after the Issue<br />
Objects of the Issue<br />
1,97,57,741 Equity Shares of Rs. 10/- each<br />
The Company intends to deploy the net proceeds<br />
of the fresh issue for part-financing its proposed<br />
projects, the details of which have been<br />
mentioned under the section titled “Objects of the<br />
Issue” beginning at page no. 32 of this Red<br />
Herring Prospectus.<br />
NOTES:<br />
The fresh issue of Equity Shares in terms of this Red Herring Prospectus has been authorized by<br />
the Board of Directors in their meeting held on April 2, 2009 and a Special Resolution (pursuant<br />
to the provisions of Section 81(1A) of the Companies Act, 1956) passed at the Extra Ordinary<br />
General Meeting of the Company held on May 29, 2009<br />
i. Eligible Employees of the Company during the period commencing from the date of filing of<br />
the Red Herring Prospectus with ROC up to the Bid/Issue closing date shall be entitled to<br />
apply in the Reserved for Employees category.<br />
ii.<br />
iii.<br />
iv.<br />
Under subscription, if any, in the Qualified Institutional, Non Institutional and Retail<br />
portion would be met with spill over from any other category, at the sole discretion of the<br />
Company in consultation with the BRLMs.<br />
Under subscription, if any, in the Reservation for Eligible Employees, shall be added back<br />
to the Net Issue and will be considered for allotment only on a proportionate basis.<br />
Under-subscription, if any, in any category in the Net Issue, would be allowed to be met<br />
with spill-over from the reserved category<br />
4