• Price Band fixed at ₹ 250 per equity share to ₹ 265 per equity share of face value of ₹ 10 each of Cyient DLM Limited (“Equity Shares”)
• Anchor Investor [Bid/Issue Period]– Monday, June 26, 2023
• Bid /Issue Opening Date – Tuesday, June 27, 2023 and Bid/ Issue Closing Date – Friday, June 30, 2023
• Bids can be made for a minimum of 56 Equity Shares and in multiples of 56 Equity Shares thereafter

NATIONAL, JUNE 22, 2023 (GPN): Cyient DLM Limited (the “Company”) proposes to open its initial public offering comprising a fresh issue of such number of Equity Shares aggregating up to ₹ 5,920.00 million (“Issue ”) on Tuesday, June 27, 2023. Bid/ Issue Closing Date will be Friday, June 30, 2023. The Anchor Investor Bid/Issue Period is one Working Day prior to the Bid/Issue Opening Date, that is, Monday, June 26, 2023.

The Price Band for the Issue has been fixed from ₹ 250 per Equity Share to ₹ 265 per Equity Share. Bids can be made for a minimum of 56 Equity Shares and in multiples of 56 Equity Shares thereafter. 

The Company has in consultation with the BRLMs, undertaken a private placement of 4,075,471 Equity Shares aggregating to ₹ 1,080.00 million

The Issue is being made through the Book Building Process, in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended (“SCRR”) read with Regulation 31 of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (the “SEBI ICDR Regulations”). This Issue is in compliance with Regulation 6(2) of the SEBI ICDR Regulations wherein not less than 75% of the Net Issue shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs” and such portion the “QIB Portion”) provided that the Company, in consultation with the BRLMs, may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis in accordance with the SEBI ICDR Regulations (“Anchor Investor Portion”), of which one-third shall be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price, in accordance with the SEBI ICDR Regulations. 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. Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only and the remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to all QIBs (other than Anchor Investors) including Mutual Funds, subject to valid Bids being received at or above the Issue 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 QIB Portion for proportionate allocation to QIBs. 

The public offer is completely a fresh issue of Equity Shares of up to Rs 592 crore, reduced from Rs 740 crore earlier. As this is a fresh issue and there is no offer for sale (OFS), the company can use the entire proceeds of the IPO. Cyient DLM has undertaken a pre-IPO placement of 40.75 lakh equity shares, reduced to Rs 108 crore from Rs 140 crore earlier.

Further, not more than 15% of the Net Issue shall be available for allocation to Non-Institutional Bidders out of which (a) one third of such portion shall be reserved for applicants with application size of more than ₹200,000 and up to ₹1,000,000; and (b) two third of such portion shall be reserved for applicants with application size of more than ₹1,000,000, provided that the unsubscribed portion in either of such sub-categories may be allocated to applicants in the other sub-category of Non-Institutional Bidders and not more than 10% of the Net Issue shall be available for allocation to Retail Individual Bidders (“RIB”) in accordance with the SEBI ICDR Regulations, subject to valid Bids being received from them at or above the Issue Price. Further, Equity Shares will be allocated on a proportionate basis to Eligible Employees applying under the Employee Reservation Portion, subject to valid Bids received from them at or above the Issue Price. All Bidders (except Anchor Investors) are required to mandatorily utilise the Application Supported by Blocked Amount (“ASBA”) process by providing details of their respective ASBA accounts and UPI ID (in case of UPI Bidders) in which case the corresponding Bid Amounts will be blocked by the SCSBs or under the UPI Mechanism, as applicable to participate in the Issue. Anchor Investors are not permitted to participate in the Anchor Investor Portion of the Issue through the ASBA process. 

The Equity Shares offered through the red herring prospectus dated June 19, 2023 (“Red Herring Prospectus”) are proposed to be listed on both BSE Limited (“BSE”) and National Stock Exchange of India Limited (“NSE”, together with BSE, the “Stock Exchanges”).

Axis Capital Limited and JM Financial Limited are the Book Running Lead Managers to the Issue (“BRLMs”).

All capitalised terms used herein but not defined shall have the same meaning as ascribed to them in the Red Herring Prospectus. For further information on i) risk to investors, ii) Weighted average cost of acquisition of all Equity Shares transaction in the one year and three years preceding the date of Red Herring Prospectus, iii) Weighted average cost of acquisition compared to Floor Price and Cap Price, iv) market capitalisation at the lower end and higher end of price band to Total Income; public issues handled by the BRLMs in the past three financial years, v) Basis of Issue Price, vi) contact details of BRLMs, Registrar to the Issue and Company Secretary and Compliance Officer, please refer to the price band advertisement dated June 21, 2023.

Note: The RHP  is available on the website of the SEBI at www.sebi.gov.in as well as on the website of the book running lead managers, Axis Capital Limited and JM Financial Limited at www.axiscapital.co.in and www.jmfl.com, respectively, the website of the BSE Limited at www.bseindia.com and the website of the National Stock Exchange of India Limited at www.nseindia.com and on the website of the Company at www.cyientdlm.com.