basis for offer price cl ose t day asb simple ......22) 67471347, sunidhi securities & finance...

PUBLIC OFFER OF 6,427,378 EQUITY SHARES OF ` 10 EACH OF MULTI COMMODITY EXCHANGE OF INDIA LIMITED (“MCX” OR “OUR COMPANY”)THROUGH AN

OFFER FOR SALE BY FINANCIAL TECHNOLOGIES (INDIA) LIMITED, STATE BANK OF INDIA (EQUITY), GLG FINANCIALS FUND, ALEXANDRA MAURITIUS LIMITED,

CORPORATION BANK, ICICI LOMBARD GENERAL INSURANCE COMPANY LIMITED AND BANK OF BARODA (THE “SELLING SHAREHOLDERS”) FOR CASH AT A PRICE OF

` [l] PER EQUITY SHARE AGGREGATING TO ̀ [l] MILLION (THE “OFFER”). THE OFFER COMPRISES A NET OFFER OF 6,177,378 EQUITY SHARES TO THE PUBLIC AND

A RESERVATION OF UP TO 250,000 EQUITY SHARES FOR THE ELIGIBLE EMPLOYEES. THE OFFER WOULD CONSTITUTE 12.60% OF THE POST OFFER PAID-UP EQUITY

CAPITAL. THE NET OFFER WOULD CONSTITUTE 12.11% OF THE POST OFFER PAID-UP EQUITY CAPITAL

Our Company was originally incorporated as a private limited company under the Companies Act, 1956, as amended (the “Companies Act”) on April 19, 2002 as Multi Commodity

Exchange of India Private Limited. Subsequently, we were converted into a public limited company and consequently our name was changed to Multi Commodity Exchange of

India Limited on May 16, 2002. We received a fresh certificate of incorporation dated May 28, 2002 from the Registrar of Companies, Maharashtra (“RoC”) upon change of name.

For details of change in name and registered office, see the sections titled “General Information” and “History and Certain Corporate Matters” on pages 67 and 169 respectively, of the Red Herring Prospectus (“RHP”). Registered Office: Exchange Square, Suren Road, Chakala, Andheri (East), Mumbai 400 093 Tel: (9122) 67318888; Fax: (9122)

66494151; Contact Person: P. Ramanathan, Company Secretary and Chief Compliance Officer ; E-mail: [email protected]; Website: www.mcxindia.com

PRICE BAND: 860 TO 1,032 PER EQUITY SHARE OF FACE VALUE OF 10 EACH` ` `

METAL & ENERGYTrade with Trust

In case of revision in the Price Band, the Bid/Offer Period will be extended for a minimum of three additional Working Days after revision of the Price Band subject to the Bid/Offer Period not exceeding 10 Working Days. Any revision in the Price Band and the revised Bid/Offer Period, if applicable, will be widely disseminated by notification to BSE Limited ("BSE"), and the National Stock Exchange of India Limited ("NSE" together with BSE, the “Stock Exchanges”), by issuing a press release, and also by indicating the change on the website of the Book Running Lead Managers (“BRLMs”) and at the terminals of the other members of the Syndicate and by intimation to Self Certified Syndicate Banks. In terms of Rule 19(2)(b)(ii) of the Securities Contracts (Regulations) Rules, 1957, as amended (“SCRR”), this is an Offer for at least 10% of the post-Offer capital where the post-Offer capital of our Company calculated at the Offer Price will be more than ̀ 40,000 million. The Offer is being made through the 100% Book Building Process wherein at least 50% of the Net Offer shall be Allotted on a proportionate basis to Qualified Institutional Buyers (“QIBs”). 5% 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, including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price. All potential investors, other than Anchor Investors, may participate in this Offer through an Application Supported by Blocked Amount (“ASBA”) process providing details of their respective bank account which will be blocked by the Self Certified Syndicate Bank (“SCSB”) for the same. QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilize ASBA process to participate in this Offer. Non residents other than FIIs are not permitted to participate in this Offer. For details, see section titled ‘Offer Procedure’ on page 460 of the RHP.

Bidders should note that on the basis of PAN of the Bidders, DP ID and Client ID entered into the electronic bidding system of the Stock Exchanges by the members of the Syndicate or SCSBs, the Registrar will obtain from the Depository the demographic details including address, Bidders bank account details, MICR code, PAN registered with the Depository and occupation (hereinafter referred to as “Demographic Details”). These Demographic Details would be used for processing including identifying Bids to be rejected on technical grounds, giving refunds (including through physical refund warrants, direct credit, NECS, NEFT and RTGS) or unblocking of ASBA Account. Hence, Bidders are advised to immediately update their Demographic Details as appearing on the records of the Depository Participant. Please note that failure to do so could result in delays in despatch/credit of refunds to Bidders or unblocking of the ASBA Account at the Bidders sole risk and neither the BRLMs or the Registrar to the Offer or the Escrow Collection Banks or the SCSBs nor our Company shall have any responsibility and undertake any liability for the same. Hence, Bidders should carefully fill in their Depository Account details in the Bid cum Application Form.

In case the PAN, the DP ID and Client ID mentioned in the Bid cum Application Form and entered into the electronic bidding system of the Stock Exchanges by the Syndicate/the SCSBs do not match with PAN, the DP ID and Client ID available in the records with the Depositories, the application is liable to be rejected.

Promoter of our Company: FINANCIAL TECHNOLOGIES (INDIA) LIMITEDLISTING : The Equity Shares offered through the Red Herring Prospectus are proposed to be listed on the BSE. We have received in-principle approval from the BSE for the listing of our Equity Shares pursuant to letter dated May 19, 2011. For purposes of this Offer, the Designated Stock Exchange shall be the BSE.Disclaimer Clause of SEBI : “SEBI only gives its observations on the offer documents and this does not constitute approval of either the offer or the offer document”. The investors are advised to refer to the Red Herring Prospectus for the full text of the Disclaimer clause of the SEBI.Disclaimer Clause of BSE (the Designated Stock Exchange): It is to be distinctly understood that the permission given by BSE should not in any way be deemed or construed that the Red Herring Prospectus has been cleared or approved by BSE nor does it certify the correctness or completeness of any of the contents of the Red Herring Prospectus. The investors are advised to refer to the Red Herring Prospectus for the full text of the Disclaimer clause of the BSE.IPO GRADING : This Offer has been graded by CRISIL Limited and has been assigned the “IPO Grade 5/5”, indicating strong fundamentals, through its letter dated December 15, 2011 (together with a rating rationale dated January 6, 2012). The IPO Grading is assigned on a five-point scale from 1 to 5, with IPO Grade 5/5 indicating strong fundamentals and IPO Grade 1/5 indicating poor fundamentals. For details see the sections titled “General Information” and “Material Contracts and Documents for Inspection” on pages 67 and 508 of the RHP, respectively.

Availability of the Red Herring Prospectus : Investors should note that investment in equity shares involves a high degree of risk and are advised to refer to the Red Herring Prospectus and the Risk Factors contained therein before applying in the Offer. Full copy of the Red Herring Prospectus is available at www.sebi.gov.in and on the websites of the BRLMs at www.edelweissfin.com, www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm and www.morganstanley.com/indiaofferdocuments.Availability of Bid-cum-Application Forms : Bid-cum-application forms can be obtained from our Company: Multi Commodity Exchange of India Limited, Book Running Lead Managers: Edelweiss Financial Services Limited :14th floor, Edelweiss House, Off C.S.T. Road, Kalina, Mumbai 400 098 Tel: (91 22) 4086 3535, Fax: (91 22) 4086 3610 Email: [email protected] Citigroup Global Markets India Private Limited 12th Floor, Bakhtawar, Nariman Point, Mumbai 400 021. Tel: (91 22) 6631 9890 Fax: (91 22) 3919 7814 Email: [email protected] Morgan Stanley India Company Private Limited 18F/19F, Tower 2, One Indiabulls Centre, 841, Senapati Bapat Marg, Mumbai 400 013 Tel: (91 22) 6118 1000, Fax: (91 22) 6118 1011, Email: [email protected], Syndicate Members: Edelweiss Securities Limited Tel: (91 22) 6747 1342, Fax: (91 22) 67471347, Sunidhi Securities & Finance Limited, Tel: (91 22) 66369669, Fax: (91 22) 66355673, SMC Global Securities Limited, Tel : (91 11) 6607 0400, Fax : (91 11) 2326 3297 and at the select locations of the sub syndicate members participating in the Offer. Bid cum Application Forms can also be obtained from the Stock Exchanges and the list of SCSBs available on the website of SEBI at www.sebi.gov.in.Applications Supported by Blocked Amount (ASBA*) :

Bankers to the Offer and Escrow Collection Banks : Axis Bank Limited, HDFC Bank Limited, ICICI Bank Limited, IndusInd Bank Limited, Standard Chartered Bank, State Bank of India (Capital Market Branch).

Investors may apply through the ASBA process. ASBA can be availed by all the investors except Anchor Investors. QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilise the ASBA process to participate in this Offer. The ASBA investor is required to fill the Bid cum Application Form and submit the same to their Self Certified Syndicate Bank (SCSB) or to the Syndicate at the Specified Cities. The SCSB will block the amount in the account as per the authority contained in the Bid cum Application Form and undertake other tasks as per the specified procedure in the Red Herring Prospectus. On Allotment amount will be unblocked and account will be debited only to the extent required to be paid for Allotment of equity shares. Hence there will be no need of refunds. Bid cum Application Forms can also be downloaded from the websites of Stock Exchanges and SCSBs. Bid cum Application Forms can be obtained from the list of SCSBs that is available on the website of SEBI at www.sebi.gov.in

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For MULTI COMMODITY EXCHANGE OF INDIA LIMITED On behalf of the Board of Directors

Sd/-Managing Director

“Multi Commodity Exchange of India Limited is proposing, subject to market conditions and other considerations, an initial public offer of its equity shares and has filed the Red Herring Prospectus with the Registrar of Companies (“RoC”). The Red Herring Prospectus is available on the website of SEBI at www.sebi.gov.in and the respective websites of the Book Running Lead Managers (“BRLMs”) at www.edelweissfin.com, http://www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm and www.morganstanley.com/indiaofferdocuments.

Investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see the section titled “Risk Factors” on page 15 of the Red Herring Prospectus. This advertisement may not be published or distributed in the U.S., Canada or Japan and is not an offer or solicitation of an offer for sale of securities in the U.S. These securities 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 U.S. absent registration or an exemption from registration under such act”.

Multi Commodity Exchange of India Limited Multi Commodity Exchange of India Limited

Simple, Safe, Smart way of Application - Make use of it!!!ASBA* Application supported by blocked amount (ASBA) is a better way of applying to issues by simply blocking the fund in the bank account, investors can avail the same. For further details check section on ASBA below.

BID/OFFEROpens On: Wednesday, February 22, 2012**Closes On : Friday, February 24, 2012

Edelweiss Financial Services Limited14th floor, Edelweiss House, Off C.S.T. Road, Kalina, Mumbai 400 098Tel: (91 22) 4086 3535, Fax: (91 22) 4086 3610Email: [email protected]: www.edelweissfin.comContact Person: Dipti SamantInvestor Grievance ID: [email protected] Registration No: INM0000010650

12th Floor, Bakhtawar, Nariman Point, Mumbai 400 021Tel: (91 22) 6631 9890Fax: (91 22) 3919 7814Email: [email protected]: www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htmContact Person: Priyanka KatarukaInvestor Grievance ID: [email protected] Registration No: INM000010718

Book Running Lead Managers

Citigroup Global Markets India Private LimitedPlot Nos. 17 - 24,Vittal Rao Nagar, Madhapur, Hyderabad 500 081. Toll Free No.: 1-800-3454001Tel: (91 40) 4465 5000, Fax: (91 40) 2343 1551Email: [email protected] Person: M. Murali KrishnaWebsite: http:\\karisma.karvy.comSEBI Registration No: INR000000221

Registrar to the Offer

Karvy Computershare Private LimitedMorgan Stanley India Private Limited18F/19F, One Indiabulls Centre, 841, Senapati Bapat Marg, Mumbai 400 013Tel: (91 22) 6118 1000Fax: (91 22) 6118 1011Email: [email protected]: www.morganstanley.com/indiaofferdocumentsContact Person: Nikhil AggarwalInvestor Grievance ID: [email protected] Registration No: INM000011203

Company Tower 2,

Company Secretary and Compliance Officer

P. Ramanathan, Company Secretary and Chief Compliance Officer,Exchange Square, Suren Road, Chakala, Andheri (East), Mumbai 400 093 Tel: (9122) 67318888; Fax: (9122) 66494151;

E-mail: [email protected]; Website: www.mcxindia.com

Investors can contact the Compliance Officer or the Registrar to the Offer in case of any pre-Offer or post-Offer

related problems such as non-receipt of Allotment Advice, credit of Equity Shares Allotted in the demat

account, refund orders, etc.

**Our company and the Selling Shareholders may consider participation by Anchor Investors. The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening date.”

Date: February 16, 2012

(This is only an advertisement for information purpose and not a Prospectus Announcement)

The Offer Price will be determined by our Company in consultation with the BRLMs on the basis of assessment of market demand and on the basis of the following qualitative and quantitative factors for the Equity Shares offered by the Book Building Process. The face value of the Equity Shares is ̀ 10 and the 103.2 times of the face value. The EPS and NAV presented in this section are based on the face value of ` 10 per equity share and have been calculated after giving effect to the consolidation of shares and bonus issue approved by the shareholders of our Company by resolution dated March 14, 2011.Qualitative FactorsSome of the qualitative factors which form the basis for computing the Offer Price are:lLeadership Position in the commodity futures industry – Market share in terms of the

total value of commodities futures contracts traded on our Exchange in Fiscal 2011 was 82.4% of the Indian commodity futures industry as per data maintained by FMC.

l Experienced Board of Directors and management teaml Product and service innovationl Technology infrastructurel Scalable technology platform and business modell Integrated infrastructure and network of alliancesFor details, see sections titled “Our Business” and “Risk Factors” on pages 132 and 15 respectively of the RHP.Quantitative FactorsInformation presented in this section is derived from our Company‘s restated audited standalone and consolidated financial statements prepared in accordance with Indian GAAP and SEBI Regulations. Some of the quantitative factors, which form the basis for computing the Offer Price, are as follows:1. Basic and diluted Earnings Per Share (EPS):On a consolidated basis

The Basic and Diluted EPS on a consolidated basis for the nine month period ended December 31, 2011 was ̀ 42.74 and ̀ 42.74 respectively.

On an standalone basis

The Basic and Diluted EPS on a standalone basis for the nine month period ended December 31, 2011 was ̀ 42.65 and ̀ 42.65 respectively.Note:1. Earnings per share calculations are in accordance with Accounting Standard 20

“Earnings per Share” issued by the Institute of Chartered Accountants of India.2. Price to Earnings (P/E) ratio in relation to Offer Price of ̀ [l] per Equity Share On a consolidated basis

* Based on average of fiscal 2011, 2010 and 2009

floor price is 86 times of the face value and the cap price is

On an standalone basis

* Based on average of fiscal 2011, 2010 and 2009Note:As there are no listed companies in India that are directly comparable to the business carried on by our Company, no comparison with industry peers is being offered.

3. Return on Net WorthOn a consolidated basis

The Return on Net Worth on a consolidated basis for the nine month period ended December 31, 2011 was 20.29%.On an standalone basis

The Return on Net Worth on a standalone basis for the nine month period ended December 31, 2011 was 20.27%.Note:For details of Return on Net Worth computation, please refer to Annexure VI of the standalone and consolidated financials in the section “Financial Statements” on page 247 of the RHP.4. Minimum Return on Increased Net Worth required to maintain pre-Offer EPS for the year ended March 31, 2011.There will be no change in the net worth post Offer as the Offer is by way of offer for sale by the Selling Shareholders.5. Net Asset Value per Equity Share (“NAV”)

# There will be no change in the net worth post Offer as the Offer is by way of offer for sale by

the Selling Shareholders.## Offer Price per equity share will be determined on conclusion of the Book Building Process.Note:For details of Net Asset Value computation, please refer Annexure VI of the standalone and consolidated financials in the section “Financial Statements” on page 247 of the RHP.6. Comparison of Accounting Ratios with Industry PeersThere are no listed companies in India that engage in a business similar to that of our Company. Hence, it is not possible to provide an industry comparison in relation to our Company. The Offer Price of ̀ [l] per Equity Share has been determined by us, in consultation with the BRLMs, on the basis of the demand from investors for the Equity Shares through the Book Building process and is justified based on the above accounting ratios. For further details, see sections titled “Risk Factors”, “Our Business” and “Financial Statements” on pages 15, 132 and 247 respectively of the RHP, to have a more informed view. The face value of the Equity Shares is ̀ 10 each and the Offer Price is [l] times the face value of the Equity Shares.

Period Basic EPS (`) Diluted EPS Weightage

Year ended March 31, 2011 34.56 34.56 3Year ended March 31, 2010 43.30 43.29 2Year ended March 31, 2009 31.60 31.44 1Weighted Average 36.98 36.95

(`)

Period Basic EPS (`) Diluted EPS Weightage

Year ended March 31, 2011 34.46 34.46 3Year ended March 31, 2010 43.22 43.21 2Year ended March 31, 2009 31.71 31.55 1Weighted Average 36.92 36.89

(`)

Particulars P/E at the lower end P/E at the higher endof the price band of the price band

Based on Basic EPS of ` 34.56 for Fiscal 2011 24.88 29.86Based on Diluted EPS of ` 34.56 for Fiscal 2011 24.88 29.86Based on Weighted Average Basic EPS of ` 36.98* 23.26 27.91Based on Weighted Average Diluted EPS of ` 36.95* 23.27 27.93

Period Return on Net Worth (%) Weightage

Year ended March 31, 2011 20.77 3Year ended March 31, 2010 31.69 2Year ended March 31, 2009 32.18 1Weighted Average 26.31

Period Return on Net Worth (%) Weightage

Year ended March 31, 2011 20.71 3Year ended March 31, 2010 31.62 2Year ended March 31, 2009 32.25 1Weighted Average 26.27

Period In `

NAV as at December 31,2011 (consolidated) 210.58NAV as at December 31,2011 (standalone) 210.42

##Offer Price [l]

#NAV after the Offer (consolidated) 210.58

#NAV after the Offer (standalone) 210.42

Particulars P/E at the lower end P/E at the higher endof the price band of the price band

Based on Basic EPS of ` 34.46 for Fiscal 2011 24.96 29.95Based on Diluted EPS of ` 34.46 for Fiscal 2011 24.96 29.95Based on Weighted Average Basic EPS of ` 36.92* 23.29 27.95Based on Weighted Average Diluted EPS of ` 36.89* 23.31 27.98

BASIS FOR OFFER PRICE

For more details, see the section titled "Basis for Offer Price" on page 101 of the RHP.

THE FLOOR PRICE IS 86 TIMES OF THE FACE VALUE AND THE CAP PRICE IS 103.2 TIMES OF THE FACE VALUEBID CAN BE MADE FOR A MINIMUM OF 6 EQUITY SHARES AND IN MULTIPLES OF 6 EQUITY SHARES THEREAFTER

Final on 15.02.2012














In case of revision in the Price Band, the Bid/Offer Period will be extended for a minimum of three additional Working Days after revision of the Price Band subject to the Bid/Offer Period not exceeding 10 Working Days. Any revision in the Price Band and the revised Bid/Offer Period, if applicable, will be widely disseminated by notification to BSE Limited ("BSE"), and the National Stock Exchange of India Limited ("NSE" together with BSE, the “Stock Exchanges”), by issuing a press release, and also by indicating the change on the website of the Book Running Lead Managers (“BRLMs”) and at the terminals of the other members of the Syndicate and by intimation to Self Certified Syndicate Banks.

In terms of Rule 19(2)(b)(ii) of the Securities Contracts (Regulations) Rules, 1957, as amended (“SCRR”), this is an Offer for at least 10% of the post-Offer capital where the post-Offer capital of our Company calculated at the Offer Price will be more than ̀ 40,000 million. The Offer is being made through the 100% Book Building Process wherein at least 50% of the Net Offer shall be Allotted on a proportionate basis to Qualified Institutional Buyers (“QIBs”). 5% 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, including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Our Company and the Selling Shareholders may allocate up to 30% of the QIB Portion to Anchor Investors on a discretionary basis. Further, not less than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price. All potential investors, other than Anchor Investors, may participate in this Offer through an Application Supported by Blocked Amount (“ASBA”) process providing details of their respective bank account which will be blocked by the Self Certified Syndicate Bank (“SCSB”). QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilize ASBA process to participate in this Offer. Non residents other than FIIs are not permitted to participate in this Offer. For details, see section titled ‘Offer Procedure’ on page 460 of the RHP.



Promoter of our Company: FINANCIAL TECHNOLOGIES (INDIA) LIMITEDLISTING : The Equity Shares offered through the Red Herring Prospectus are proposed to be listed on the BSE. We have received in-principle approval from the BSE for the listing of our Equity Shares pursuant to letter dated May 19, 2011. For purposes of this Offer, the Designated Stock Exchange shall be the BSE.

Disclaimer Clause of SEBI : “SEBI only gives its observations on the offer documents and this does not constitute approval of either the offer or the offer document”. The investors are advised to refer to the Red Herring Prospectus for the full text of the Disclaimer clause of the SEBI.

Disclaimer Clause of BSE (the Designated Stock Exchange): It is to be distinctly understood that the permission given by BSE should not in any way be deemed or construed that the Red Herring Prospectus has been cleared or approved by BSE nor does it certify the correctness or completeness of any of the contents of the Red Herring Prospectus. The investors are advised to refer to the Red Herring Prospectus for the full text of the Disclaimer clause of the BSE.

IPO GRADING : This Offer has been graded by CRISIL Limited and has been assigned the “IPO Grade 5/5”, indicating strong fundamentals, through its letter dated December 15, 2011, which was revalidated subsequently vide letter dated Febuary 15, 2012 (together with a rating rationale dated January 6, 2012). The IPO Grading is assigned on a five-point scale from 1 to 5, with IPO Grade 5/5 indicating strong fundamentals and IPO Grade 1/5 indicating poor fundamentals. For details see the sections titled “General Information” and “Material Contracts and Documents for Inspection” on pages 67 and 508 of the RHP, respectively.

Availability of the Red Herring Prospectus : Investors should note that investment in equity shares involves a high degree of risk and are advised to refer to the Red Herring Prospectus and the Risk Factors contained therein before applying in the Offer. Full copy of the Red Herring Prospectus is available at www.mcxindia.com and www.sebi.gov.in and on the websites of the BRLMs at www.edelweissfin.com, www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm and www.morganstanley.com/indiaofferdocuments and on website of BSE at www.bseindia.com.

Availability of Bid-cum-Application Forms : Bid-cum-application forms can be obtained from our Company: Multi Commodity Exchange of India Limited, Book Running Lead Managers: Edelweiss Financial Services Limited :14th floor, Edelweiss House, Off C.S.T. Road, Kalina, Mumbai 400 098 Tel: (91 22) 4086 3535, Fax: (91 22) 4086 3610 Email: [email protected] Citigroup Global Markets India Private Limited 12th Floor, Bakhtawar, Nariman Point, Mumbai 400 021. Tel: (91 22) 6631 9890 Fax: (91 22) 3919 7814 Email: [email protected] Morgan Stanley India Company Private Limited 18F/19F, Tower 2, One Indiabulls Centre, 841, Senapati Bapat Marg, Mumbai 400 013 Tel : (91 22) 6118 1000, Fax: (91 22) 6118 1011, Email: [email protected], Syndicate Members: Edelweiss Securities Limited Tel: (91 22) 6747 1342, Fax : (91 22) 67471347, Sunidhi Securities & Finance Limited, Tel: (91 22) 66369669, Fax: (91 22) 66355673, SMC Global Securities Limited, Tel : (91 11) 6607 0400, Fax : (91 11) 2326 3297 and at the select locations of the sub syndicate members participating in the Offer. Bid cum Application Forms can also be obtained from the Stock Exchanges and the list of SCSBs available on the website of SEBI at www.sebi.gov.in.

Applications Supported by Blocked Amount (ASBA*) :


Investors may apply through the ASBA process. ASBA can be availed by all the investors except Anchor Investors. QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilise the ASBA process to participate in this Offer. The ASBA investor is required to fill the Bid cum Application Form and submit the same to their Self Certified Syndicate Bank or to the Syndicate at the Specified Cities. The SCSB will block the amount in the account as per the authority contained in the Bid cum Application Form and undertake other tasks as per the specified procedure in the Red Herring Prospectus. On Allotment amount will be unblocked and account will be debited only to the extent required to be paid for Allotment of equity shares. Hence there will be no need of refunds. Bid cum Application Forms can also be downloaded from the websites of Stock Exchanges and SCSBs. Bid cum Application Forms can be obtained from the list of SCSBs that is available on the website of SEBI at www.sebi.gov.in. For more details on the ASBA process, please refer to the Bid cum Application Form, the Abridged Prospectus and also refer to the section "Offer Procedure" beginning on page 460 of the RHP.

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Multi Commodity Exchange of India Limited


BID/OFFER







Company Tower 2,

Company Secretary and Chief Compliance Officer







(This is only an advertisement for information purpose and not a prospectus announcement)


Opens On: Wednesday, February 22, 2012**Closes On : Friday, February 24, 2012

**Our Company and the Selling Shareholders may consider participation by Anchor Investors. The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening date.”

Final on 20.02.2012







Company Tower 2,



























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Company Tower 2,










BID/OFFER OPENS TODAYCloses On : Friday, February 24, 2012



























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Company Tower 2,









BID/OFFER OPENCloses On : Friday, February 24, 2012




























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Company Tower 2,










BID/OFFER CLOSES TODAY















In terms of Rule 19(2)(b)(ii) of the Securities Contracts (Regulations) Rules, 1957, as amended (“SCRR”), this is an Offer for at least 10% of the post-Offer capital where the post-Offer capital of our Company calculated at the Offer Price will be more than ̀ 40,000 million. The Offer is being made through the 100% Book Building Process wherein at least 50% of the Net Offer shall be Allotted on a proportionate basis to Qualified Institutional Buyers (“QIBs”). 5% 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, including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price. All potential investors, other than Anchor Investors, may participate in this Offer through an Application Supported by Blocked Amount (“ASBA”) process providing details of their respective bank account which will be blocked by the Self Certified Syndicate Bank (“SCSB”) for the same. QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilize ASBA process to participate in this Offer. Non residents other than FIIs are not permitted to participate in this Offer. For details, see section titled ‘Offer Procedure’ on page 460 of the RHP.






IPO GRADING : This Offer has been graded by CRISIL Limited and has been assigned the “IPO Grade 5/5”, indicating strong fundamentals, through its letter dated December 15, 2011 (together with a rating rationale dated January 6, 2012). The IPO Grading is assigned on a five-point scale from 1 to 5, with IPO Grade 5/5 indicating strong fundamentals and IPO Grade 1/5 indicating poor fundamentals. For details see the sections titled “General Information” and “Material Contracts and Documents for Inspection” on pages 67 and 508 of the RHP, respectively.

Availability of the Red Herring Prospectus : Investors should note that investment in equity shares involves a high degree of risk and are advised to refer to the Red Herring Prospectus and the Risk Factors contained therein before applying in the Offer. Full copy of the Red Herring Prospectus is available at www.sebi.gov.in and on the websites of the BRLMs at www.edelweissfin.com, www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm and www.morganstanley.com/indiaofferdocuments.

Availability of Bid-cum-Application Forms : Bid-cum-application forms can be obtained from our Company: Multi Commodity Exchange of India Limited, Book Running Lead Managers: Edelweiss Financial Services Limited :14th floor, Edelweiss House, Off C.S.T. Road, Kalina, Mumbai 400 098 Tel: (91 22) 4086 3535, Fax: (91 22) 4086 3610 Email: [email protected] Citigroup Global Markets India Private Limited 12th Floor, Bakhtawar, Nariman Point, Mumbai 400 021. Tel: (91 22) 6631 9890 Fax: (91 22) 3919 7814 Email: [email protected] Morgan Stanley India Company Private Limited 18F/19F, Tower 2, One Indiabulls Centre, 841, Senapati Bapat Marg, Mumbai 400 013 Tel: (91 22) 6118 1000, Fax: (91 22) 6118 1011, Email: [email protected], Syndicate Members: Edelweiss Securities Limited Tel: (91 22) 6747 1342, Fax: (91 22) 67471347, Sunidhi Securities & Finance Limited, Tel: (91 22) 66369669, Fax: (91 22) 66355673, SMC Global Securities Limited, Tel : (91 11) 6607 0400, Fax : (91 11) 2326 3297 and at the select locations of the sub syndicate members participating in the Offer. Bid cum Application Forms can also be obtained from the Stock Exchanges and the list of SCSBs available on the website of SEBI at www.sebi.gov.in.



Investors may apply through the ASBA process. ASBA can be availed by all the investors except Anchor Investors. QIBs (except Anchor Investors) and Non-Institutional Bidders are mandatorily required to utilise the ASBA process to participate in this Offer. The ASBA investor is required to fill the Bid cum Application Form and submit the same to their Self Certified Syndicate Bank (SCSB) or to the Syndicate at the Specified Cities. The SCSB will block the amount in the account as per the authority contained in the Bid cum Application Form and undertake other tasks as per the specified procedure in the Red Herring Prospectus. On Allotment amount will be unblocked and account will be debited only to the extent required to be paid for Allotment of equity shares. Hence there will be no need of refunds. Bid cum Application Forms can also be downloaded from the websites of Stock Exchanges and SCSBs. Bid cum Application Forms can be obtained from the list of SCSBs that is available on the website of SEBI at www.sebi.gov.in







BID/OFFER OPENS TODAYCloses On : Friday, February 24, 2012







Company Tower 2,

Company Secretary and Compliance Officer







(This is only an advertisement for information purpose and not a Prospectus Announcement)
