IPO Snapshot
 
Bajaj Consumer Care Ltd.
Issue Open Date 02-Aug-10  
Issue Closing Date 05-Aug-10  
Application Money 100  
Allotment Money  
Price Band 630 - 660  
Minimium Application No. 10  
Issue Size (Shares) 4500000  
Market Lot 1  
Objective
Our Company intends to utilise the Issue Proceeds for the following objects:(i). Promote our future products;(ii). Acquisitions and other strategic initiatives; and(iii). General Corporate Purposes.
Category No. of Shares No. of Shares Subscription Ratio
  Offered / Reserved Bid For  
Non-Institutional Investors   450000   24069410   53.4875777777778  
Qualified Institutional Buyers   1890000   38157810   20.1893174603175  
Retail Individual Investors   1890000   38157810   20.1893174603175  
Business Description:
Bajaj Corp Ltd is one of India’s leading producers of hair oils. We are part of the Shishir Bajaj Group of companies (the"Bajaj Group"). Through its subsidiaries, the Bajaj Group operates businesses in the consumer goods, sugar, powergeneration and infrastructure development industries throughout India. The "Bajaj" name is a well-recognized Indianbrand that consumers associate with quality products at competitive prices. The Bajaj Group has grown into one of India’sleading business conglomerateThe legacy of Bajaj Corp extends back to 1953 when Mr. Kamal Nayan Bajaj established Bajaj Sevashram ("BSL") tomarket and sell hair oils and other beauty products. In 2001, in view of the impending Bajaj family settlement, the businesswas demerged to Bajaj Consumer Care Limited ("BCCL"). BSL assigned the trademarks for all of the brands we currentlysell to BCCL. Subsequently, BCCL licensed these brands to us, pursuant to the Trademark License Agreement. Theexclusive agreement is valid for a term of 99 years from March 12, 2008 and is extendable for an additional ten years. Webegan operating as Bajaj Corp Ltd in April 2008. The Trademark License Agreement granted us the exclusive right to use,manufacture, advertise, distribute and sell the products associated with these brands. We have since become India's thirdlargest producer of hair oils and the largest producer of light hair oils, capturing an estimated 49.5% of the light hair oilmarket in calendar year 2009, according to the Nielsen Retail Audit Report. We believe that our name recognition, productquality and marketing experience have enabled us to create one of the stronger consumer brands in India.. Our key productis Bajaj Almond Drops, a premium brand that is currently the market leader in the light hair oil segment. Almond Dropsaccounted for approximately 92% of our net sales in the nine-month period ended December 31, 2009. In addition, wemarket our hair oil under the brand names Brahmi Amla, Amla Shikakai and Jasmine Hair Oil. We also produce oral careproducts under the brand name Bajaj Black Tooth Powder.We manufacture our products at two company-operated facilities in Parwanoo and Dehradun. We also expect to open athird company-operated facility in the first quarter of calendar year 2010 at Paonta Sahib. By completing this 3,500 squaremeter facility in Paonta Sahib, we expect our production capacity for light hair oil to increase from 39 million litres perannum to 74 million litres per annum. In addition, we also engage third-party manufacturers at Parwanoo, HimachalPradesh for hair oils and Udaipur, Rajasthan to produce our oral care products. These third-party facilities have acombined installed capacity of 9 million litres per annum. As of December 31, 2009, the combined production capacity forall company and third-party operated production facilities was 83 million litres per annum.We market our products through our in-house sales team as well as sales personnel employed through our distributors.These sales personnel are responsible for making our brands available throughout India. We manage a distribution networkthat includes 4,300 distributors, or "stockists", that sell to more than 1.49 million retail outlets located throughout India.We believe we are well-positioned to compete in a dynamic marketplace by offering our customers high quality products ataffordable prices. We believe that demand for fast moving consumer goods ("FMCG"), particularly hair oil, will continueto increase, most notably in rural areas of India where consumers have generally experienced an increase in disposableincomes due to farmers shifting to cash crops, rural employment generation schemes and general economic growth.In the nine-month period ended December 31, 2009, we recorded net sales of Rs.2,335 million. Net sales of our productshave grown at a CAGR of 22% over the last three fiscal years (including sales data from when our products were sold byBCCL). Our profit after tax for the nine months period ended December 31, 2009 was Rs.565.0 million. Domestic salesaccounted for approximately 99% of net sales for the same period
Promoter's Holding
Total Share Capital   25000000  
Offered to Public   4500000  
Promoter's Holding (Pre-Issue)   100  
Promoter's Holding (Post-Issue)   84.75  
Address
Old Station Road
Sevashram Chouraha

Udaipur ,
Rajasthan ,
313001
Phone : 0294 2561631/32
Email : complianceoffice@bajajconsumer.com
Website : www.bajajconsumercare.com
Registrar
K FIN Technologies Ltd.-(Karvy Fintech Pvt Ltd.)
Plot No 17-24
Near Image Hospital

Reliance Cybervilae
Vithalrao Nagar

Madhapur
Hyderabad
Listed at
BSE, NSE
Lead Manager
Kotak Mahindra Capital Co Ltd
Promoters
Apoorv Bajaj
Bajaj Consumer care Limited
Kushagra Bajaj
Minakshi Bajaj
Shishir Bajaj