After the rush for purchasing Lottotech company shares last month, the company is now having to reimburse quite a lot of money due to the overselling of the shares offer. The offer had been oversubscribed, with 12 385 requests for a sum of money of Rs 2.5 billions. The company had as sim Rs 850 millions. Now, it is going to have to reimburse the excess of money; the procedures of which have already begun as from the 29th of May.
Because of the over-subscription that occurred as a result of the offer, the company has had to review its allocation of shares. Those who have subscribed for less than 5000 shares will have the whole of the sum of requested shares. 13.5 millions such shares have been at stake. As for those who made offers for more than 5000 of these, they will be able to bag the first 5000 titles, and only 22.17 % of what is in excess of that. 65.8 millions of shares are involved in this category.
The rest will be distributed to retailers of the Lottotech and to directors and employees of the Gamma group, which is a major shareholder of the company and the State Investment Corporation (SIC), which has a share of 25 %. The latter will pay only Rs 9.50 per title, having benefited of a discount of 5%.
Investors who made offers for more than 100 000 shares will have the first 100 000 and later on only 22.17 % of the excess that is left.