TRANSPORT

in the nature of FORM2A - MEMORANDUM CONTAINING SALIENT FEATURES OF THE PROSPECTUSTERMS OF PAYMENTThe entire issue price for the NCDs is payable on Applicationonly. In case of Allotment of lesser number of NCDs thanthe number applied, our Company shall refund the excessamount paid on Application to the Applicant.27. Payment mechanism for ASBA Applicant: The ASBAApplicants shall specify the ASBA Account number in theApplication Form.For ASBA Applications submitted to the Lead Managers, theCo-Lead Managers, Lead Brokers, sub-brokers or TradingMembers of the Stock Exchange at the Specified Cities, theASBA Application will be uploaded onto the electronic systemof the Stock Exchange and deposited with the relevant branchof the SCSB at the Specified City named by such SCSB toaccept such ASBA Applications from the Lead Managers, theCo-Lead Managers, Lead Brokers, sub-brokers or TradingMembers of the Stock Exchange, as the case may be (A listof such branches is available at http://www.sebi.gov.in/sebiweb/home/list/5/33/0/0/Recognised-Intermediaries). The relevantbranch of the SCSB shall perform verification procedures andblock an amount in the ASBA Account equal to the ApplicationAmount specified in the ASBA Application.For ASBA Applications submitted directly to the SCSBs, therelevant SCSB shall block an amount in the ASBA Accountequal to the Application Amount specified in the ASBAApplication, before entering the ASBA Application into theelectronic system of the Stock Exchanges. SCSBs may providethe electronic mode of application either through an internetenabled application and banking facility or such other secured,electronically enabled mechanism for application and blockingof funds in the ASBA Account.ASBA Applicants should ensure that they have funds equalto the Application Amount in the ASBA Account beforesubmitting the ASBA Application to the Lead Managers,the Co-Lead Managers, Lead Brokers, sub-brokers orTrading Members of the Stock Exchange, as the casemay be, at the Specified Cities or to the DesignatedBranches of the SCSBs. An ASBA Application where thecorresponding ASBA Account does not have sufficient fundsequal to the Application Amount at the time of blocking theASBA Account is liable to be rejected.The Application Amount shall remain blocked in the ASBAAccount until approval of the Basis of Allotment and consequenttransfer of the amount against the Allotted NCDs to the PublicIssue Account(s), or until withdrawal/ failure of the Issue oruntil withdrawal/ rejection of the Application Form, as the casemay be. Once the Basis of Allotment is approved, the Registrarto the Issue shall send an appropriate request to the controllingbranch of the SCSB for unblocking the relevant ASBA Accountsand for transferring the amount pertaining to NCDs allocable tothe successful ASBA Applicants to the Public Issue Account(s).In case of withdrawal/ failure of the Issue, the blocked amountshall be unblocked on receipt of such information from theRegistrar to the Issue.28. Escrow Mechanism for Applicants other than ASBAApplicants: Our Company shall open an Escrow Account witheach of the Escrow Collection Bank(s) in whose favour theApplicants (other than ASBA Applicants) shall draw the chequeor demand draft in respect of his or her Application. Cheques ordemand drafts received for the full Application Amount fromApplicants would be deposited in the Escrow Account(s). Allcheques/ bank drafts accompanying the Application shouldbe crossed “A/c Payee only” for eligible Applicants must bemade payable to “Escrow Account STFC NCD V Public Issue”.The Escrow Collection Bank(s) shall transfer the funds fromthe Escrow Account into the Public Issue Account(s), as perthe terms of the Escrow Agreement, the Prospectus and theProspectus.The Escrow Collection Banks will act in terms of the Prospectusand the Escrow Agreement. The Escrow Collection Banks, forand on behalf of the Applicants, shall maintain the monies inthe Escrow Account until the Designated Date. The EscrowCollection Banks shall not exercise any lien whatsoeverover the monies deposited therein and shall hold the moniestherein in trust for the Applicants. On the Designated Date, theEscrow Collection Banks shall transfer the funds representedby Allotment of NCDs (other than in respect of Allotment tosuccessful ASBA Applicants) from the Escrow Account, asper the terms of the Escrow Agreement, into the Public IssueAccount(s).The balance amount after transfer to the Public Issue Account(s)shall be transferred to the Refund Account. Payments of refundto the relevant Applicants shall also be made from the RefundAccount as per the terms of the Escrow Agreement and theProspectus.The Applicants should note that the escrow mechanism is notprescribed by SEBI and has been established as an arrangementbetween our Company, the Lead Managers, the Co-LeadManagers, the Escrow Collection Banks and the Registrar to theIssue to facilitate collections from the Applicants.Each Applicant shall draw a cheque or demand draft mechanismfor the entire Application Amount as per the following terms:1. All Applicants would be required to pay the full ApplicationAmount at the time of the submission of the Application Form.2. The Applicants shall, with the submission of the ApplicationForm, draw a payment instrument for the Application Amountin favour of the Escrow Accounts and submit the same alongwith their Application. If the payment is not made favouringthe Escrow Accounts along with the Application Form, theApplication is liable to be rejected by the Escrow CollectionBanks. Application Forms accompanied by cash, stockinvest,money order or postal order will not be accepted.• The payment instruments for payment into the Escrow Accountshould be drawn in favour of “Escrow Account STFC NCD VPublic Issue”3. The monies deposited in the Escrow Accounts will be held forthe benefit of the Applicants (other than ASBA Applicants) tillthe Designated Date.4. On the Designated Date, the Escrow Collection Banks shalltransfer the funds from the Escrow Accounts as per the terms ofthe Escrow Agreement into the Public Issue Account(s) with theBankers to the Issue and the refund amount shall be transferredto the Refund Account.5. Payments should be made by cheque or demand draft drawnon any bank (including a co-operative bank), which is situatedat, and is a member of or sub-member of the bankers’ clearinghouse located at the centre where the Application Form issubmitted. Outstation cheques, post dated cheques and cheques/bank drafts drawn on banks not participating in the clearingprocess will not be accepted and Applications accompaniedby such cheques or bank drafts are liable to be rejected. Cash/stockinvest/ money orders/ postal orders will not be accepted.Shriram Transport Finance Company Limited17