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IPO Allotment Status

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IPO Allotment Status

Check and track the allotment status of recently closed IPOs in just a few steps.

What is IPO Allotment?

Initial Public Offerings (IPOs) present an exciting opportunity for investors to participate in the growth story of promising companies. The journey from applying for an IPO to potentially receiving shares is marked by several key stages. Here is what you need to know about every step of your IPO journey.

IPO allotment is when shares of a company offered to the public through an Initial Public Offering are distributed among the applicants. When a company issues an IPO, it offers a specific number of shares at a particular price range to applicants. Investors apply for these shares, and if the IPO has more applicants than the shares available, the company and its registrars use a set method to distribute the shares fairly across different investors.

What are the Factors Affecting IPO Allotment?

Several factors can influence an investor's chances of receiving an IPO allotment. Understanding these can help investors better strategize their investment plan.
  1. Subscription Levels

    This is the most significant factor. If an IPO is heavily oversubscribed, the probability of receiving an allotment for each applicant decreases significantly. Different categories of investors (Retail Individual Investors - RIIs, Non-Institutional Investors - NIIs, and Qualified Institutional Buyers - QIBs) have specific quotas, and oversubscription in any of these categories impacts IPO allotment within that group.

  2. Application Size

    Applications for Retail Individual Investors are usually submitted in "lots." While it may make sense to apply for more lots, RII categories frequently use a lottery system to distribute one lot to as many individual applicants as possible, rather than multiple lots to fewer applicants.

  3. Investor Category

    IPOs typically reserve a certain percentage of shares for different investor categories. For example, RIIs often have a 35% reservation. The category in which the investor is applying for IPO allotment influences the pool of shares they are competing for.

  4. Issue Size

    A larger IPO issue size generally means more shares are available for distribution, potentially increasing the chances of allotment for individual investors, assuming similar demand levels.

  5. Basis of Allotment (BoA)

    The registrar, in consultation with the stock exchanges, determines the basis of allotment. This could involve a proportional allotment, a lottery system, or a combination, especially for oversubscribed categories.


How to Increase Chances of IPO Allotment?

While allotment in a heavily oversubscribed IPO can often come down to luck, there are strategies that investors can employ to potentially improve their chances for IPO allotment.
  1. Apply in the Retail Category

    Retail Individual Investors (RIIs) have a reserved quota of 35% of the total IPO issue size. To qualify as a retail investor, the maximum investment limit is ₹2 lakhs per IPO per PAN.

  2. Use Multiple Demat Accounts

    Each unique PAN is considered a separate application. If multiple family members (spouse, parents, adult children) each have a Demat account and apply for one lot through their respective accounts, it can statistically increase the family's chances of securing an allotment.

  3. Stay Informed

    Keep an eye on the IPO subscription status. While it won't change the application, it can give investors an idea of the likelihood of allotment.


The Complete IPO Process

Step 1: Issue Open Date

The first day for investors to submit IPO applications.

Step 2: Issue Close Date (T)

The final day to apply for the IPO.

Step 3: Basis of Allotment (BOA) Announcement

By T+1 (one working day after issue close), allotments must be finalized no later than 6 PM. Registrars perform third-party verification of applications, matching PAN in the Demat account with that in the linked bank account for accuracy.

Step 4: Initiation of Refunds

On T+2 (two working days post-closure), refunds for unsuccessful applicants and unblocking of ASBA funds are credited promptly.

Step 5: Share Credit Date

By T+2, successful applicants receive allotted shares directly in their Demat accounts, ensuring much quicker access to their investments compared to the previous regime.

Step 6: Listing Date

On T+3 (three working days after issue closing), the company’s shares begin trading publicly on stock exchanges. This faster listing benefits issuers with quicker capital access and investors with earlier liquidity.


How to Check IPO Allotment Status?

Checking the IPO allotment status is a straightforward process. For this, investors will need one of the following details:
  • PAN (Permanent Account Number): The unique tax identification number.
  • Application Number: Provided when an investor applies for the IPO.
  • Demat Account Number (DP ID/Client ID): The Demat account details.

Investors can check their allotment status on the website of the IPO registrar, which is a SEBI-registered entity responsible for managing the IPO process. Investors can also check the allotment status on NSE and BSE.


Popular IPO Registrar Websites

To check the IPO allotment status, investors can visit the registrar’s website for the IPO. Some of the most frequently used IPO registrars in India include:

Always ensure you are visiting the official registrar's website. You can find the name of the registrar for a specific IPO in its Red Herring Prospectus (RHP) or on the exchange websites.


Important Tips for Investors

Some important tips for investors applying for allotment in an IPO:
  1. Understand the Company

    Before applying, thoroughly research the company, its business model, financials, management team, and the industry it operates in. Do not apply solely based on hype.

  2. Read the Red Herring Prospectus (RHP)

    This document contains all essential information about the IPO, including risk factors, financials, and the basis of allotment.

  3. Apply Through a Reputable Platform

    Use a trusted and reliable broking platform for a smooth IPO application experience.

  4. Keep Funds Ready

    Ensure you have sufficient funds in your bank account linked to your Demat for the ASBA (Applications Supported by Blocked Amount) process.

  5. Actively Track Your Application

    After applying, keep track of the IPO timeline, especially the allotment and listing dates.

Frequently Asked Questions

You will need your PAN (Permanent Account Number), your IPO application number, or your Demat account number (DP ID/Client ID) to check the IPO allotment.

The IPO allotment status is usually announced on T+2 days after the IPO's issue close date. The exact date will be mentioned in the IPO's timeline.

You might not receive shares if the IPO was heavily oversubscribed. In such cases, a lottery system is often used, and not all applicants can be allotted shares.

The IPO allotment date is when the shares are officially allocated to successful applicants. The listing date is when the company's shares start trading publicly on the stock exchanges.

If your IPO application is not allotted, the blocked amount will be unblocked and refunded to your bank account within T+2 working days after the finalization of the basis of allotment.




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