Miscellaneous

Is IPO allotment first come first serve basis?

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Is IPO allotment first come first serve basis?

No, IPO doesn’t get allocated based on a first-come, first-serve basis. The allotment of shares in case of an IPO depends on the interest of the potential investors. If a lot of investors show interest in any particular IPO, then the allocation of shares to the retail investors is done through a lottery.

What is the formula for shares allotment in an IPO?

In IPO, the share of allotment is done through SEBI norms. The SEBI share allotment rules say that the minimum bid lot is determined based on the minimum application amount, which cannot pass or fall below 10,000 – 15,000 INR. Previously the range was between 5,000 – 7,000 INR.

Can we sell shares on first day of listing?

Yes, the process is that simple. Another strategy for selling on a listing day is that an investor can divide the total number of shares allocated into two parts. The first portion can be sold on listing day and the rest can be kept as a long-term investment.

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On what basis IPO is allocated?

If the total number of bids made by the applicants is less than or equal to the number of shares being offered, then complete allotment of stocks will take place. Thus, every applicant who has applied will be assigned shares.

On what basis IPO allotment is done?

Can I sell IPO shares on listing day?

IPO trading starts with the market opening time on listing day. Therefore you can’t sell prior to this moment. Hence IPO shares can be sold at or after the beginning of the normal trading session on listing day.

Is intraday allowed on listing day?

No, most of the brokers do not allow to have intraday positions on the listing day of an IPO due to its huge volatility on very first day, however, you may sell the allotted stocks once IPO is listed at 10:00AM. You may also purchase listed company’s shares for delivery if want to.

At what time IPO allotment status is declared?

In about 7 days’ time, the registrar of the IPO finishes and confirms allotment of the to successful bidders. The IPO allotment status can be checked via the website of the registrar. It can also be checked on the websites of the NSE or the BSE.

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How can I increase my chances of getting an IPO allotment?

8 Ways To Increase IPO Allotment Chances

  1. Avoid large applications.
  2. Apply with more than one demat account.
  3. Always bid at the cut-off price.
  4. Don’t rush at the last minute.
  5. Purchase parent company shares.
  6. Remember to approve the mandate request.
  7. Apply within the first two days.
  8. Verify all details carefully.

At what time IPO opens?

SESSION TIME EXCHANGE STATUS
Exchange Call auction Pre Open session for IPOs (New listing) and Re-listed Scrips Order Matching & Confirmation Period. 9:45am – 9:55am Open
Buffer Period. 9:55am – 10:00am Open
Continuous Trading for IPOs (New listing) and Re-listed Scrips 10:00am – 3:30pm Open

Can I sell IPO immediately?

You can easily sell your shares on any day without any issue. Retail investors who are also employees of that company can also sell their allotted shares without any issue.

What affects the price of SBI Cards IPO shares?

The demand and supply of SBI Card IPO shares, the market situation on listing day, allotment ratio and many other factors contribute to the listing price. Note that investment in the share market including IPO is among high-risk investments. When is SBI Cards IPO allotment expected?

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Will the allotment be done based on the number of SBI shares?

No, the allotment will not be done based on the number of SBI shares owned by you in SBI Cards IPO. As long as you are an eligible shareholder of SBI, the chances of allotment are the same. 9. How many SBI shares I require to apply in the SBI Cards shareholders category?

What is the minimum order quantity for SBI Cards IPO?

SBI Cards IPO is a main-board IPO of 137,193,464 equity shares of the face value of ₹10 aggregating up to ₹10,354.77 Crores. The issue is priced at ₹750 to ₹755 per equity share. The minimum order quantity is 19 Shares. The IPO opens on Mar 2, 2020, and closes on Mar 5, 2020.

What is the cut-off date for SBI Cards IPO 2020?

The cut-off date is the date of RHP filing that is 18th Feb 2020. Any investor who holds 1 or more shares of SBI on 18th Feb 2020 will be eligible for applying under shareholders category of SBI Cards IPO.

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