How to check IPO allotment status?

Procedure to check IPO allotment status

How to check IPO allotment status

The recent frenzy in the stock market, especially in the last two years, has led to a number of IPOs getting listed. Listing gains have been common in various IPOs, resulting in higher participation by retail investors. RBI opined in a 2021 bulletin that 2021 might be a banner year for IPOs. This indeed happened, as many IPOs got subscribed more than their offered quantities.

Related: IPO performance in the Last ten years

So, if you are a new investor and you have applied to one of the IPOs, you might be wondering how to check if you have been allotted an IPO. Here, we will give a detailed step-by-step guide on how to check IPO allotment status:

1. IPO application -

First, you need to apply for an IPO. Using your Demat account, finalise the IPO you wish to apply for and submit your application online. If you don’t have a Demat account, you need to first set up a Demat account. You need to support your application via blocked amount on the website. Once you apply to the IPO, you will be allotted an application number, which you need to note down.

Related: All about IPOs in India

2. Allotment of shares -

In about seven days after the IPO application deadline, the registrar of the IPO finalises the IPO allotment. The allotment is as per the number of applications received. There can be two scenarios:

  • The total number of shares offered is more than the total bid quantity - In this case, everyone is allotted the shares, and there is no need for a lucky draw. If you have applied and your application was correct, you will get an IPO allotment.
  • The total number of shares offered is less than the total bid quantity - This is the case of an oversubscription of the IPO. Here, the allotment is finalised in such a way that everyone gets at least one lot. There might be a scenario in which the total number of applications is more than the number of lots offered. For this IPO, a lucky draw is conducted to allocate shares.

3. Checking of status -

Once the IPO allotment is finalised, the link of the share allotment status will appear on the registrar’s website. You can check the IPO allotment status on the website of the registrar of the IPO using your PAN number and DP id. Alternatively, you can check using the application number you noted earlier. Also, the IPO allotment status is visible on the BSE and NSE websites. If you do not have the link to the IPO registrar website, you can simply use the NSE or BSE website.

Related: What Did the IPOs of 2021 Teach Us? What Should We Look forward To in 2022?

Conclusion

The recent frenetic in the public issues and the IPO market has resulted in listing gains, and the IPO allotment is hard to get by. If you have applied for an IPO, you can check the IPO allotment status on the registrar of the IPO website or the NSE/BSE website. You need to check via a combination of PAN number and DP id, or you can also check using the application number. If you get IPO shares allotted, you can sell the shares on listing day using your Demat account.

Related: https://www.tomorrowmakers.com/ipos-fpos/ipo-exit-strategies-optimise-your-gains-article

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