Hi, I applied to Aptus IPO through groww app and got 1 allotment. It''s showing shares are credited but returns are -100% . And loss of -14, 826 rs. And listing is not yet done. Is this correct? Anyone else facing same situation?
ONE BAD LISTING HAS CHANGED THE SENTIMENT. If on monday nuvoco list at ctc or slight premium then again surly it will change sentiment. Monday market will bounce back for sure. one thing to note kafi maal hai counter ke paas so they will loose big if it list below 300.
408. arunARUN| Link| Bookmark|
August 22, 2021 8:35:50 AM
IPO Guru (1900+ Posts, 1600+ Likes)
Share will come under pressure early morning. As HNIs will exit lock stock and barrel from an expensive stock There are better price housing finance companies in price sense i.e. Repco, Canfin etc
Questions is :- What will be best price for Aptus As compared to other peer? At what price we expect it to settle in long term? What would had been IPO price? ( Comparing others).
407. Aniketiaf| Link| Bookmark|
August 22, 2021 9:34:58 AM
IPO Guru (1800+ Posts, 10200+ Likes)
407.24. ColdBurgerI Like It. 1|Report Abuse|Aug 21, 2021 23:36 Top Contributor Top Contributor (200+ Posts) @Aniketiaf ji:. I wanted your view about dividend vs buyback. If the scrip does not move near to buyback price by record date then it may result in short term loss also. What about high dividend paying companies like PTC India (5.5/- dividend) if they are also available at reasonable cmp ...................
ColdBurger
When it comes to reward the shareholders, companies have two ways- Dividend distribution & Buyback or both. Both buyback and dividend options are a great way of rewarding the shareholders. For someone looking for regular income, dividends option would be good. Those looking for long-term gains, buyback options will be beneficial.
Now your concern about If the scrip does not move near to buyback ......
No matter, because a higher AR will will cover all. Many examples are there . During last buyback of IOC (2018) buyback price was 149 and CMP was 134 . I don''t remember the price of IOC touch 149 after Buyback it was falling continuously and reached below 100. But all those purchased for buyback are heavily gained in short term as all the shares are accepted during buyback process ( 100% AR). Same thing was happen in last buyback of Star cement also where a higher AR (91%) made the process highly profitable in short term.
In dividend distribution, the price of share is adjusted before record date whereas in buyback there is no such adjustment.
Tax liability also make "Buyback" - a better choice. In dividend payout, Shareholders have to pay tax on entire amount of money received as per their tax slab . Also dividends in excess of Rs 5,000 per company will be subject to TDS at the rate of 10% in the hands of receivers effective from 1 April 2020. Previously, dividends received by investors were made tax-free in their hands as the company paying out dividends was subject to paying dividend distribution tax (DDT). whereas as per Union Budget 2019 ( vide Finance Act 2019) Companies making buy-back are liable to pay tax at the rate of 20% on the difference between buy-back price and issue price and shareholders are not liable for the capital gain tax.
Buybacks signify that a stock is undervalued and the company wants to signal the future potential growth opportunities, the share price is expected to increase. Whereas, the dividends provide no such signal.
If any one wants to built wealth over the time then share buyback is much better option than dividend payout because after Buyback EPS of the company will rise as floating share count falls after tender.
I think, I am able to clear at least some portion of your doubts. ( Replying as another place, not at usual thread to easily access by others also because I think it may be beneficial for others also)
Aniket ji, What an elaborate study of pros and cons of both buyback and dividend. Hats off to your analytical study. I once again appreciate your kindness to spare your valuable time to discuss in detail. That’s why you are elevated as a gem of the forum. God blesses you with all the best.
407.2. ColdBurger| Link| Bookmark|
August 22, 2021 11:35:27 AM
IPO Mentor (1300+ Posts, 400+ Likes)
@Aniketiaf ji: Thanks for spending time to reply with reasoning and analysis. This kind of explanation is very helpfull for freshers like me🙏
One question I have now. How to take tax advantage of buyback profit for accepted shares as well if kept and booked profit at later stage I will do my research as well on it. Tax thing is something which affects my decision and fail to book profit.
I was checking some of the earlier post for eclerx buyback in other online resources and it was mentioned that AR was less than 20% I agree that buyback should increase EPS which can sooner or later improve the share price. Does it really make sense to enter a stock to participate in buyback when AR is expected to be less than 30% or we are taking a line that if it is accepted in buyback then it is fine otherwise in the longer term we will not lose anything?
IPO Mitr ji, Though I am a kid in all aspects when compared to the IPO GEM Aniket ji, I am bold enough to submit the following with a thought that it may help you at least to a small extent.
Presuming that you have purchased 60 shares at the cost price of Rs. 2300/-, the total cost is Rs.138000 Suppose, AR is only 20% as you believe, the amount received will be 12x3200 i.e., Rs. 38400 The cost of unaccepted shares will be 99600/48 i.e Rs. 2075 i.e, Rs. 99600 The average price for the month is around Rs. 2070/-.
Suppose the price has fallen below Rs. 2075/-after buyback, the share can be hold for a better price for some time. The only thing is that you should be confident and have patience for some time to wait for the price.
If you are not in a position to hold, if necessary, as stated above, my humble submission is to avoid participating in buyback.
I don’t know how far I am succeeded in my attempt to express my views to help you.
407.5. Aniketiaf| Link| Bookmark|
August 22, 2021 5:28:06 PM
IPO Guru (1800+ Posts, 10200+ Likes)
Though I am a kid in all aspects when compared to the IPO GEM Aniket ji............
KAMMA SIVA RAMA KRISHNA Ji,
कितना शर्मिंदा करेंगे आप मुझे । यकीन मानिए, अपनी आलोचनाओं से मैं उतना विचलित नहीं होता जितनी अपनी झूठी प्रशंसा से। कृपया ध्यान रखें 🙏🏾🙏🏾
I am extremely sorry had my feelings hurt you in anyway. Whatever gratitude I do have in my heart, that only speaks of you. I never thought that I am troubling you with my expressions. I admire from the bottom of my heart your readiness to help/ respond to the prayers.
If you still believe that I am humiliating you, I don’t mind touching your feet to beg for your kindness to excuse me. I accept people as they are.
I am poor in reading in between the lines n understanding Hindi language properly. I once appeal you to pardon me for crossing my limits, if any you believe in so.
I assure you that I will be conscious enough before posting any comments hereafter. Sorry for my immaturity in sharing my feelings.
407.7. ipobull| Link| Bookmark|
August 22, 2021 8:04:56 PM
IPO Guru (1000+ Posts, 1000+ Likes)
@ Ankitef, Your explained the thing very beautifully. Moreover, the nice thing is that you respond without fail with correct information. There is sense in whatever you say.
K S Rama Krishna sir- Don''t feel so much sorry as you expressed in your post. I think you could not understood the actual meaning of Aniketiaf sir- may be due to language problem (Hindi font). In brief, he told you that you are always overestimating him and praising him more and more that he doesn''t deserve ( as per him ). He also objected when you keep yourself as a kid in front of him ( about knowledge) because he feels you are more or equal knowledgeable person. I think, it''s his greatness only where he always ready to give due respect to all other members. That''s why, Aniketiaf sir is loved by everyone present at this forum. One last thing, from my side- You are also a GEM of the forum. Apart from Market instrument ,I am also learning nobility and English (How nicely your expressing )from your posts. Thanks a lot to you, Aniket sir,and other experts who always here with valuable suggestions for us.
Thank you very much for your kindness in enlightening me of the matter. I also humbly submit my gratitude for your kind words. I have the highest regard for ANIKET JI. Sometimes, I am overwhelmed with his prompt response and ultimately that is all resulting in my expressions. I humbly submit that it is true that I am a kid. I know my limitations and also know what I have to learn from the gems of the forum. Anyway I once again thank you very much for your kind words.
Can you please also explain a little on buyback tax liability.. 1) Buyback money will goto direct bank a/c or to our broker account? Are we not supposed to pay tax on that? 2) Hope the capital gain tax rule remain same for not accepted shares once they are sold!
I humbly submit that I am not having much experience in this field. I always seek the advice n follow the views of Aniket ji and act accordingly.
Whatever little knowledge I do have, I submit here. If it helps you in any way, I will be happy.
Buyback money will be directly credited to your Bank account only.
As I am a very small investor and has not gained any significant amount, I haven’t paid any tax on capital gains so far. Moreover, the account I operate mainly is of my wife with no other income.
My understanding on tax on capital gains is almost zero. Please seek the advice of experts in this regard. If I am not wrong, the rule of Capital gains tax remain unchanged regarding the amount realised on selling the unaccepted shares after buyback. I am not sure of this. I am extremely sorry for disappointing you. I also request the experts to respond to this query please.
I once reiterate that I am in the process of learning from the knowledgeable gems of the forum. Last but not least is that I am very much grateful to you for your impression on me. I am sorry to say that You have over estimated my knowledge n experience.
Respectfully to all members of the forum, I request that when a post/reply is directed to someone specific then we should give some time to her/him to reply. If others jump-in to reply immediately then original person may not feel motivated enough to respond.
Written communication is not as perfect as Visual or verbal communication hence lot many times hidden meaning in written communication is not completely understood or mis-understood by others. Please give time to the person to whom any post is directed. If someone still wants to share his/her thinking, it is better to share in a separate thread.
I am extremely sorry for my hasty response to your query addressed to Sri Aniket. I assure you that I will avoid recurrence. Once again I wholeheartedly n humbly submit my regrets. Thank you very much for your outspoken attitude.
Thanks for your response and sharing what you know and what you don''t know. Humbleness is a great quality which helps in attaining great things and such people does not stop learning.
Google translate is there to help you and everyone :) Aniketiaf ji has not written anything which can make you feel guilty. Anyway I enjoy reading communication between you too a lot.. I am posting what he wrote as per google translate. Note this is not kind he is feeling embarrassed ..but it is kind he is overwhelmed by your continuous praise...
"How much will you embarrass me? Trust me, I don''t get distracted by my criticisms as much as by my false praise. Please take care
ColdBurger ji, Thank you very much for taking pains to place the translation. I am only a bit disappointed on treating my gratitude n belief as false praise. OK. Leave it. It’s my bad.
Aniket ji and INDIAWAY ji, Thank you very much for your information. Due to financial constraints, I have purchased only 500 shares @ Rs.116.3 as I have seen the details almost in the closing hours of the exchanges. No problem. I strongly believe that we will definitely get whatever is due to us.
Dear Aniket Jee, Yesterday your Calculation For Carol Lab Is Very Good. Sir Jee Aap Great Ho,Aap Ke Charan Sparsh Karta Hoon And Aap Ko Pranam Karta Hoon , I Once again thank You Very Much for your great help in sparing your valuable time to furnish Such Information In Yesterday.
1. The Board approved the proposal of Eclerx buyback of fully paid-up equity shares of face value 10 each of the Company for an amount not exceeding 303 Crores.
2. Eclerx Buyback 2021 price is 3,200 per Equity Share through the "tender offer" route, on a proportionate basis.
Sarita Madam, Thank you very much for your updated information regarding the buyback details of eClerx Services. I pray for the guidance/ views of ANIKET JI regarding the buyback.
406.11. Aniketiaf| Link| Bookmark|
August 14, 2021 9:45:08 PM
IPO Guru (1800+ Posts, 10200+ Likes)
Eclerx Buyback 2021
Again a very good opportunity. Can be grabbed by both the hands.
Aniket ji, Thank you very much for your prompt guidance. Now we can confidently proceed. We are all indebted to you for your valuable views. Kindly continue to help. Good night, Sir.
At the Maximum Buy Back Price i.e. ~ 3,200/- (Rupees Three Thousand and Two Hundred only) per Equity Share and for Maximum Buy Back Size i.e. ~ 3,030 Millions (Rupees Three Thousand and Thirty Millions only), indicative maximum number of Equity Shares proposed to bought back would be 9,46,875 (Nine lakhs Forty Six Thousand Eight Hundred and Seventy Five) Equity Shares ("Indicative Maximum Buy Back Shares"). However, the actual bought back shares may exceed the Indicative Maximum Buy Back Shares, if the Buy Back price fixed by the Buy Back Committee is less than the Maximum Buy Back Price, subject to not exceeding 25% of the total number of Equity shares in the paid-up Equity Share capital of the Company and the amount utilized shall not exceed Maximum Buy Back Size
Star cement looks good. I somewhere read chance of 40% acceptance ratio. If so is the case then it seems good deal @116. But need full details like till what date i can submit and what is the process. I may go for not much but 750 and if 300 got accepted then it will be good.
@chittorgarhadmin: Request to add Star cement buyback page.
How can we decide whether the anchor investor list is good or not.
406.19. Aniketiaf| Link| Bookmark|
August 20, 2021 11:44:41 AM
IPO Guru (1800+ Posts, 10200+ Likes)
DSR, In 2019 , Eclerx was fixed buyback price at 1500 while cmp was about 1100. After record date it''s fall below 500. Now just after two years, Eclerx is fixed buyback price at 3200 while CMP is around 2300. Is it not a big positive for a company.?
Aniket ji, Thank you very much for your kind reassurance which has regained confidence. Undoubtedly, your valuable remarks boost the morale n get going mood of the readers. Once again I bow down for your kindness in sharing your views.
406.21. lokes| Link| Bookmark|
August 21, 2021 1:02:33 PM
IPO Guru (4400+ Posts, 5100+ Likes)
@aniket: in last two years if eclerx company price increased so much, for that we need to see other aspects also that whole IT industry has shown this tremendous growth during this time...see the shares of mphasis, mindtree, l & t infotech and large cap IT companies,how many times they have grown so its not just eclerx which has grown... But same thing may not be repeated in future again if this time also price will go down a lot after buyback....
@Aniket @Lokes I did some fundamental study on this as well..company is growing however past three years less than 3% sales growth, profit degrowth at -4% over five yrs.. however shareholding pattern is exciting all promoters, FII and DIIs incresing and public holding decreasing.
In summary company may continue doing good in future however buyback per se we need to be careful, there is a chance that price may fall drastically in short term post that. Since promotor also participating. And this opportunity could also be used for pumping and dumping of shares with low acceptance ratio.
This type of healthy discussion helps in knowing the pros and cons of the issue. It is of great help to the curious people like me. Thank you all. Good going. Keep discussing all the issues like this. Good night.
@Aniketiaf ji:. I wanted your view about dividend vs buyback. If the scrip does not move near to buyback price by record date then it may result in short term loss also. What about high dividend paying companies like PTC India (5.5/- dividend) if they are also available at reasonable cmp ? LIC Housing finance also sharp down and have declared dividend as well exceeding previous year! Fund houses had given above 600 target.
Today I have purchased 500 shares of star cement as it is less than Rs.112 and buy back is Rs.150. Please share me the process as I am very new to this buy back.
I bought Star cement share before 5 days of the record date and average price around Rs. 115.50 with qty of 1421 . As price comes down . Can I buy more now ? . If I buy more qty , Is there any impact while applying buy back option . I saw there will be higher chances of acceptancy in retail catagory compare to general catagory . My wory is if I added more qty value may go beyound 2 lakh . First time I am applying Need your adivse .
406.35. ColdBurger| Link| Bookmark|
August 29, 2021 7:01:32 AM
IPO Mentor (1300+ Posts, 400+ Likes)
What if Balrampur chini price doesnot move to 410 during buyback period? Will company buy at CMP or will not buy ? It is open market buyback so why will compi pay more?
@coldburger 410 is maximum buyback price..company will buy at cmp if it is lower.
And in open market we don''t get to submit our share and get money at maximum buyback price. It is a gradual price appreciation over time..case in point INFY I bought heavy quantity at 1330 after buyback announcement and in couple of months it reached to its max buyback price of 1750.. where I sold 50%...Will add more if it come down below 1550 now.
Hello PSR all my third party app accepted n alloted
405.6. Have Faith| Link| Bookmark|
August 19, 2021 9:00:47 AM
Top Contributor (500+ Posts, 100+ Likes)
PSR there is no issue if u apply with your different bank account other then tha account linked with demat account ....my idbi account is linked with demat and I always apply using Canara Bank asba ...and got allotment many times
@Have Faith Do you apply using 3rd party application of regular ASBA
405.8. PSR| Link| Bookmark|
August 19, 2021 9:40:44 AM
IPO Guru (1200+ Posts, 700+ Likes)
Mr.. ManikjI It has been mandated that all the applications from the third party bank Accounts are liable rejection. However, the Registrars are unable to implement this mandate apparently due to practical difficulties in implementation. In this case, the Registrar declared the allotment on the evening of Fourth working day after the closure of the issue as against evening of Third worked followed earlier. Hence, I was of the opinion that there could be case of Rejection of third party applications. Since, you have the allottment in thrid party applications, my inference is not correct.
Mr. Have Faith I am also appying from the accounts other than the ones linked to Demat account and sometimes getting allotment. My only apprehension is whether they have rejected the applications from the Bank Accounts which are not linked to Demat Account.
The apparent reasons given by us for rejection is only Guess Work, and only the Reegistrar would be able to specify the exact reason.
405.9. Have Faith| Link| Bookmark|
August 19, 2021 10:05:29 AM
Top Contributor (500+ Posts, 100+ Likes)
PSR bank account should belong to your name .. doesn''t matter whether it is linked with demat or not ..... because I am doing it from 2 years and not even a single time application was rejected ..so I am pretty much confident that there is no rejection
405.10. Have Faith| Link| Bookmark|
August 19, 2021 10:06:11 AM
Top Contributor (500+ Posts, 100+ Likes)
405.13. aRYANrAJ| Link| Bookmark|
August 19, 2021 1:55:48 PM
Top Contributor (600+ Posts, 100+ Likes)
TBH, I got allotment via 3rd party asba (GR Infra), 3rd party upi (Tatva) and same upi id for 3 different accounts (RFCL) so don''t know how does this works. Also I am not getting allotment (until Aptus) on using correct way! Weird.
MB00000003874763 (1lot)- Sorry! You have not been allotted any shares against your application. 2400024070064992 (12 lot) - Sorry! You have not been allotted any shares against your application.
405.18. lokes| Link| Bookmark|
August 20, 2021 1:21:17 AM
IPO Guru (4400+ Posts, 5100+ Likes)
@ipo learner: you are giving here reason from allotment link...I asked to check in mail from kfintech....you must have got email.... For eg: in krsnaa diagnostic, below was mentioned in my email, same way check what is mentioned in status in your email.
Status Regret - Un-successful allotment due to over-subscription
We thank you for your e-mail with respect to your application made in the subject IPO.
As per our records we regret to inform you that your application was unsuccessful in getting allotment, since the application got rejected on technical reason “APPLICATION WITH PAN MULTIPLE". We request you to take up the matter with your concern broker/ASBA banker where you have submitted the application for necessary resolution as the bidding process is not within our purview.
Thanking you and assuring our best services at all the time.
Dear Experts , Is it wrong to apply 2 applications( diff bank ASBA) for Same PAN in retail category ?
405.23. lokes| Link| Bookmark|
August 21, 2021 3:56:39 PM
IPO Guru (4400+ Posts, 5100+ Likes)
@ipolearner: ohh you used same pan means single individual and applied two different applications....ya that is wrong and both applications are rejected in that case.... This is very basic thing.....always remember from Pan only one application from any bank asba or any demat account.....but only one application per PAN allowed.
>>>>Dear Experts , Is it wrong to apply 2 applications( diff bank ASBA) for Same PAN in retail category ?
2 applications in same category (retail in yr case) will get rejection. If you need to apply multiple lots , add them from one application till 2 lacs limit (if u intended to apply in retail cat)
405.25. lokes| Link| Bookmark|
August 21, 2021 4:07:11 PM
IPO Guru (4400+ Posts, 5100+ Likes)
@vantage: you mentioned "2 applications in same category (retail in yr case) will get rejection" i hope you are aware that two applications in different category (one in retail and one in hni) in one ipo using single PAN also not allowed and will be rejected...so only ONE application per PAN per IPO.... only if ipo is having shareholder category, then we can apply in both retails and shareholder category using same PAN if holding shares of parent company
Aptus i hope Listing 380 385 Market bullish Shx nifty Green 151
402. arunARUN| Link| Bookmark|
August 21, 2021 7:42:22 PM
IPO Guru (1900+ Posts, 1600+ Likes)
Get out even at small loss there is much to choose 32 DRHP filed in last 30 days Date Issue name Aug 20, 2021 AGS Transact Technologies Limited Aug 20, 2021 Prudent Corporate Advisory Services Limited Aug 20, 2021 Emcure Pharmaceuticals Limited Aug 18, 2021 MedPlus Health Services Limited Aug 18, 2021 Sterlite Power Transmissions Limited Aug 18, 2021 Tega Industries Limited Aug 18, 2021 Rategain Travel Technologies Limited Aug 18, 2021 INSPIRA ENTERPRISE INDIA LIMITED Aug 17, 2021 Tracxn Technologies Limited Aug 17, 2021 VLCC HEALTH CARE LIMITED Aug 17, 2021 Go Fashion (India) Limited Aug 17, 2021 Paradeep Phosphates Limited Aug 17, 2021 CMS Info Systems Limited Aug 16, 2021 Latent View Analytics Limited Aug 13, 2021 Le Travenues Technology Limited Aug 12, 2021 Sapphire Foods India Limited Aug 11, 2021 Tarsons Products Limited Aug 10, 2021 Sigachi Industries Limited Aug 10, 2021 KEVENTER AGRO LIMITED Aug 09, 2021 Fusion Micro Finance Limited Aug 09, 2021 Gemini Edibles & Fats India Limited Aug 05, 2021 Popular Vehicles and Services Limited Aug 03, 2021 Adani Wilmar Limited Aug 03, 2021 FSN E-Commerce Ventures Limited Aug 02, 2021 PB Fintech Limited Aug 02, 2021 Fino Payments Bank Limited Jul 28, 2021 S.J.S Enterprises Limited Jul 26, 2021 ESAF Small Finance Bank Limited Jul 23, 2021 Star Health and Allied Insurance Company Limited Jul 20, 2021 Anand Rathi Wealth Limited Jul 19, 2021 Chemspec Chemicals Limited Jul 19, 2021 HP ADHESIVES LIMITED
Sab bahti ganga me hath dhone wale hai promoters . Nuksaan kewal retailers ko hi hone wala hai . Maximum IPOs over pricing hi hone Wale hai . Ipo bharne tak hype Listing par dabba gol .
Only if they leave some money on the table. Le retailers ''fool me once, shame on you, fool me twice, shame on me''. 😁 Lets see how many of them get the money.
GMP -10 Sellers. But it is market and mood swing in seconds. For Cautious fellows who are not sure about company future rise shall exit with even minimal gain since sentiment is negative. If it opens in loss then act as per advice from experts and risk appetite. This IPO frenzy has brought huge lot of retails investors to market and panic selling is expected.