Respected senior members,
@newgen consultancy @abc xyz @Chalak Lomdi @Chhote Lal @Harsh Newguru @Vimal Garodia @MuStrFc @Tejas Pandya I am seeking clarification on a few aspects of the shareholder quota allotment and application process. I would appreciate your help in resolving the following questions:
1) Can an applicant invest more than ₹2 lakh in the shareholder quota?
2) Allotment Basis in Shareholder Quota:
Typically, allotment in the shareholder quota is done on a proportionate basis. However, I have heard that it could also be based on a lottery if the quota is oversubscribed. Could you please clarify what is meant by 'oversubscribed' in this context? Specifically, does it refer to the number of applications or the total amount of subscription?
For Example ,
Case 1 - if the subscription amount is 12 times the available shareholder quota, how would the allotment be handled? Similarly
case 2 - if the subscription amount is 15 times the quota, would the process differ in terms of proportionate allotment versus a lottery system?
In both case, if I get allotted shares, how many lots or shares will be allocated to me?
I am quite confused about the allotment process for the shareholder quota and would greatly appreciate any detailed explanation you can provide.
Other senior members are also welcome to share their insights.
Advance Thanks for your assistance.