Ujjivan Small Finance IPo Maximum application should not exceed 2 lakh under share holder category while allotment basis was proportional subject to minimum lot size means atleast 1 lot will be alloted to every one irrespective it over subscribes.
Sbi cards IPO
Maximum application can be entire shareholder reservation category and allotment basis is proportional only. So no even guarantee of minimum 1 lot will be allocated to every bidder under share holder section.
For retail investors applying 2 lots ( 38 shares ) under shareholder category is not going to be beneficial at all.
Kya faheda fir SBI ka share leke rakhne ka itne time se ????
864.3. Ou Ai| Link| Bookmark|
February 22, 2020 3:07:42 PM
Top Contributor (300+ Posts, 300+ Likes)
To clarify everyone on this board,
Ujjivan Financial share holders category maximum permitted application amount is Rs.2 lakhs. SBI Cards shareholders category maximum permitted application amount is up to issue limit.
In both cases allotment was/is proportionate subject to minimum lot. There is lot wise lottery till the lot applied matches times off oversubscription. This method was followed in ICICI Prudential life insurance, ICICI Lombard, HDFC Standard Life shareholder quota too. For eg, in Ujjivan shareholder quota those who applied for 1 lot of 400 and 2 lots of 800 were allotted under lottery , not as a minimum one lot for all as in Retail Individual investors. Please check the basis of allotment here.
In SBI cards shareholders those applying above Rs. 2 lakhs are treated same as NIIs. As per page 404 to 429 of RHP, Those applying over Rs.2 lakh cut off time is 3 PM on closing day Payment mode is ASBA and UPI not permitted Bid has to be at a price in band, can not use as "Cut Off" Not permitted to apply in Retail Individual Investor. If applied liable to be treated as multiple applications.
In case of oversubscription , all applications will be segregated based lot wise and stepwise oversubscription will be computed. Wherever number of lots is less than number of total oversubscription minimum lot will bee given by lottery. Oversubscription level when added with above Rs.2 lakh application value wise can go up taking this number high, reducing chances of allotment.
Its only proportionate. There is no such thing as subject to minimum lot
For Ujjivan it was over subscribed App wise but if we go through application wise it was under subscribed.. And there was option of subject to minimum lot so everyone under share holder category got atleast 1 lot even if u have applied for 1 lot.
Same will not happen in SBI cards IPO. Even though if Application wise shareholder category remains under subscribed still not everyone will get confirm 1 lot of 19 shares.
Arre bhai prasad jo batega uski suruwat kis side hogi jo jyada paisa laga ke baitha ya kam paisa jo lagaya hai as per application wise subscription. Application wise subscription ka koi importance hai bhi ya nhi...
"Shareholder Category" is defined by SEBI as those shareholders (basis record date as per filing of RHP/DRHP as presrcibed) applying under Rs 2 lac. Lack of clarity in RHP of SBI Cards does not over rule this.
Also if the purpose of "shareholder quota" is similar to that of retail quota (ie Rs 2 lac limit) then allotment in terms of number of lots (1 or more) is possible (except for a few adjustment shares of left over quantity after dividing by lot size). I believe 1 lot is possible unless oversubscribed by more than the no of lots for Rs 2 lac (eg: If less than Rs 2 lac has 19 lots then up to 19x valid (and qualified) subscription in shareholder category everybody gets one lot).
Baaki sab waqt batayega....
864.8. Ou Ai| Link| Bookmark|
February 22, 2020 4:16:52 PM
Top Contributor (300+ Posts, 300+ Likes)
Under which SEBI regulations is it mentioned that Shareholder means is the one who applies under two lakhs? Shareholder can be ether holding 1 or 100 or 1000 or 10000 depending on heir worth. However, Retail investor is defined by SEBI as one investing below two lakhs. Purpose of shareholder quota is to offer shareholder rights of preference. To be able to participate in Retail one can not invest more than two lakhs. So anyone investing above that in QIB, NII or Shareholder is barred from investing under retail.
How is allotment done in shareholder category? When it comes to allotment, bid amount of up to INR200,000 (net of discount, if any) only is considered in the first instance. In the event of under-subscription, the unsubscribed portion will be available for allotment, proportionately to all eligible investors who had bid in excess of INR200,000. It is not often that shareholder category will see under-subscription in the IPOs of well-run companies. However, sometimes markets present such opportunities.
Hi Ou Ai, Plz refer Comment No 862...im unable to post it in the reply to Comment Trail 863
864.11. Ou Ai| Link| Bookmark|
February 22, 2020 5:24:17 PM
Top Contributor (300+ Posts, 300+ Likes)
@VKalpesh
Did you check the basis of allotment link for Ujjivan posted in my comments? If as you mentioned everyone in shareholder category got one lot, how about those who applied in 400 and 800 numbers and did not get under lory system? Why were they excluded?
They did not get because allotment was not application wise. Only those who applied over 3 lots got firm. Please Ujjivan basis of allotment carefully. You have the answer
864.12. Ou Ai| Link| Bookmark|
February 22, 2020 5:31:33 PM
Top Contributor (300+ Posts, 300+ Likes)
HI Jack Shaw
Again Retail investor is one applying under 2 lakhs as mentioned in 862. Absolutely right.
But SEBI now where mentions Shareholder category as below 2 lakhs as mentioned in 863.7
It should be construed that to be qualified as retail in Retail category and be permitted to apply in shareholders category on can not exceed 2 lakhs
Hi Ou Ai, what I termed as shareholder is defined as retail shareholder under clause (uu) in the SEBI circular and is capped at R's 2 lac ...subject to over subscription. That's what I meant. Similarly employee quota investment is capped at Rs 5 lac basis the instances I've seen so far.
Means 10% of no. of shares you applied will be your allotment. If 10 times subscribe than if you apply 100 shares than 10 shares will be alloted to you. If 20 times than 5 shares will be alloted to you.
For NIIs and HNIs and shareholder , the allotment is done proportionately. So, if the issue is subscribed 2 times, in that case 50% of the shares are alloted to an investor.
Guys what does it mean that individuals applying only in shareholder quota above 2Lakh cannot bid at cutoff price? Since cut off is 755 what price should one apply then?
Sbi card k ipo k allotment me proportionate allotment ka kya matlab hota hai ? Aur isme apply kaise kyare sh & retail dono me ? Hdfc amc & Ujjivan sfb me SH quota me 1 lot apply karne par bhi allotment mila tha to kys isme bhi usi tarah allotment milega kya ?
here it is...https://www.sebi.gov.in/sebi_data/commondocs/may-2018/Annexure-B-Chapters_p.pdf
"(tt) "retail individual investor" means an investor who applies or bids for specified securities for a value of not more than two lakhs rupees; (uu) "retail individual shareholder" means a shareholder who applies or bids for specified securities for a value of not more than two lakhs rupees; (vv) "rights issue" means an offer of specified securities by a ..."
Best way to apply sbi cards ipo is apply a single lot in retail category which could be subscribe max 2 time if got allotment than good if not than purchased on listing day and hold for 6 months for good returns.
856. Ou Ai| Link| Bookmark|
February 22, 2020 3:12:25 PM
Top Contributor (300+ Posts, 300+ Likes)
@TeamChittorgarh On the board above under employee quota its mentioned that SBI employees are eligiblele to apply. RHP page 4 clearly mentions that employees of SBI Cards and employees of promoter SBI are eligible to apply. SBI Cards employees are missed out . Please rectify this.
Priceband agar 750 to 755 ata he and shareholder 2 lakh k upar ki bid karta he to 755 se upar ki price dalni padegi??? Bcz cutoff price p bid nhi kar sakte aisa likha he jo b shareholder 2 lakh se upar bid karta he usko..
I have account in zerodha and upstox can I apply for IPO with through zerodha and though upstox by using SBI ASBA?? क्या मैं एक ही DEMAT ACCOUNT, से zerodha और SBI net banking के जरिए ipo के लिए apply कर सकता हूं
Can I apply with 2lakh in shareholder catagory n more than 2 lakh in hni catagory with same pan number..??? Team chittorgarh plz reply...I think it is not mentioned....plz reply..
Experts may kindly suggest estimated extent of oversubscription in retail and shareholder categories. If retail category is likely to be oversubscribed number of applications wise then I would apply for one lot only. If shareholder category is likely to be oversubscribed more than 2 times then I don't want to apply. I have Rs one lakh in bank account. For remaining three lakh I shall have to sell some of my shares in secondary market.
I have 20 demate accounts All accounts have 1 share of sbi I am going to apply 1 lot per demate in retail category Now i wants to know how much i will invest in shareholder category in each account (Can i go for 5 lot in shareholder category for sure allotment)
847.1. Paymzia| Link| Bookmark|
February 22, 2020 1:41:15 PM
IPO Guru (2500+ Posts, 4500+ Likes)
Retail 1 lot each AND SH Category apply with your full force