Sheela Foam Ltd IPO Message Board (Page 3)

another right pridiction eagleye..
great

Frequently Asked Questions (FAQ) on short selling


- Can a retail investor/trader participate in an auction market?
No, only clearing members aka your broker can participate. It''s a separate trading session which is different than the normal trading session.


- Is Short Selling allowed on cash and carry or delivery basis?
No, short selling is only allowed on intraday basis.


- Internal Shortages - When both buyer and seller are clients of the same brokerage.

- Valuation Price and Valuation debit - Valuation price is the closing price of the share ( x no. of shares not delivered ) on T + 1 day. The valuation price is then debited from the defaulter''s account. If the auction price is more than the valuation price, the defaulting member has to pay the difference. Some brokers debit valuation price on T+1 day from your account and the remaining amount on T+2 while some brokers debit the full amount on T+2.

Short Selling Shortage - Auction Process

Updated 25-May-2015


I short sold shares in intra day trading and was unable to buy them back, what will happen now?

When you sold short (seller shortage) those shares there was someone on the other side who bought them. He won''t get delivery. So your broker will try to purchase them in a buy-in auction market on T+2 day and the settlement of the auction shall be done on T+3 day (where T is the transaction day, holidays are not included).

If the auction is successful the defaulting client (you) will have to pay the actual auction price + Brokerage + Penalty( this depends on your broker)

What will be the auction price - That depends on the price of the stock on auction day. The lowest or minimum offer price in auction can be 20% below the closing price on a day prior to the day of auction. If it''s lower then you might gain but this difference is not given to you it goes to Investor Protection Fund (some brokers pass the gain to you), if it''s higher you will have to pay the difference. Your broker will send you an email at the end of day with the detailed information.

If the auction is not successful, no one is ready to sell in the auction (generally happens when the stock hits upper circuit), the sell transaction is cancelled by the exchange and the defaulting member has to pay the highest price prevailing from the day of trading (T) up to a day prior to the auction day OR 20% above the official closing price on the day prior to auction day, whichever is higher. The buyer of those shares gets a full refund.






Auction is carried out in case of Short deliveries and Bad deliveries.

Eagleye, Really...... hats...... off...

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146.2. Eagleye Dec 1, 2016 1:06:18 PM IST

I made application for full 13 lots in each form

146.5. Bigbull Dec 1, 2016 1:50:23 PM IST

Will subscribed hardly 10 times.Listing at 550.

146.6. Septa Dec 1, 2016 1:51:04 PM IST

Good on you Eagleye in believing in the Sheela story as i said before i am not applying since i see demonetisation will have it effect. good luck BTW if you bullish why not go big apply in HNI since even at that counter the issue is under subscribed.....

1032 is a circuit
In all groups there is a circuit even on the first day
So don''t be mistaken
Maximum members were against applying the issue
It is difficult to understand Share Market
Take risk and earn
Sometimes we loose even
Nobody is expert
Market is King
Reliance Rs 10 is at Rs 1000
Sheela Rs 5 on circuit at Rs 1032
Share Market no rule

Agree dear

Realy wonder

No rule apply in the stock market

Really mind blowing listing.

Institutional holding

More steam is left as it is on upper circuit and tomorrow also go up if ckt did not open.

Short seller have to face big loss in auction in T+5 plus 20% penalty.

Nobody try to short sell other wise will have to face very big loss in such type of scripts.

Congress to all who applyed

Thank you very much EAGLE EYE
for your valuable advice about Sheela Foam Ltd.

Some experts had advised to avoid sheela ,nevertheless Congratulations to those who applied full 14 lot and sold at 1030 making 84000 instantly.per application.

I too avoided 😢

Me also

regret for missing the game

And this is when the RII- portion was not subscribed by even 50% ....!!!

40 % up from the issue price - ye hai Sheela ka kamaal - locked at 1032 .....!!

Upper circuit
Some one has been trapped

Bse site pe dekho

Upper circuit applies on listing day as share is listed in "B" category..????

Surprisingly good listing.. Laurus will pale in comparison,. I like the company but valuations were expensive was my opinion but looks like it was not

40 % gain ...wah locked at 1032 ....!

No sellers at 1032 :)

seller has to pay the price.

Totally Unbelievable!!!
Those who dared and applied for full 13 lots would have made cool 67000+ if sold @ 1000!!!
Regret missing.....

My Comment dated December 1, 2016:

NII and QIB have taken cream in this IPO.. Retail portion unsubscribed and retail investors'''' shares pocketed by NII and QIB for India''''s largest mattress manufacturer which is almost debt free, has high return on equity and has established position in the ever expanding consumer market... Jai Ho to brokerages saying the IPO is expensive..!!

This is a very good listing at least this will give confidence to retail to apply..... I avoid this IPO as i said i would have applied if demonetisation head wind good on eagleye

Congrats to those who applied & got allotment. So sad that our beloved Septa ji couldn''t gauge it properly & we missed this golden opportunity of full allotment. If it listed with 30% returns in such volatile market, it would have given more returns if market don''t have any headwinds.. shame on brokerages who termed it expensive.

@ PawanM , some person have tendency to blame others for their failures. You dont pay salary to septa for guidance.

I read someone comment on this forum: "After demonetization, people will have no money left...so they will sleep a lot at home.....so the sale of Sleepwell will increase....so invest in this IPO"......really, at times, a straight thought process can be really fruitful :)

Refer to my below post on Dec 1...came true ! : )


Sreedhar R Dec 1, 2016 7:24:54 PM IST Reply
Sheela Foam Ltd IPO

I think Retail quota will be lapped up by QIB, NII
And since thete wont be many Retail flippers on Listing day, stock might sharply shootup , aided by Retail buying on listing , those who ignored or missed out on buying.

This might happen irrespective of Market conditions if its not too bad.

Lets wait and watch..

Full allottment to those who applied

Great analysis! I add your name also to my list of experts on Chittorgarh :)

Lauras will pale compared to Sheela ..... hahahaha .... so much for the experts of the Market ......!