Can anybody explain what could be the allotment procedure for thyrocare?
Ex. Mr. X have applied one lot if thyrocare (33 share) in three different demat account and Mr. Y have applied 2 lot (66 share) in two different demat account and 3 lot (99 share) in another demat account.
So who will have higher probability to get allotment of thyrocare? and whats the reason behind that ? please explain in brief so i can understand the correct method of bidding for upcoming IPO..
Mr x has higher probability compared to Mr . y no matter u applied one lot or 15 lots per application once retail quota crossed one time application wise
855.2. P Patel| Link| Bookmark|
May 3, 2016 4:01:16 PM
IPO Mentor (900+ Posts, 900+ Likes)
First Let me inform you that allotment procedure for all IPOs are same. There is no special or different procedure for Thyrocare.
As per example you have given, both Mr. X and Mr. Y have equal probability to get allotment.
Let me give you in depth of allotment.
If issue subscribes 5x, assuming everyone as applied for 1 lot, probability to get allotment will be 1 out of 5. But if everyone has applied for 5 lots, in that case everyone will be allotted by 1 lot.
Lets assume the issue is of 1,00,00,000 shares and lot size will be of 100 shares.
If company receives 5,00,000 applications and issue subscribes 5x that means every on has applied for 1 lot ie (100 shares). In that case probability of allotment will be 1 out of 5 applicant.
My doubt will b very much clear if u tell me what is the importance of no. Of lot while allotment is done by any compnay ??
I came to know that once share will going to allot by drawing from computer, to those investor who have applied 1 lot and than if still shares are remain than only other investors who have applied for more than one lot will get chance of allotment... So from above statement it seems that in case of thayrocare investors like Mr. X will get only allotment . Mr. Y will not get any chance of allotment... Please rectify this doubt so I can come out of this cumbersome situation...
855.5. P Patel| Link| Bookmark|
May 3, 2016 6:20:48 PM
IPO Mentor (900+ Posts, 900+ Likes)
MB - Long story in short, 1 lot will be allotted to every valid applicant. Now if any balance left for allocation than again additional 1 lot will be allocated to those who has applied for 2 lots. Same will be carry on till all the shares are allotted.
But in case if the number of valid applications are more ie. oversubscribe, in that case allotment will be done as below...
-- Max 1 lot will be allotted, irrespective of what lot one has applied. -- possible number of successful allotted application = Total Number of Shares offered / Shares per lot. Here in this case 10,744,708 Equity Shares divide by 33 shares. So around 325597 valid applicant will be allotted 1 lot. - So, ratio will be calculated based on total applicant v/s possible number of successful allotted application - Consider here RII category is oversubscribed 8.7300 times, but many has applied more than 1 lots. Now consider all the applications for 1 lot and calculate subscription it may come down to 6 times ( this is only a guess ). With this, the actual allotment ratio will be kind of 1 applicant will be allotted out of 6 applications.
I hope, I have explained detail enough to answer your question.
Patel sir Thank u so much for such a nice explanation . I m clear with all my doubts regarding ipo allotment process and got strategy too for next ipo..
I am new to this board and have 1 query as below, Your inputs/guidance would be really helpful.
Yesterday, I had applied to "UJJIVAN FINANCIAL SERVICES LIMITED" IPO using my Card PAN Card with AXIS BANK ASBA facility.
For 1st Time Axis Bank Site Got hanged and did not responded whether application was submitted or not. so I tried again and submitted my Application Again.
Now problem is that today morning i have I have received 2 SMS and Email with 2 Different Application Number.
Application 1 with Number = 211I7455152. Application 2 with Number = 211I7455183.
any 1 application out of 2 eligible for the allotment? should i take any action?
if u money is blocked twice then then u have applied twice u need to cancel one application if not both will be rejected.
to cancel u have to write to register ASAP and mention u have applied my mistake twice however some boards in this forum say after 1st of april u cannot cancel u application after close of issue
anyway call the register and find out if money is blocked twice
Hi Eagleye, One doubt, finalization of Basis of Allotment is just deciding X out of Y application should get allotment (let''s say - 2 out of 13 .. As predicted in Thyro).. Right? Lottery should be done after this correct?