Wonderla Holidays Ltd IPO Message Board (Page 11)

Important information of Wonderla IPO
1) Likely to fix at upper price band. (Rs.125)
2) Refund and allotment date- 5-6 May, 2014
3) Retailers likely to get 100 shares.
4) Grey market premium today- Rs.43-44
5) Listing date 8th May, 2014
6) Listing price Rs.155 or above
Source of this information- well known broker

dear Nilesh
i like, but have you any informatiom that everyone get 100 share and application may be 12500 or 200000.

More or less good assessment with logic.Only in retail segment only 100 also true but mostly on lot basis like that happened in Just dial ipo.
Not all retailers will get.

Allotment will be approximately 1:4 i.e, 1 in 4 applicant will get 100 shares. I don''t know the number of applicants but this calculations is based on previous experience.

I have applied for 400 shares under ASBA option but my account has not yet been blocked with the required amount till date, What may be the reason. Any one who applied thorough ASBA option in the Wonderla IPO please inform whether the amount in their account has been blocked by their banker or not please

My account is not showing anything. Neither it is showing as blocked nor is it Lien Marked. How to know my status whether it is blocked or will be blcoked in a day or two

Open your ASBA A/C. Go to Application status ICON & check the status. If the application was through from your end, then it will show lien not marked if amount has not been blocked in your bank A/C.
If it shows lien not marked then you have not blocked your money. It may be due to operational problem in banking system at that point.

IPO CHECK STILL NOT PASSED IN HDFC ANYONE WITH SAME PROBLEM?

Dear all, did anyone apply thru Axis Bank ASBA?I had applied in last minute at 3 pm on 23rd April & worried whether my application will be considered or not.
Im seeing my application status as Blocked(submitted to Exchange)only from 23rd.No progress in status.Please check &let me know.

yes. i applied. if u cant see exchange order number then contact your branch RM. He will call the mumbai people and give u the exch order number. If your order has not been placed and the amount blocked, then complain to SEBI. I did the complaint and got compensated by axis bank.

I have Applied two application for 100 Share.How many share i will get in alotments.

200 shares

200
share

For full 2 lakh application
1600 shares applied.
how many shares can we expect ?

TOTAL SHARES UNDER RETAIL PORTION IS 5,075,000 .
FOR ONE APPLICATION 100 SHARES
SO 5,075,000/100= 50750 APPLICANTS WILL RECEIVE 100 SHARES EACH.
IF NUMBER OF APPLICANTS ARE MORE THAN 50750 THEN LOT SYSTEM MAY BE FOLLOWED . SO IF ANYBODY KNOWS THE NUMBER OF APPLICANTS. THEN WE WE CAN GUESS THE ALLOPTMENT STATUS ,

IF ANONE KNOWS THE NUMBER OF APPLICATIONS PLEASE POST.

Now, Calculate on 200/-share (200+200:- 2-application)
calculate , how many received.

no guarantee of 100 share allotment sinse maximum bids by retails coming at minimum lot causing low subsicription as well otherwise we may have see 25 to 30 times retail subscription .

Dear all
As per Your statement of MR.Garg sir that as per sebi rules all persons will be get 100/-share and application may be 12500 or 2.00000 but will get confirm 100/-share and above luck by chance.

as per sebi rules not applied in just dial becathat time some was missing and not get everyone.


Dear Garg
i like your Statement and gide becaall persons are not aware about this them some persons are indepth.

also talk about next goods IPO/FPO and them how handle it for more money and i suggese you that will give important sugession all our freindes beacase they are too poor in this matter.

From
Garvi hasmukh patil
ahmedabad-Gujrat

Mr. GHP,
There is no guarantee of confirm 100 shares allotment, as issue may get applications more than 50750. If application are less than 50750, only than you will get confirmed 100 shares.

But it is confirmed that every one has equal chance of allotment of 100 shares, whether he applied for Rs. 2 lac application or Rs 12500 application.

By when is the allotment of Wonderla IPO expected and what is the listing late.

Before 8 may. if you get share thany money.....money.... other wise....

Thanks Manmohan Garg,

Will keep in mind this while applying in next IPO....

Dear Manmohan Garg,

Thanks for such a good article...
I am new in investing in IPO and dint knew about it.
Whats your opinion to me plz suggest (other expert can also suggest)
IN WHL is made a big for 1200 shares ie. Rs.150000 (1 application).
For getting more allotment in next IPO shall is break this into 50000*3 (3 applications).

Plz suggest and thanks in advance

Mr. Kushkochar,
In any IPO, where subscription is very high, you have the same chance of getting minimum shares whether you apply for Rs. 200000 application or for Rs. 12500 (in this IPO case). Probably you will get maximum 100 shares in this IPO as subscription is large.

For more allotment chances, you should increase no. of applications with minimum lot (say 100 shares in this case,)instead of large amount one application.

In this case, if you had applied 03 no. of applications of Rs. 12500 each only, you would have 3 times chance of allotment.

dear garg.
are You sure. all application will be get 100 share (Minimum Or Maximum)

In my opinion heavy subscription in the HNI segment does not mean the share price will rise significantly(it will rise).I think a QIB heavy subscription is a better indicator and in this case it is not huge.

Also becathe number of shares alloted to the retail(due to heavy subscription) will be less the Number of Shares * Profit per Share will be nothing great.
Should be in a lookout for a scenario where QIB oversubscription is huge and Retail Subscription less.Then the price does rise appreciably on the first day and since number of shares alloted to retail is high ..Number of Shares * Profit per Share...Such scenario has happened in the past.

As per new SEBI guidelines, in retail category, every one have equal chance of getting minimum one lot of shares.

Though the Securities and Exchange Board of India’s (Sebi) decision to change the allotment process for initial public offerings (IPO) is aimed at providing allotment to all retail applicants, it may have some unintended consequences.

Market experts say the new process will lead to a sharp drop in average application size, encourage multiple applications during popular issues and hurt IPO financing.

The new allotment process gives preferential allotment to all investors in the retail category irrespective of the application amount. Under the erstwhile process, allotment was first made on proportionate basis and then on lottery basis.

For IPOs, which will be hugely oversubscribed, all retail applicants will be given uniform allotment of one lot. This will act as a disincentive for investors to bid for more than one lot, say experts.

“It will make sense to apply for just one lot, someone who bids more will be at a loss, especially for issues that get good response,” said Arun Kejriwal, director, Kejriwal Research and Investment Services.

Take, for instance, the Rs 660-crore IPO of the Multi Commodity Exchange (MCX), which had received retail subscription of more than 24 times and had garnered over 700,000 applications. Investors who had applied with application amounts of Rs 2 lakh got guaranteed allotment, while only one investor out of 30 who had applied for one lot got allotment on the basis of a lottery.

In similar cases, under the new allotment system, someone who bids just one lot will be on equal footing with someone who applies for maximum lots.

Prithivi Haldea, chairman and managing director of Prime Database, said only a handful of issues get MCX-like responses, but largely issues won’t get filled with just small applications.

“Only half of the issue might get filled with small applications, rest of it will get divided with investors who apply for more shares,” he said.

Experts said investors will now be encouraged to put in multiple applications to get higher allotment of IPOs that are likely to see huge retail interest.

“Very clearly it will make better sense to apply for just one lot through multiple accounts of family members. Applying with a higher amount will work for IPOs that don’t see very high subscription,” said Kejiriwal.

Under the new process, once allotment is made to all applicants the balance amount will be divided between investors who bid for more than one lot.

http://www.business-standard.com/article/markets/new-allotment-norms-to-change-ipo-play-112082200081_1.html

The Allotment process in Just Dial was not good.
Thee ratio of getting shares was equal for all who applied for either 25 shares or 400 shares.
It should not be like that, atleast ratio should be depended on the shares applied.
Person applying for 200 shares should have double the probability then the person applying for 100 shares.

Dear Sir manmohan garg
pls. Explain how many Share will be alloted if application is 200/-share(2 lot-25000/-rs)
because, this is very inresting and money.. money if receive allotment of this share. i assume that listing shoud be above 155+/-rs and above may be gone upto 180+/-on first day of trading.
but , we are unlucky for this ...........

From
Ahmedabad-Gujrat

Mr. GHP,
You will get confirmed 100 share in each application, if no. of applications (any no. of shares)in retail category are less then 50750 (5075000/100). If no. of applications are more then 50750 in retial, it will be decided through lottery system.

Right now I do not any source from where we can find the no. of applications.

total no of applications in retail 1,88,690 applications allotment will be 4 out of 15 ,

Can you provide your source of information about no. of application.

allotment will be like just dial ipo.on proportionate lot basis.
mostly 100 is the lot for those who are getting irrespective of size of application

At least Rs 4,000 crore worth of leveraged bets by high net worth individuals (HNI) and companies are riding on the Initial Public Offering (IPO) of amusement park operator, Wonderla Holidays.

Buoyed by an attractive grey-market premium, several wealthy investors have borrowed heavily from non-banking financial companies (NBFCs) to invest in the Rs 180-crore offering of the Kochi-based firm, which has received applications worth Rs 6,800 crore. Also, market sources say, financing arms of several large brokerages have lent to investors at seven-10 per cent interest rate for up to 10 days.

According to investment bankers, considering the borrowing costs and oversubscription, leveraged investors might break even only if the IPO lists at a premium of 25 per cent or more.

The cost of acquisition for HNIs — after factoring in the interest costs and allotment ratio — is between Rs 25 and Rs 30 a share, say people with the knowledge of the development. Shares of Wonderla are said to be exchanging hands at around Rs 160 apiece in the grey market, against the expected issue price of Rs 125 when the shares list on or before May 8.

According to bankers, if the company’s shares list at the current grey-market price, HNIs could still get a spread of Rs 10 apiece. “Grey-market premium indicates that leveraged investors will still make profits, but the quantum could be less due to the heavy oversubscription. Bets could be wrong if the grey-market premium comes down with an adverse change in the secondary market," says an investment banker who does not wish to be named.

The grey-market premium for Wonderla shares, market players say, has only shot up from around Rs 10 apiece last week to as much as Rs 40 during the IPO period. This has attracted a lot of wealthy investors.

Leverage-based applications in public offerings are a common practice, where wealthy investors apply for shares with borrowed money and exit on listing.

In the past, IPOs of commodity bourse Multi Commodity Exchange (MCX) and rating agency CARE had seen subscriptions of more than 100 times in the HNI segment.

Typically, HNIs invest in issues where listing gains are expected to be in high double digits.

Earlier, HNIs have been seen getting awry in IPOs like that of Reliance Power, where shares failed to sustain above the issue price. Shares of companies often come under pressure on listing due to heavy selling pressure from leveraged investors.

The Wonderla IPO, which closed on Wednesday, saw 160 times subscription in the HNI category and 38 times overall. This means an HNI investor applying for 160 shares will be alloted only one share. Wealthy investors and companies are said to have made applications in the range between Rs 10 crore and Rs 100 crore in the issue.

Source : Business Standard

http://smartinvestor.business-standard.com/market/Marketnews-238177-Marketnewsdet-Rich_investors_borrowed_Rs_4_000_crtobeton_Wonderlapublicoffer.htm

Thank you Manmohan for such an indepth information.