Understand IPO Allotment

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DPS Netra in December 20241 had a very interesting below chart

Chart from FY90 to FY25 showing public fund raising peaks before big drawdowns: fund raising hit a record 1,566 billion rupees in FY25 against a 23% average drawdown

We are witnessing a very strong IPO market in India, with many Multinational companies listed or planning to list their subsidiaries in India.

Ten years ago, India had approximately 3,800 listed companies. Now, it has 5,433. In fact, India has more listed companies than any other country.

I dont think companies coming to street is going to slow down, there is so much happening in unlisted space and a lot of it will find its way to Dalal Street

If you are new to IPO allotment system bookmark this post and keep coming back to it

Below Table explains types of IPO in India

Table comparing mainboard and SME IPOs in India: investor categories, lot size, retail lottery vs proportionate allotment and chances of allotment

In HNI there are two categories

Table comparing small HNI (₹2 to 10 lakh) and big HNI (above ₹10 lakh) bids in mainboard and SME IPOs: allotment method and chances

And finally how to improve you allotment chances

Table of ways to improve IPO allotment chances, such as bidding at cut-off, applying as a small HNI, multiple demat accounts and choosing smaller IPOs

Happy Investing , Don’t forget investment in IPOs is risky so do your due dilligence

Footnotes

  1. https://www.dspim.com/media/pages/latest-literature/fc1c82790b-1733369186/dspnetra-dec-2024.pdf ↩

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