Shanthala FMCG Products IPO Allotment Status
Quick take on Shanthala FMCG Products IPO
The IPO of Shanthala FMCG Products Ltd opened for subscription on 27th October 2023 and closed for subscription on 31st October 2023. The face value of the company stock was ₹10 per share and it is a fixed price issue with the IPO price being fixed at ₹91 per share. The IPO of Shanthala FMCG Products Ltd has only a fresh issue component with no book built portion. As part of the fresh issue portion of the IPO, Shanthala FMCG Products Ltd will issue a total of 17,66,400 shares (17.66 lakhs approximately), which at the fixed IPO price of ₹91 per share aggregates to a total fresh fund raising of ₹16.07 crore. Since there is no offer for sale portion, the size of the fresh issue will also be the overall size of the IPO. Hence the overall IPO size will also comprise of 17,66,400 shares, which at the fixed IPO price of ₹91 per share will aggregate to ₹16.07 crore.
How to apply for the Shanthala FMCG Products Ltd IPO?
The minimum lot size for the IPO investment will be 1,200 shares. Thus, retail investors can invest a minimum of ₹109,200 (1,200 x ₹91 per share) in the IPO. That is also the maximum that the retail investors can invest in the IPO. HNI / NII investors can invest a minimum of 2 lots comprising of 2,400 shares and having a minimum lot value of ₹218,400. There is no upper limit on what the QIBs as well as what the HNI / NII investors can apply for. Like every SME IPO, Shanthala FMCG Products Ltd also has a market making portion with a market maker inventory allocation of 88,800 shares. The market maker for the issue is BHH Securities Ltd and they will provide two-way quotes to ensure liquidity on the counter and low basis costs post listing. The promoter stake in Shanthala FMCG Products Ltd will get diluted from 77.44% to 57.02% post the IPO. The fresh funds will go to meet working capital needs. First Overseas Capital Ltd will be the lead manager to the issue and Bigshare Services Private Ltd will be the registrar to the issue. BHH Securities will be the market maker.
Check the Allotment Status of Shanthala FMCG Products Ltd
Since this is an NSE SME IPO, there is no facility to check on the exchange website and BSE only offers allotment status for the mainboard IPOs and for BSE SME IPOs. If you have applied for the IPO, you can either check your allotment status on the website of the IPO registrar, Bigshare Services Private Limited; or you can use the broker link provided, in case your broker is giving such a direct linkage. Here are the steps that you need to follow to check allotment status on the registrar website.
Shanthala FMCG Products IPO Registrars
Registrar to IPO: Bigshare Services Private Limited
There are three things to remember. Firstly, you can just click on the hyper link given above and directly go to the allotment checking page. The second option, in case you are not able to click on the link, is to copy the link and paste in your web browser. Thirdly, there also a way to access this page via the home page of Bigshare Services Private Ltd by clicking on the IPO Allotment Status link displayed prominently on the home page. It all works the same.
Once you enter the IPO allotment check landing page of Bigshare Services Private Ltd, you are given the choice to select from 3 servers viz. Server 1, Server 2, and Server 3. There is nothing to be confused, as these are just server backups in case one of the servers is experiencing too much traffic. You can select any of these 3 servers and in case you are finding problems accessing one of the servers, then try the other one. There is no difference, which server you select; the output would still be the same.
This dropdown will only show the active IPOs, so once the allotment status is finalized, you can select Shanthala FMCG Products Ltd from the dropdown box. The basis of allotment will be finalized on 03rd November 2023, so in this case, you can access the details on the registrar website either late on 03rd November 2023 or by middle of 04th November 2023. Once the company is selected from the dropdown box, you have 3 methods to check the allotment status for the IPO.
- Firstly, you can access the allotment status using Application Number / CAF Number. Enter the Application / CAF number and then click on Search Button. Enter the application exactly it is given in the acknowledgement slip given to you post the IPO application process. After that you can click on the Search button to get the details of shares allotted to you in the IPO.
- Secondly, you can search by Beneficiary ID of your demat account. From the dropdown box, you must first select the depository name where your demat account is held i.e., NSDL or CDSL. In the case of NSDL, enter the DP id and Client id in separate boxes as provided. In case of CDSL, just enter the CDSL client number. Remember that the NSDL string is alphanumeric while the CDSL string is a numeric string. The details of your DP and client ID are available in your online DP statement or in the statement of account. After that you can click the Search Button in both cases.
- Thirdly, you can also search by Income Tax PAN number. Once you select PAN (permanent account number) from the dropdown menu, enter your 10-digit PAN number, which is an alphanumeric code. The PAN number will be available on your PAN card or on top of your income tax returns filed. Once you enter the PAN, click on the Search Button.
The IPO status with number of shares of Shanthala FMCG Products Ltd allotted will be displayed on the screen. You can save a screenshot of the screen for future reference. Once again, you can verify the demat credit by the close of 07th November 2023, or later.
Shanthala FMCG Products IPO Subscription Status
Here is a break-up of the total shares issued by the company and its quota allocated for different classes of investors. This is the key to your chances of allotment in the IPO.
|Investor Category||Shares Offered|
|Anchor Allocation shares||Nil shares allotted|
|Market Maker Shares||88,800 shares (5.03% of total issue size)|
|NII (HNI) Shares Offered||8,38,800 shares (47.48% of total issue size)|
|Retail Shares Offered||8,38,800 shares (47.49% of total issue size)|
|Total Shares Offered||17,66,400 shares (100.00% of total issue size)|
The response to the IPO of Shanthala FMCG Products Ltd was relatively tepid and it was subscribed overall by just 3.91X overall at the close of bidding on 31st October 2023 with the retail segment seeing 3.05 times subscription, the HNI / NII portion seeing 4.76 times subscription. There was no QIB allocation quota in the IPO. The table below captures the overall allocation of shares with the oversubscription details as of the close of the IPO on 31st October 2023.
(₹ in crore)
|NII / HNIs||4.76||8,38,800||39,91,200||36.32|
|Total Applications:||2,132 (3.05 times)|
The basis of allotment will be finalized on 03rd November 2023, the refunds will be initiated on 06th November 2023, demat credits will be finalized on 07th November 2023, while the stock of Shanthala FMCG Products Ltd will get listed on the NSE-SME segment on 08th November 2023. The NSE SME segment is where the smaller companies get listed, in contrast to the mainboard IPO segment.
The level of subscription is very material as it determines the chances of getting allotment. Normally, higher the subscription ratio, lower the chances of allotment and vice versa. In this case, the subscription levels have been fairly low in the IPO; both in the Retail segment and also in the HNI / NII segment. Investors in the IPO need to assess their chances of allotment accordingly. The final status will be known once the basis of allotment is finalized and uploaded for you to check.