How to Increase Chances of IPO Allotment?
5paisa Research Team
Last Updated: 20 Aug, 2024 03:31 PM IST

Content
- Introduction
- 5 Foolproof Tips to Enhance The Odds of IPO Allotment
- Limit Your Application to One
- Avoid Big Amounts if You Are a Retail Investor
- Use Multiple Demat Accounts to Increase the Odds of IPO Allotment
- Never Bid at a Lower Price Than The Cut-Off Price
- Take the Shareholder Route
- The EndNote
Introduction
Let’s start this article by analysing the performance of some Initial Public Offering or IPOs launched in 2020.
1. Rossari Biotech - This public issue was listed at a premium of 74.58%. While the issue price was INR 425 per share, the IPO listing price was INR 742. It was oversubscribed 79.37 times.
2. Happiest Minds Technologies - This public issue was oversubscribed 150.98 times. Its listing price was INR 371 per share against the issue price of INR 166. Hence, investors made 123.49% profit within ten days (the time taken from IPO open date to the listing date).
3. Chemcon Specialty Chemicals Ltd - This public issue was listed at a premium of 72%. While the issue price was INR 340 per share, the listing price was INR 584.80. The issue was oversubscribed 149 times.
By now, you must have understood how rewarding an IPO could be. However, if you scan the subscription status carefully, you will find that almost every new IPO is oversubscribed, meaning the chances of IPO allotment gets divided among the subscribers.
So, is there any way to enhance the odds of IPO allotment? The answer is ‘Yes,’ Move ahead in the article to know how to increase the chances of IPO allotment.
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Krishca Strapping Solutions Limited
sme- Date Range 23 Oct- 27 Oct’23
- Price 200
- IPO Size 23