If you’re applying for an amount less than 2 lakhs then you can check the cut-off box. That note is only for those applying for amount over 2 lakhs.
As you said Sir application process will remains the same it means while applying for the ipo we have to put the cut off price of Rs 949 In the bid section as usual… … Right Instead of Rs 902 as the higher price band for retail investors after deducting the Rs 45 discount.
But During the e mandate process it will be adjusted to Rs 904 per share for retailers… So the amount blocked for 1 lot will be 13560 …Right…
Generally IPOs remain open for 3 days for subscriptions…
But in case of LIC IPO why is it open for 4 days… Is the rules changed or is specially for LIC ipo?
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Right.
This is big IPO, hence open for more days. In fact, the issue will be open for subscription on Saturday and Sunday as well.
As per SEBI regulations, public issue should remain open for at least 3 working days, and maximum for 10 working days days.
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1.Why only for retail category : it is : Draw of lot and for others proportionate ?
2.If I want to make 2 bid with retail and HNI from single pan …Can I ?
3.If HNI portion oversubscribed,even then will I be alloted atleast 15 shares (1 Lot) as it is proportionate ?
Even for HNI category, application size between 2 lakhs to 10 lakhs, the allotment will now be based on draw if lots. Can check more details here: IPOs: Changes in HNI Allotment [Non-Institutional Investor (NII) category]
You can only make one application, either as retail investor, up to 2 lakhs or as an HNI over 2 lakhs.
What price should I put when bidding for the LIC stock? In general, how to decide that?
If Its oversubscribed, it usually indicates you will need to bid highest to get anything.
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I’m a LIC policyholder and I’d like to apply for 3 lots.
As the policyholder allotment is proportionate basis. Should I apply one bid with 3 lots (i.e., 45) at cut off price or should I apply three bids with one lot each at cut off price? Which one’s better??
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You only need to place one bid for 45 quantity, not three bids of 15 each. You can check out this post to know how the bidding feature works:
The price band for LIC IPO is set between 902 - 949, you can bid at any price point within this range. However, as the issue is over subscribed it is best to place bid by selecting cut-off option for better chances of allotment.
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I dont think this is applicable for LIC IPO. Kindly reconfirm.
You have explained it so well. Kudos!
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My bad. This is not applicable for LIC IPO.
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So For HNI it will be proportinate allotment ? So , as IPO is oversubsribed ,to get sure shot allotment , I shoul apply for 15 lots with 949 price .
Will the allotment price be fixed higher than 902 if issue is oversubscribed say 3x or higher?
Yes.
The chances of allotment in HNI category are high due to proportionate allotment. But not 100% guaranteed if the issue is oversubscribed. Please check out this post for a detailed explanation on the process:
I’ve bidded in Individual investor category but received this sms:
Ur LICIPO applno. XXXXXX bidded as policyholder is not eligible as per LIC PAN data & RHP. Pls bid in another category,if not bidded already-Kfintech.
Money debited from bank account, should I be worried? What might be the problem?
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The price band is Rs. 902 - 949, the price at which shares get alloted at can be any price within this range. However, shares are only alloted if bid price is equal to or greater than price discovered, bids at lower prices are not considered for allotment.
Hence, most people use cut-off option. Selecting the cut-off option while applying for the issue indicates your willingness to subscribe to shares at any price discovered within the price band through the book-building process, eventually increasing the possibility of an allotment. You can check out how the book building process works here.
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Till what time can i apply to LIC IPO today ?
Can i apply for IPO now and ensure funds are available by end of the day?
@ShubhS9