[Help] Questions about IPO

IPOs
1

Hello. I want to ask some questions related to IPO. (Still Unanswered)

  1. How can one know if the IPO is oversubscribed so that he/she can bid according to that?

Like: SBI Cards IPO is coming soon, but I want to bid according to the amount of subscription it is going to have. How can I check that subscription status and bid according to it?

  1. In the UPI IPO Website, it says @okhdfcbank for the Google Pay UPI App. Does it mean that, only HDFC Bank with Google Pay can be used for the UPI IPO Payment?

Source: https://i.imgur.com/z2jphRm.png

  1. How can I apply for the Shareholder Category in SBI Cards IPO and Retail Investor Category (both at the same time)?

  2. Which is the safest way such as safest payment method, safest broker to use for the IPO? (So that anyhow my allotment is not failed and payment doesn’t fail).

Thanks.

2

Not sure about subscription levels, but online you can see grey market premiums for IPO every day.

Indirectly it will give an idea. Also the listing price is very nicely correlated to the grey market premiums.

You can check the history for previous IPOs.

3

Thank you for the reply. If you could help me understand how GPM is used to judge the subscription prices?

(Asking Seriously)

Looking to understand this whole scenario.

Still looking for answers for all the questions.

4
  • Grey market premium as on today is â‚ą 220-230, Kostak â‚ą3000 & Subject to Sauda is â‚ą4000

Since IPO price is 615, and GMP = 230 , so expect Listing at 845.

Source:

You can verify old IPOs:

1 Like
5

Thanks @Newbie420, I have been reading Chittorgarh for this IPO.

According to them, IPO Price is not revealed yet. I watched a video too yesterday and in that they have mentioned that SBI has not released the IPO Share/Issue Price yet.

Secondly, So according to you / website (which you have linked), listing price expect is 845.

But, if you could tell me how can we judge or calculate the subscription level from it?

Thanks.

(I don’t own or represent chittorgarh website)

6

Subscription level not sure, I just go by GMP. Subscription levels I have only seen on news articles, but dont remember its after or before IPO is closed.

7

How is that website (which you have shared) is able to get the IPO Issue Price? Because, I think it is not revealed by SBI Card yet.

8

Haha not sure lol maybe even that is an estimate

Lets see how much it is accurate

Anyways i dont look at GMPs until the IPO is just 4-5 days away, its a long time for SBI cards right now

9

Yes, Let’s see. If you know someone here on this forum who could help me with the original questions?

Please tag him/her.

I want to ask some questions related to IPO.

  1. How can one know if the IPO is oversubscribed so that he/she can bid according to that?

Like: SBI Cards IPO is coming soon, but I want to bid according to the amount of subscription it is going to have. How can I check that subscription status and bid according to it?

  1. In the UPI IPO Website, it says @okhdfcbank for the Google Pay UPI App. Does it mean that, only HDFC Bank with Google Pay can be used for the UPI IPO Payment?

Source: https://i.imgur.com/z2jphRm.png

  1. How can I apply for the Shareholder Category in SBI Cards IPO and Retail Investor Category (both at the same time)?

  2. Which is the safest way such as safest payment method, safest broker to use for the IPO? (So that anyhow my allotment is not failed and payment doesn’t fail).

Thanks.

10

@siva-reddy @VenuMadhav

1 Like
11

(1) is it true that majority of the IPOs gain on the listing day ? if yes then isn’t it wise decision to apply all the or rather most of the IPOs ?

(2) In all the IPOs / FPOs ; what is the minimum amount (generally) , to apply ?

12

Hi ESPOIR,

  1. It’s not true that all IPOs gain on listing day, there are many IPOs that failed badly. Though based on the macroeconomic factors and the supply of money in the market, this situation is true in the current scenario, IPOs that are overpriced without much value will never be treated well by Mr. Market. There are numerous such examples - starting with SBI Cards (there is value, but it’s overpriced), same is the case with Equitas Small Finance Bank IPO also.

  2. The minimum amount you can apply is approximately 15,000 this varies a bit based on the price band. IF you are a retail investor, it’s advisable to bid for one lot of the shares at the cutoff price. You don’t need to worry about the price range as you would be automatically allocated shares at cutoff if you choose this option

13

Why do companies go for IPOs and share the future growth , prospect , expansion , profit , ownership , capital price appreciation etc ?
Instead ; why don’t the company, just issue the debentures or bonds etc @ 10~15% interest p.a. ?

@Prayag

14

It might be about the potential of making a lot more money (then the actual business itself) by trading in their own stocks using Insider Information is the biggest lure for some promoters… My 2 cents :slight_smile: :frowning:

15

Unable to place bid for nazara Ipo.

16

What was the error you were seeing? Can you explain here so that we are aware and can guide accordingly for future IPOs

17

Just to inform you that the issue has been resolved thanks for the concern.

1 Like
18

There are 2 communities say. E.g traders and investors .
Some prefer to apply for IPOs and keep for long term .
Some prefer to apply for IPOs and exit on the listing day .
Some prefer NOT to apply for IPOs ever .

I want to know different view points of all the respected members on this forum

Your views opinions matter . So pls do share .

Is it a good thing for active day traders to apply IPOs ?

@samsingh
@vishnux

19

Do brokers earn any sort of incentives if the clients apply for IPOs FPOs etc. ?

20

For me IPO is just a starting point. Making too much out of it doesn’t make sense to me, mainly because, for good company IPO, chances are allotment are very less and for retailer max share you can get is for around Rs. 15K
15 thousand is frankly not a meaningful allocation, so whether you do, sell it on listing or keep it forever, it would hardly matter on your overall portfolio.

For good companies, what you do after listing (slowly build position, buy on dip, buy on listing day) is what actually matters in long run.