Here are the instances where I have applied in IPOs recently -
Tata Tech IPO
My Demat Account - 2010 shares or 67 lots i.e., applications above 10L for big HNI
My Wife Demat - Small HNI i.e., > above 2 lacs under Share Holder Quota
No allotment were given in both.
Similarly, I applied for a small HNI (above 2L) in Gandhar OIL IPO, but no allotment there as well.
Expert says Big HNI allotment is on a proportionate basis.
Share holder category was for amount less than 2 lakhs in Tata Tech IPO, since you applied for more than that your bid would have been rejected. Big HNI allotment is proportional or on lottery basis, it was lottery basis for tata tech IPO and you werent lucky. Gandhar shni is again lottery basis.
Yes, my bad - typo error but no error while applying,I know the amount was 1.95L and I applied for the maximum lots under 2 lacs for the shareholder quota.
But Tata documents say the allocation for Shareholder quota is on a propositional basis, not on a lottery basis.
The shareholder quota was also oversubscribed by a lot in Tata Tech, so that was also converted to lottery basis.
I have the same doubt, according to their basis of allotment, it was done on the proportionate basis and those who applied with 1.95L got 15K worth of shares, so how come it is done on draw of lots basis when it is written that it is done proportionately.
Minimum allotment a person can get in an IPO is 1 lot. In Tata Tech, 1 lot was Rs. 15000.
If you applied for ₹1,95,000 in shareholder quota, that means 13 lots. If the shareholder quota is oversubscribed by more than 13 times, it again goes into lottery mode because allotment for any bidder cannot be less than ₹15000(1 lot). In this case, t
the shareholder quota was oversubscribed by 29.20 times. So the lottery probability became = 13.00/29.20.
I hope this answers your question.
