IPO Allotment Status: A Comprehensive Guide for Investors
Introduction
The buzz around Initial Public Offerings (IPOs) in India has grown tremendously over the past few years. Whether it's a tech startup making its debut or a PSU entering the stock exchange, investors eagerly await the IPO allotment status after applying. This status determines whether they’ve received shares or not, making it a crucial part of the IPO process.
Understanding how IPO allotment works, how to check your IPO allotment status, and what to do after the allotment can help investors make informed decisions. In this blog post, we’ll explore the entire lifecycle of IPO allotment in India, including the timeline, platforms, reasons for non-allotment, and steps to take post-allotment.
What Is IPO Allotment Status?
Definition and Importance
The IPO allotment status indicates whether the shares you applied for in an IPO have been allocated to your Demat account. The process is handled by the Registrar of the IPO, and the status is generally updated within 5-6 working days after the issue closes.
If your application is successful, you will receive a certain number of shares; if not, your money will be refunded or unblocked (in case of UPI-based applications).
How Does IPO Allotment Work?
Allotment Process
IPO allotment is based on a lottery system if the IPO is oversubscribed. Investors are allotted shares in a proportional or randomized manner depending on whether they applied under the Retail Individual Investor (RII), Non-Institutional Investor (NII), or Qualified Institutional Buyer (QIB) category.
Key Steps in IPO Allotment Process
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IPO Closes for Subscription
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Registrar compiles all applications
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Shares are allotted randomly (in oversubscription)
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Allotment status is published online
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Shares credited to Demat accounts
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Refund or unblocking of funds
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Listing of shares on stock exchange
IPO Allotment Timeline (Typical)
| Event | Timeline (Working Days) |
|---|---|
| IPO Opens | Day 1 |
| IPO Closes | Day 3 |
| Finalization of Basis of Allotment | Day 6 |
| Refunds Initiated | Day 7 |
| Shares Credited to Demat | Day 8 |
| Listing on Stock Exchange | Day 9 |
How to Check IPO Allotment Status
Investors can check IPO allotment status through registrar websites, stock exchanges, or broker platforms.
Steps to Check Allotment via Registrar Website
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Visit the official registrar website (e.g., Link Intime, KFin Technologies)
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Select the IPO name from the drop-down menu
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Enter one of the following:
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PAN number
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Application number
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DP/Client ID
-
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Click on “Search” or “Submit”
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View allotment status (allotted/not allotted)
Popular Registrar Platforms
| Registrar | Website |
|---|---|
| Link Intime | www.linkintime.co.in |
| KFin Technologies | www.kfintech.com |
| Bigshare Services | www.bigshareonline.com |
| Cameo Corporate Services | www.cameoindia.com |
Factors That Influence IPO Allotment
1. Oversubscription Level
If the IPO is heavily oversubscribed, especially in the retail segment, chances of allotment may be reduced. In such cases, a lottery-based system is used.
2. Application Type
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Retail Investors: Can apply for up to ₹2 lakh worth of shares
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HNI/NII: Above ₹2 lakh
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QIBs: Institutions like mutual funds, banks, etc.
3. Cut-off Price Selection
Retail investors selecting the cut-off price stand a better chance of allotment compared to those who bid at lower prices.
4. Technical Errors
Applications with incorrect PAN, UPI mismatch, or wrong Demat details may be rejected.
Common Reasons for Non-Allotment
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Oversubscription of IPO shares
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Wrong or mismatched PAN details
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Insufficient funds at the time of UPI blocking
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Technical error in application
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Multiple applications from the same PAN (violates SEBI rules)
What to Do After IPO Allotment?
If Shares Are Allotted
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Check your Demat account for credited shares
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Monitor the stock’s listing date and price
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Decide whether to hold for long term or book listing gains
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Add the shares to your trading account if required
If Shares Are Not Allotted
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Refund or UPI unblocking is done automatically
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Funds are released within 2–3 business days
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Consider applying for upcoming IPOs
Example of Allotment Outcomes
| Investor Name | IPO Applied | Allotment Status | Refund Initiated |
|---|---|---|---|
| Rohit Sharma | ₹14,000 | Allotted | No |
| Anjali Patel | ₹14,000 | Not Allotted | Yes |
| Devansh Verma | ₹1,40,000 | Partially Allotted | Yes (Partial) |
Tips for Improving IPO Allotment Chances
While the allotment is mostly lottery-based, here are some strategies that might improve your odds:
Ways to Improve IPO Allotment Chances
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Apply using multiple PANs from family members
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Always choose the cut-off price
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Avoid applying through the same PAN multiple times
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Use different UPI IDs linked with valid bank accounts
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Ensure adequate funds in your bank account during application
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Submit the application early, not at the last hour
Conclusion
Checking your IPO allotment status is a critical step in the investment journey. With increasing investor participation in India’s growing IPO market, understanding how the allotment process works can make the difference between disappointment and celebration. While the process may seem random at times due to oversubscription, following best practices and ensuring error-free applications can increase your chances.
Always track your application through official channels, stay informed about refund timelines, and plan your strategy post-allotment based on your investment goals.
