An IPO, or initial public offering, is when a company first sells shares to the public. This usually happens when a company is looking to raise money to expand its business. An IPO allotment is the number of shares that a company allocates to each investor.
If you’re planning on investing in an IPO, it’s important to know how to check your allotment status. This process can vary depending on the company, but there are generally a few steps involved.
In this blog post, we’ll walk you through how to check your IPO allotment status so that you can be prepared for when the time comes.
What is an IPO.
An initial public offering (IPO) is the first sale of shares by a company to the public. Prior to an IPO, a company is considered a private company, usually with a relatively small number of shareholders, and its stock is not traded on any public stock exchange.
IPOs are often issued by smaller, younger companies seeking the capital to expand, but can also be done by large privately-owned companies looking to become publicly traded.
The primary benefit of going public is that it provides liquidity for shareholders. It also allows the company to raise capital by selling shares to the public. The downside of an IPO is that it subjects the company to increased regulation and scrutiny from both investors and government regulators.
An IPO allotment is a process whereby investment banks allocate shares to institutional and individual investors who have applied for them in an initial public offering (IPO). Investment banks receive orders from customers wishing to buy shares in an upcoming IPO, and then they allocate those shares based on various factors, including how much each customer has ordered and how much business the bank has done with that customer in the past. After allocating shares to their customers, investment banks typically hold back a certain number of shares (known as “greenshoe” options) for themselves, which they can then sell if demand for the IPO is higher than expected Algo trading.
How to check your IPO allotment status.
The process of checking your IPO allotment status is relatively simple and can be done online or through your broker.
To check your IPO allotment status online, you will need to visit the website of the stock exchange where the IPO was listed (For example: if the IPO was listed on the BSE, you will need to visit www.bseindia.com). On the homepage of the website, look for a link that says “IPO Status” or something similar. When you click on this link, you will be taken to a page where you will be required to enter your PAN number.
Once you have entered your PAN number, hit the “Search” button and your allotment status will be displayed on the screen. If you have been allotted shares, it will show up as “Allotted” against your application number.
It is also possible to check your IPO allotment status through your broker. If you had applied for shares in an IPO through a broker, then they should have sent you an SMS or an email informing you of the allotment once it was finalized. Alternatively, you can also log in to the broker’s website and check under the “Client Portal” section. Your allotment details should be available there.
If you’re planning on investing in an IPO, it’s important to know how to check your allotment status. By following the steps outlined in this blog post, you can easily track your progress and ensure that you’re getting the most out of your investment.