How to Check Allotment of IPO 

Investing in an IPO (Initial Public Offering) can be an exciting opportunity to gain early access to a company’s shares. After applying, the next crucial step is to check whether you’ve been allotted shares. The process of IPO allotment is systematic, often involving a lottery system for oversubscribed issues. 

This blog will walk you through how to check allotment of IPO, explain the allotment process, and share tips to track your allotment status seamlessly.

What is the Process of IPO Allotment?

The IPO allotment process determines how shares are distributed among investors who apply during the IPO subscription period. Here’s how it works:

1. Categorisation of Investors

Investors are divided into categories such as:

• Retail Individual Investors (RII): Individuals applying for shares worth up to ₹2 lakhs.
• Non-Institutional Investors (NII): High-net-worth individuals applying for shares above ₹2 lakhs.
• Qualified Institutional Buyers (QIB): Institutions like mutual funds, banks, and insurance companies.

2. Oversubscription and Pro-Rata Allocation

If the IPO is oversubscribed (applications exceed available shares), allotment is done via:

• Lottery System: For retail investors, shares are allotted randomly using an electronic lottery system.
• Pro-Rata Basis: For non-retail categories, shares are distributed proportionally based on application size.

3. Allotment Based on Lot Size

• Each IPO specifies a minimum lot size, which is the smallest number of shares that can be applied for.
• Investors receive shares in multiples of the lot size. If demand exceeds supply, only complete lots are allotted.

4. Role of the Registrar

• Registrars, such as Link Intime or KFin Technologies, manage the allotment process.
• They ensure transparency, fairness, and compliance with SEBI regulations.

5. Credit of Shares and Refunds

• Allotted shares are credited to the investor’s Demat account by the allotment date.
• If no shares are allotted, the application money is refunded, typically within a few w

Allotment Date of IPO

The allotment date of an IPO is the day when the registrar finalises and announces the allocation of shares to investors. This date is crucial for those who have applied for an IPO, as it determines whether they have been allotted shares or not.

Key Details About IPO Allotment Date

Announcement Timeline:

• The allotment date is typically 4-7 working days after the IPO subscription period ends.

How It’s Communicated

• The company or registrar announces the allotment date in the IPO prospectus or on their official website.
• Investors can also track the allotment timeline through their brokers or market news platforms.

Importance of the Allotment Date:

• Marks the completion of the share allocation process.
• Determines when shares will be credited to investors’ Demat accounts and when refunds (if applicable) will be processed.

How to Check Allotment Status of IPO?

Checking the allotment status of an IPO is a straightforward process. Here are the most common ways to verify if you’ve been allotted shares:

1. Using the Registrar’s Website

The IPO registrar (e.g., Link Intime, KFin Technologies) manages the allotment process.

Steps:

• Visit the registrar’s official website.
• Go to the “IPO Allotment Status” section.
• Select the IPO you applied for.
• Enter required details such as:

• PAN (Permanent Account Number).
• Application Number.
• Demat Account Number/Client ID.

• Click “Submit” to view your allotment status.

2. Through Your Broker’s Platform

Most stockbrokers provide IPO allotment updates on their platforms.

Steps:

• Log in to your trading or brokerage account.
• Navigate to the IPO section or transaction history.
• Check for updates on the allotment status.

3. Stock Exchange Websites (NSE/BSE)

Investors can also check their IPO allotment status on stock exchange websites.

Steps:

• Visit the NSE or BSE official website.
• Select the “IPO Allotment Status” option.
• Enter details such as:

• PAN.
• Application Number.
• Issue Name.

• Click “Search” to view your allotment status.

4. Notifications via Email or SMS

• Registrars and brokers often notify investors about allotment results via email or SMS.
• Ensure your contact details are updated with your broker and Demat account provider.

What Happens After IPO Allotment?

Once the IPO allotment process is completed, several key steps follow to finalise the transaction and prepare for the stock’s listing on the exchange:

1. Shares Credited to Your Demat Account

• If you are allotted shares, they will be credited to your Demat account by the date specified in the IPO timeline (usually a day or two after the allotment date).
• You can verify the credited shares through your broker’s platform or Demat account.

2. Refund for Unsuccessful Applications

• If no shares are allotted or if you are partially allotted shares, the remaining application money will be refunded.
• Refunds are typically processed electronically and credited to your linked bank account within a few working days.

3. Preparation for IPO Listing Day

• Once shares are allotted, the next major event is the IPO listing on the stock exchange.
• The listing date is when the stock starts trading on the exchange (NSE or BSE).

4. Monitor Listing Gains or Losses

• On the listing day, observe the stock’s performance to decide whether to hold or sell your shares.
• High demand can lead to listing gains (higher stock price than the IPO price), while low demand may cause listing losses.

5. Update Your Portfolio

• Include the allotted IPO shares in your investment portfolio.
• Track their performance and review your investment strategy accordingly.

Common Issues and Solutions in IPO Allotment

• Delay in Updating Allotment Status: Wait for the registrar to finalise the allotment and update the status. Check the registrar’s website or contact your broker for assistance.

• Unable to Access Registrar’s Website: Use alternative platforms like stock exchange websites or broker platforms to check allotment status.

• Shares Not Credited to Demat Account: Contact your broker or Demat account provider to resolve discrepancies in your account details.

• Refund Not Processed for Unsuccessful Applications: Verify the bank account linked to your IPO application and contact the registrar if delays persist.

• Incorrect Details Entered While Checking Status: Recheck your PAN, application number, or Demat account details before submitting.

• Missed IPO Allotment Date: Track IPO timelines via broker notifications, market news, or official announcements to stay informed.

• Allotment Status Not Updated on Stock Exchange Website: Wait for data synchronisation or check the registrar’s platform for real-time updates.

• Difficulty Understanding Allotment Results: Contact your broker or the registrar’s helpline for clarification.

Tips for Tracking IPO Allotment 

• Monitor the IPO Timeline: Stay updated on the allotment date of the IPO by referring to the prospectus or stock exchange announcements.

• Use Reliable Platforms: Check your IPO allotment status through trusted sources like the registrar’s website, broker platforms, or stock exchange portals.

• Keep Application Details Handy: Have your PAN, application number, and Demat account details ready for quick reference while checking allotment status.

• Set Reminders: Use calendar notifications or alerts to track key dates such as the allotment date, refund processing, and listing day.

• Leverage Broker Notifications: Enable email or SMS alerts from your broker to receive updates on allotment results.

• Check Multiple Sources: If one platform is delayed or inaccessible, use alternate methods like NSE or BSE websites to confirm your status.

• Verify Refunds Promptly: If no shares are allotted, ensure the refund is processed to your linked bank account without delay.

• Follow Market News: Stay informed about any changes or delays in the IPO allotment process through financial news platforms.

Make Informed Investment Decisions with Streetgains

Tracking the allotment of an IPO is a crucial step for investors looking to capitalise on new market opportunities. By understanding the process and using reliable methods to check your status, you can stay informed and act promptly. 

Streetgains’ expert insights and research updates empower you to navigate IPOs confidently and optimise your market potential.