How to Check IPO Allotment Status & Factors Affecting IPO Allotment Status?

Checking your IPO allotment status helps you know whether shares have been allocated to you after applying for an IPO. It’s an important step post-application, allowing investors to plan their next move whether to prepare funds for listing gains or consider other investment opportunities.

Where to Check IPO Allotment Status?

You can check your IPO allotment status through:

• The registrar’s website (e.g., Link Intime, KFintech)
• BSE or NSE official website
• Your stockbroker’s or Demat account platform
• Through emails/SMS alerts from the registrar or broker

How to Check IPO Allotment Status?

You can check the IPO application by following the steps given below:

By Visiting the website of the exchanges

Visit BSE Website: 

Visit the official website of the BSE and go to the “Status of Issue Application”. Alternatively, you can directly go to “IPO Application Status Check | BSE”.

• Select Issue Type: Under “Issue Type” choose Equity
• Enter Details: Feed in details like “Issue name” and “Application number” or “PAN Card number”
• Submit: After entering the above details, click on Submit

Visit NSE Website

• Visit the NSE website and go to products>equities>ipo_login
• Select the symbol: select the symbol from the drop down
• Application Number: Enter your application number
• Get Data: Click on Get Data

Through Registrar websites

You can check the IPO allotment status through the websites of the registrars. Some of the top IPO registrars in India include Link Intime Securities, KFIN Technologies, Bigshare Services, Cameo Corporate Services, Integrated, Skyline Financial Services, Maashitla Securities Ltd etc

Checking Allotment Status

• Normally, the day after the IPO closes, the basis of allotment for the IPO is finalised. Once the basis of allotment is finalised by the registrar on T+1 after IPO closure, the IPO allotment status can be checked online.
• On T+2 day, the allotted shares are credited to the respective demat accounts and the refunds via ASBA are completed by removing the block on the bank account.
• On the T+3 day after the closure of the IPO, the stock gets listed on the stock exchange and can be traded after that.
• Your IPO allotment status is normally uploaded on the same night after the basis of allotment is finalised or early the next day.
• You can then check your IPO allotment online.

How is IPO Allotment Calculated?

The IPO allotment is done on the basis of demand and supply for the shares. There could be 2 scenarios for the same:

If there is an oversubscription, that is demand for shares is higher than the supply, then the calculation becomes complex. For retail investors, shares are allotted as per the size of their application. In case of oversubscription, a lottery system may be used at times. done to ensure fairness. In the case of high net worth individual and institutional investors, shares are allocated in proportion to their bid sizes.

If the IPO is undersubscribed in all categories, then all investors receive shares as per their application. If it is undersubscribed in one of the categories, then the distribution is adjusted amongst various categories except for QIB (Qualified Institutional Buyers).

Procedure for the Allotment of Shares in an IPO

The procedure for IPO allotment ensures fair distribution of shares among investors based on SEBI guidelines. It depends on investor categories and subscription levels

• Application Collection: Investors submit IPO applications during the subscription window.
• Categorisation: Applications are sorted into retail, HNI, and institutional investor categories.
• Oversubscription Handling: If oversubscribed, a lottery system is used, especially for the retail segment.
• Allotment Finalisation: The registrar finalises allotment based on SEBI guidelines.
• Credit of Shares: Allotted shares are credited to investors’ Demat accounts.
• Refunds: Excess funds are refunded for unallotted shares.
• Listing: Shares are listed on the stock exchange on the predetermined date

Things to Do After Checking IPO Allotment Status 

Once you check your IPO allotment status, the next steps depend on whether you’ve received the allotment or not. Timely action ensures better investment decisions.

1. If Allotted:
   • Track the IPO listing date and prepare your sell/hold strategy.
   • Monitor market trends and company performance post-listing.
   • Ensure shares are credited to your Demat account.
2. If Not Allotted:
   
   • Wait for the refund, which usually takes 3–5 working days.
   • Check your bank account or UPI app for refund confirmation.
   • Consider applying in other upcoming IPOs or explore alternatives.

Factors Affecting IPO Allotment Status

IPO allotment depends on investor category, issue subscription levels, and application accuracy. High demand often leads to a lottery-based allotment.

• Oversubscription: If an IPO is oversubscribed, allotment is done via lottery, especially in the retail category.
• Investor Category: Allotment rules differ for retail, HNI, QIB, and employee categories.
• Application Size: Smaller, single-lot applications often have a higher allotment chance in oversubscribed IPOs.
• PAN/Demat Errors: Incorrect details can lead to rejection.
• Cut-Off Price Selection: Applying at the cut-off price increases the chances of allotment.
• UPI Mandate Approval: Failure to approve the UPI mandate on time can result in disqualification.

How Does the Registrar Decide on the Allotment?

The registrar plays a crucial role in allotting shares during an IPO, especially when the issue is oversubscribed. They follow a predefined process to ensure fairness:

• Oversubscription Handling: When demand exceeds available shares, the registrar uses a lottery or proportional allotment system to distribute shares among applicants.
• Category-wise Allocation: Shares are allotted based on investor categories (retail, institutional, QIBs), each having a fixed quota.
• Random Selection: For retail investors, allotment often happens through a computerised random draw to maintain impartiality.
• Verification: The registrar verifies all applications for completeness and compliance with norms before allotment.
• Refunds: Applicants who don’t receive allotment get their application money refunded promptly.

This process ensures transparency and equitable distribution of shares during the IPO.

Strategies for IPO Allotment Success

Getting allotted shares in a popular IPO can be challenging, but these tips may improve your chances:

• Apply in Multiple Demat Accounts: Submitting applications through different demat accounts increases the odds of allotment since each account is treated separately.
• Apply for Minimum Lots: Applying for the minimum number of shares increases the likelihood of receiving at least some allotment.
• Apply Early: Submit your IPO application early during the subscription period to avoid last-minute technical glitches or delays.
• Diversify Applications: Apply in different categories if eligible (retail, employee, or institutional), but follow the rules carefully to avoid disqualification.
• Avoid Multiple Applications from Same PAN: Multiple applications under the same PAN can lead to rejection, so apply only once per category.
• Stay Updated: Track IPO news and allotment dates closely to act promptly.

While these tips can help, remember IPO allotment also depends on demand and random allocation in case of oversubscription.

Conclusion

As a potential IPO investor, it is important to understand how the allotment of shares is done in an IPO investment. If the IPO is a hot one, chances are high that the IPO may be oversubscribed. However, there have been such instances where the IPO has been undersubscribed despite good roadshows and robust financials of the company. In either case, it is best recommended to have a clear idea of how your application for shares will be treated in terms of allotment