IPO allotment process explained: reservation split, retail lottery on oversubscription, basis of allotment, refunds and timelines.
A standard book-built mainboard IPO divides the offer roughly as: up to 50% for QIBs (institutions, including anchor investors), 15% for NIIs (high-value bids above ₹2 lakh), and 35% for retail (bids up to ₹2 lakh), plus sometimes a small employee quota. SME IPOs follow their own split stated in the RHP — always read the issue, never assume.
Retail allotment follows one rule: minimum one lot each, by lottery if oversubscribed. If 10 lakh people apply for 2 lakh lots, 2 lakh applicants picked at random get one lot each — bidding for ten lots does not improve a retail applicant's odds. This is why the allotment odds calculator exists: your chance is lots-available ÷ applicants, not bid size.
Unsuccessful applicants' blocks release automatically; successful ones get shares credited to demat, usually a day before listing. Listing itself typically happens 3 working days after close (T+3). The opening price is discovered live by buyers and sellers — not fixed by GMP, the company, or the registrar.
No. Oversubscribed retail allotment is one lot per lucky applicant by lottery. Extra lots only matter in the NII/HNI categories, which allot proportionately.
No — multiple applications under one PAN are rejected outright and can forfeit all of them. One PAN, one application per IPO.
Close (T) → allotment finalisation (T+1) → refunds/credit (T+2) → listing (T+3), in working days. Dates shift on holidays.
Last updated: 14 Oct 2026, 00:15 IST