Both, listing day price and CMP, is split adjusted for IRCTC and all other companies mentioned.
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Interview with Mr. Tiraj Kotian - MD, Marinetrans India
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Hi All,
Hope everyone is doing well. Is there any discussion thread on the upcoming IPO’s. It seems every week at least 3 companies are doing IPO. If there is any thread people are aware of or keep updating, Please put the link .
Thanks in Advance
I think this thread is for that purpose only.
Here is an interview with MD, Founder of Euphoria Infotech Mr. Shamba Bhanja, on the upcoming SME IPO.
I am not sure that IPO allotment process is not rigged, particularly SME ones. My conviction is due to the fact that, me and my family members have made more than 60 applications in recent times in SME IPOs without any success. Main board IPOs we have got allotment in few cases. I do not know who makes the allotment and what are the checks and balances. Whether it is Registrar, Exchanges or some one else? I know it is computerised but what is the process followed ? Any one who has been successful in high flying SME IPOs ? Feedback will be highly appreciated.
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Main board IPOs are based on lottery system. Over subscription in all quota including hni are distributed based on lottery.
In SME IPOs hni are distributed based on amount blocked while the retail portion is based on lottery. So applying large quantities in hni quota will guarantee an allotment but the size of allotment will be based upon subscription level and amount blocked.
Small size of IPO and lot size also limits the number of people getting allotment in SME.
Which IPOs are you interested in at present?
I am interested in IPOs which are at least 1 year old
I am not interested in any IPO at present per se. But interested for any opportunity. As you can see, many SME IPOs are now akin to lotteries. In fact almost every week I find companies are being listed more than double the issue price. Taking the lot size into consideration, it amounts to almost 1 lac gain for lucky ones. In some cases I have observed profit of more than 2.5 lacs. So you can understand the opportunities here and that is the reason we are having more than 1000 times subscription in some cases .
Returns depends upon the amount one has to keep in cash to get the allocation. Retail portion is based on lottery and is not scalable. There is very low chance of allocation as people are applying from multiple accounts also. Once a while one can get lucky but no strategy can be made out of it due lack of scale.
The hni quota is based on the proportion to the amount applied for. So people are applying in higher quantities to get confirmed allocation. One strategy used is to apply in higher quantities and keep rotating with higher quantities to scale.
Another problem is that IPOs work best in bull market. One can easily use the money kept for IPO in secondary market and get better returns.
Strategy of buying on listing date and holding for long term can be used on poor listing with undervaluation. In most cases there is nothing left for investors after listing gain.
@Yogesh_s what are your thoughts on Capacite infra now? Do you see value?
don’t know where you are getting the data from
Allocation is based on lottery and not on ticket size; most people get the minimum lot if oversubbed
they go by PAN card, so multiple accounts dont matter
Read basis of allotment of any SME IPO.
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https://x.com/ipo_mantra/status/1755078221614248257?s=20
Quote:
"2 points to note here to get HNI Allotment in SME IPOs:
- HNI Allotment is proportionate.
- You need to apply equal to or more than HNI Subscription to get confirm allotment.
Example:
If HNI subscription is 40x then apply at least 40 lots to get confirm allotment
If HNI subscription is 150x then apply at least 150 lots to get confirm allotment
If HNI subscription is 470x then apply at least 470 lots to get confirm allotment
And So On …"
Huge amount is required for confirmed allocation. It would be better utilised in secondary market.
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Interview with the Founder and CEO of WTi cabs.
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Rudra Gas Enterprise Pvt Ltd is engaged in gas distribution network projects, fiber cable networks, construction equipment, and vehicle rental.
Watch this interview with the promoters to know more about the company:
Hello sir ,
I have few questions regarding the lot size you have mentioned . Yes what you have mentioned in here about subscription rate and chances of allotment makes sense .
However , If I calculate , most of the IPO applicants are using IPO financing as a tool to apply , which also has a limit of 1crore as maximum lending option per individual . So for SME IPO person A can apply maximum of 70-80 lots if he is using IPO loan facility which might be less number for IPO with HNI subscription of 100 times or more .
Now if you say , an Individual B may have 6 crores for the required amount where IPO is 400times subscribed in HNI category , will he really apply that much amount for an IPO.??
I hope you are getting my point . please revert back if I am wrong somewhere in calculations.
Yes some people are actually applying in crores for SME IPO. You can check basis of allotment document of any highly subsidised ones. In retail also, people are applying from multiple accounts of relatives for higher probability of allocation. Whole SME market is running on sentiments now. Some people are doing IPO investing only.
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Yes , you are absolutely right .
Deem Roll Tech Limited is one of the leading manufacturers of steel and alloy rolls in India, which are used in iron and steel rolling mill industry.
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Hi, any further thoughts on Deem Roll Tech on entering now?