Investing in Initial Public Offerings (IPOs) has become increasingly popular among Indian investors. After applying for shares in an IPO, the next anxious wait is to find out whether you have been allotted shares. This guide walks you through everything you need to know about how to check IPO allotment status easily and understand the entire allocation process.
Understanding IPO Share Allocation Timeline
When a company launches an IPO, there’s a structured timeline that follows after the subscription period ends. Typically, the allocation of shares takes place within 3-10 working days after the IPO subscription closes. This is when the company and registrars process all applications and determine who gets the shares based on certain criteria.
The entire process, from subscription closing to listing, follows this general timeline:
- Subscription period closes
- Basis of allotment decided
- IPO allotment status becomes available
- Refunds processed for unsuccessful applicants
- Shares credited to the successful applicants’ demat accounts
- IPO lists on the stock exchange
Companies must complete the allocation process within the timeline prescribed by the Securities and Exchange Board of India (SEBI), which is usually within a week after the IPO subscription window closes.
How is IPO Allotment Calculated?
- Valid Applications Only: Only applications that meet all eligibility criteria and are submitted at or above the cut-off price are considered. Invalid applications, such as those with incorrect Demat details or multiple applications with the same PAN, are rejected.
- Category-wise Allocation: Shares are allotted separately for each investor category—Retail, Non-Institutional Investors (NII), and Qualified Institutional Buyers (QIB). Each category has a reserved quota, and allocation rules can differ between them.
- Undersubscription: If the IPO is undersubscribed in a category (except QIB), all valid applicants receive the full number of shares or lots they applied for.
- Oversubscription: When demand exceeds available shares, allotment is done through a lottery system for retail investors, ensuring at least one lot is allotted to as many applicants as possible. For NII, shares are allotted on a proportionate basis, and if oversubscribed, a minimum lot is allotted, with the rest distributed proportionally.
- QIB Category: Unsubscribed shares in the QIB category are not reallocated to other categories.
- Basis of Allotment: The registrar, in consultation with the stock exchange, prepares a Basis of Allotment document, which details the allocation process and individual allotment status.
Allotment Status: Investors can check their allotment status online on the registrar’s website using their PAN or application number after the allotment is finalised.
How To Check IPO Allotment Status Online
There are multiple convenient ways to check IPO allotment status once the company finalises the allocation. Here are the most reliable methods:
Registrar Websites
Each IPO has a designated registrar who manages the application and allocation process. Here are the steps you can follow to check your IPO allotment status on their website:
- Visit the registrar’s website (such as KFin Technologies or Bigshare Services).
- Visit their IPO status page.
- Select the name of the company from the drop-down menu.
- Enter your application number or PAN.
- Click on the submit button to view the IPO status.
Stock Exchange Websites
Both major Indian stock exchanges offer services on how to check IPO allotment status online directly through their websites:
- Go to the NSE or BSE website.
- Navigate to the IPO section.
- Select the company name.
- Enter your IPO application number or PAN and other verification details.
- View your allocation status.
Through Your Broker’s Platform
Most trading platforms and brokers in India now offer integrated services to check IPO allocations directly through their apps or websites. This is often the most convenient method, as all your investment information is available in one place.
Popular brokers provide dedicated sections where you can view the status of all your IPO application requests. Simply log in to your trading app or website, navigate to the IPO section, and check the status of your applications.
Understanding How IPO Share Allotment Is Determined
When a company goes public through an Initial Public Offering (IPO), it offers its equity shares to the public in standardised groups known as “lots.” Each lot contains a fixed number of shares. As a retail investor, you cannot apply for individual shares. You must place your bid in multiples of these predefined lots. The actual number of shares you receive depends on how many lots are allotted to you during the IPO process.
Once all bids are received, the allotment depends on the demand and can fall into one of two scenarios:
i. Undersubscribed IPO (Bids < Lots Offered)
If the total number of lots applied for by investors is less than the total number of lots available in the IPO, then every applicant receives the full number of lots they applied for.
ii. Oversubscribed IPO (Bids > Lots Offered)
If the total demand exceeds the available number of lots, SEBI’s allotment guidelines come into play:
- Every eligible retail investor is ensured at least one lot, subject to availability.
- The remaining lots are distributed proportionately, based on how many lots each investor applied for. This usually happens in the case of small oversubscription.
- If proportional allotment isn’t feasible due to high demand or limited supply, a computerised lottery system is used to randomly select applicants for allotment.
IPO allocation also depends on investor category. IPOs have specific reservation quotas for different investor categories, as follows:
| Investor Category | Investment Limit | Reserved Share Percentage |
| Qualified Institutional Investors (QIIs) | Large stake investments | Maximum 50% of the total shares |
| Non-Institutional Investors (NIIs) / High Net Worth Individuals (HNIs) | More than ₹2 lakhs | 15% of the offer |
| Retail Individual Investors (RIIs) | Up to ₹2 lakhs | Minimum 35% (or 10% for companies not profitable in the last 3 years) |
| Anchor Investors | Minimum ₹10 crore | Up to 60% of QII allocation 30-day lock-in period |
Your chances of allocation vary depending on which category you fall under and the subscription level in that category. If one category is undersubscribed and another is oversubscribed, the excess demand in the oversubscribed category may be partially met using the unutilised portion from the undersubscribed category. However, this adjustment does not apply to the QIB (Qualified Institutional Buyers) category.
Step-by-Step Process to Apply for an IPO
To participate in the IPO allocation process, you first need to know the correct procedure for applying. Here is how you can apply for IPOs in India:
Requirements for IPO Investment
Before applying, ensure you have:
- An active Demat account
- A trading account linked to your Demat account
- Sufficient funds for the application
- PAN linked to your investment account
- UPI ID (for ASBA applications)
Application Through UPI-ASBA Process
The current IPO application process uses the UPI-ASBA (Applications Supported by Blocked Amount) mechanism:
- Log in to your broker’s platform and navigate to the IPO section
- Select the ongoing IPO you wish to apply for
- Enter the number of lots you want to apply for
- Select your UPI ID linked to your bank account
- Submit your IPO application
- Approve the mandate request on your UPI app
- Once approved, your funds are blocked until allocation
Making Sense of Your Allotment Status
After checking your IPO allotment status, you will encounter one of these outcomes:
- Allotted: Congratulations! You have received shares, which will be credited to your demat account before the listing day.
- Not Allotted: Your application was unsuccessful, and the blocked amount will be unblocked/refunded within 1-2 working days.
- Partially Allotted: In case of oversubscription, you might receive fewer shares than you applied for. The excess blocked amount will be refunded.
If your application is successful, you’ll typically see the shares in your demat account one day before the listing. If unsuccessful, your funds will be unblocked and available in your bank account.
Final Thoughts
Learning how to check IPO allotment status is an essential skill for any investor participating in the primary market. The digital infrastructure in India has made this process remarkably straightforward, allowing you to track your application status through various platforms.
Ready to participate in upcoming IPOs? Open a free demat account today with Torus Digital and gain access to seamless IPO applications and tracking. Stay updated with the latest upcoming IPO opportunities to plan your investments effectively.
