Standard Glass Lining Technology IPO, which saw a bumper response from investors during the bidding process, has now left investors wondering what are their odds of getting the allotment of shares after a stellar bidding for the issue. However, investors including retailers, big HNIs and small HNIs know that there are miniscule chances of getting the shares for their bids.
The IPO of Standard Glass Lining Technology fetched more than 52.39 lakh applications. Net of the Rs 123.01 crore anchor book, the IPO of Standard Glass fetched bids worth Rs 53,419.19 crore for its Rs 287.04 crore offering as the issue was overall booked a stellar 183.18 times.
It is pertinent for both investors and companies to have a clear understanding of an invalid bid in IPOs. The errors in application details, name mismatches in PAN and bank accounts, or filling up multiple applications with the same PAN can easily lead to disqualification, said Trivesh D, COO at Tradejini.
On an individual basis, the quota for qualified institutional bidders (QIBs) was booked 183.18 times, fetching bids worth Rs 26,879.88 crore. The allocation for non-institutional investors (NIIs) was booked 268.50 times, attracting bids for Rs 16,960.26 crore for their allocation. Retail portion was booked 64.99 times, getting bids for Rs 9,579.05 crore for their allocation.
"Even the least important things like not filling forms completely or missing pre-specified deadlines may end up being too costly for an investor since it prevents the allotment of shares. As they say, ‘Little extra attention to detail may go a long way in ensuring your application is valid. A seamless IPO process that benefits as investors can avoid invalid bids," he said.
Here is the tentative odds allotment matrix in Standard Glass Lining Technology IPO for the investors:
Big HNI category: 2 investors out of 123 investors will get 1,498 shares (Probability: 1.62 per cent)
Small HNI category: 1 investor out of 211 investors will get 1,498 shares (Probability: 0.47 per cent)
Retail category: 1 investor out of 51 investors will get 107 shares. (Probability: 1.96 per cent)
The IPO of Standard Glass Lining Technology was open for bidding between January 6 and January 8. The Hyderabad-based company had offered its shares in the fixed price band of Rs 133-140 per share with a lot size of 107 shares. It raised Rs 410.05 crore via its primary offering, which included a fresh share sale of Rs 210 crore and an offer for sale (OFS) of 200.05 crore.
Grey market premium (GMP) of Standard Glass Lining Technology has remained stable following a bumper response from investors, signaling another stellar listing at the bourses. Last heard, the company was commanding a premium of Rs 91 in the unofficial market, indicating a listing of 65 per cent for the investors.