ALLOTMENT · 3 MIN READ
IPO allotment process
The registrar does not allot shares immediately when the issue closes. Applications first pass through several checks.
1. Applications are reconciled
The registrar receives exchange bids and payment or bank-block information. Duplicate, invalid or technically rejected applications are removed according to the offer rules.
2. Demand is measured
Valid applications are grouped by investor category and compared with the shares available in that category.
3. Basis of allotment is prepared
The registrar prepares the allocation method in consultation with the designated stock exchange. It depends on demand and the category's applicable rules.
4. Funds and shares are settled
Money remains blocked under ASBA or UPI. The amount for allotted shares is debited; the balance or unsuccessful application amount is unblocked.
5. Shares reach demat accounts
Successful allotments are credited before listing, subject to the timetable. Investors can check the registrar or exchange allotment facility.
Reviewed for clarity · 2026-11-03