What is IPO?
Who can buy the IPO?
Everyone Invest in the IPO and buy lots, including public, banks, other corporates and Institutions.
• LOT :- Lot means a bunch of fixed number of stocks or share, an individual could only by a lot rather than a no. of shares according to them.
For Example :- A single is equal to 100 shares.
:- 1 LOT = 100 SHARES
STEPS TO APPLY IN A IPO :-
{YOU SHOULD HAVE AN A DEMAT ACCOUNT WITH A REPUTED BROKER AND FROM THEM YOU CAN APPLY FOR IPO IN WHICH YOU WANNA INVEST}
1. APPLICATION :- IN THIS, PUBLIC AND OTHER INVESTORS APPLY FOR THE IPO IN WHICH THEY WANT TO INVEST.
APPLICATION SHOULD BE SUBSCIBED 90% OF THE TOTAL IPO'S MONEY.
For Instance:- A company launches it's IPO of 100 Crores. And the the IPO should be subscribed by 90%, which is 90 Crores if the public and other investor did'nt apply for 90 Crores shares than the company will not be listed on stock exchanges because of the undersubscription of the shares.
2. ALLOTEMENT :- IN THIS, APPLIED SHARES ALLOTED TO THE INVESTORS, WHO PUT APPLICATION FOR NUMBER OF SHARES IN IPO.
(Sometime shares are oversubscribed, than shares are alloted to the public in pro rata basis)
3. CREDIT OF SHARES TO DEMAT A/C :- AT THIS STAGE ALLOTED SHARES TRANSFER TO THE DEMAT A/C OF THE INVESTOR.
4. SHARES LISTED TO THE STOCK EXCHANGE :- THIS IS THE LAST STAGE OF AN IPO BECAUSE AFTER THIS SHARES WILL LISTED IN THE STOCK EXCHANGE.
~POPULAR IPO'S LAUNCH IN INDIA |2020
• BURGER KING
• Burger King launches it's IPO on 2 December to 4 December of approximately ₹450 Crores for ₹59-60 bid price per lot.
Burger King's IPO oversubscribed by 60-80 times more and it will be the reason for its high open price on listing date which is 14 December.
-REASONS BEHIND THE OVERSUBSCRIBTION OF BURGER KING
1. Past Performance of Burger King
2. Reccesion and Economic conditions
3. Fundamental Analysis
Burger King is basically strong on these all points.
• MRs. Bector's food Specialities (CREMICA)
• Mrs Bector's food specialities launches it's IPO on 15th to 17th December of ₹540.45 Crores for ₹286-288 Bid price per lot.
Mrs. Bector's food specialities will be listed on both stock exchanges, NSE(NATIONAL STOCK EXCHANGE) as well as BSE(BOMBAY STOCK EXCHANGE) On 28th December.
~ FUNDAMENTALLY MBFS IS ALSO STRONG.
SUMMARY
• Basically, IPO means the money companies get from public and investors for the further growth and expansion.THANK YOU FOR GIVING ATTENTION WHILE READING :
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