How can I apply for an SME IPO?
You need an active Demat account and a bank account to apply for an SME IPO. You can’t apply if you don’t have these. You can easily open a Demat account online by providing a few basic KYC documents. Once you have these in place, you can apply through your broker's platform using the Application Supported by Blocked Amount (ASBA) or UPI facility before the IPO closes.
While applying, you need to input the number of lots and your bid price. For example, if one lot has 1000 shares and the price is ₹50 per share, one lot will cost you ₹50,000. You can apply for one lot or multiple lots, depending on your budget. Your investment amount is blocked after you specify these details. If your bid is successful, you get the shares in your Demat account. If not, you will receive a refund to your bank account. You can find the tentative date of allotment, credit of shares in your Demat account, and the refund date in the company’s red herring prospectus under Issue/Bid Offer. You can also easily apply for an SME IPO with Kotak Securities. To do so, open a Demat account with us. Once you’ve a Demat account:
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Log in to your Demat account: Log in to the Demat account you've with us with your credentials and go to the current IPO section.
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Specify details: As said, you need to enter the number of lots and the price you wish to apply for.
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Enter UPI ID: Enter your UPI ID and click on Submit. Once you do so, your bid is placed with the exchange.
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Mandate notification: Your UPI app will get a mandate notification to block funds.
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Approve request: Once you approve the request received on your UPI app, your funds will get blocked.