Upcoming IPO – IPO stands for Initial Public Offer. For the business expansion company requires a lot of money. The company either invests money from surplus cash or opt for issuing stock (shares) to the public for raising capital. The shares are issued to institutional investors and retail investors. The company file their draft red herring prospectus (DHRP) or offer document to SEBI. SEBI reviews the draft document and checks if proper disclosures are made in the offer document.
The price band of IPO is decided and the IPO date is released once SEBI approves the proposal. Under IPO shares are allocated to retail and institutional investors at a decided price. Once IPO is issued investors get a chance to purchase stock directly from the stock market. The capital raised by IPO can be used for the company’s future growth and for paying off previous debts.
As per exchange data, in the year 2020 total 16 companies have launched IPO. Most of the IPO has faced a mixed reaction of investors. Few IPO has given negative performance such as SBI card IPO. However, due to positive market sentiments IPO situation is improving. Many companies are planning to launch an IPO in 2021 including LIC and Railtel Corporation. In this post, I will share important information about IPO and detail about the upcoming IPO.
What is an Upcoming IPO?
The IPOs which are expected to launch shortly are known as the upcoming IPO. This can be called the next IPO. It is a term widely used to describe the public offering that has registered or drafted with SEBI. SEBI has approved the prospectus filed by the authority and likely issue date of IPO is finalized.
How to subscribe to an IPO?
In order to subscribe to an IPO, you require a demat account. You can open a demat account at a full-service broker or at a discount broker. IPO’s are ASBA (application supported by blocked amount) this means you need to block amount equal to share applied for applying.
You need to login into your demat account. Under the demat account, you will get the IPO section. IPO section shows the current IPO. You need to select the IPO of the company you want to apply for. You need to enter the share lot and enter the cut off price while applying.
How to find IPO allotment status?
To check the IPO allotment status, you need to visit the registrar of the company’s official website. This website detail is declared by the company. You need to provide the details as asked in the allotment status section of the website i.e. select the IPO, enter PAN number and DP client ID. This will provide you with the IPO allotment information.
Additionally, you can find allotment status detail after login into your demat account.
What is Grey Marketing Premium in IPO?
Grey Market is the market where IPO is traded before launch. This is an unofficial trading session where shares are trading at a higher or lower price from the issue price. This type of trading does not have any effect on the IPO.
If IPO is trading at a higher price it is called IPO are trading at a premium price in the gray market. It is also referred as GMP – Grey Market Premium of an IPO.
Upcoming IPO 2021 – Latest IPO in India
The list of the most popular Upcoming IPO 2021 is given below.
| Issuer Company | IPO Size (Cr) |
| Indian Railway Finance IPO | 4500 |
| RailTel IPO | 700 |
| Kalyan Jewellers IPO | 1750 |
| NCDEX IPO | 500 |
| Bajaj Energy IPO | 5450 |
| Lodha Developers IPO | 5500 |
| Montecarlo Limited IPO | 550 |
| LIC IPO | 70000 |
| Indigo Paints | 1000 |
| Home First Finance Company | 1500 |
| Brookfield REIT | 4000-4500 |
Over to you
Do you invest your money in IPO?
Which IPO you will invest your money in 2021? Please share details in the comment section given below.
Note – We will update the IPO details in 2021 list as soon as latest information is available.