SBI Cards IPO

Alchemist

Administrator
Staff member
#1
SBI cards has filed its DRHP with SEBI.

The issue size is expected to be around 9000 crore.

10% of the issue is reserved for shareholders of SBI.

Some brokers are advising clients to buy 1 share of SBI so they can be eligible for applying in the shareholders category.

Please note: To be eligible for the shareholders category, the shares must be purchased before the final RHP is filed.
 
#5
Have bought a share.

A little confused whether to apply in Shareholder category or Retail or in HNI by putting a little more than 2 Lakhs? Which will give highest chance of allotment?

Planning to buy and hold this for the very long term.
 
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Alchemist

Administrator
Staff member
#6
Have bought a share.

A little confused whether to apply in Shareholder category or Retail or in HNI by putting a little more than 2 Lakhs? Which will give highest chance of allotment?

Planning to buy and hold this for the very long term.
Lot of people have bought SBI shares in anticipation of the IPO.

According to the latest shareholding pattern of SBI, the total number of public shareholders in India’s largest public sector lender has increased to 18.54 lakhs at the end of December 2019 from 14.95 lakhs as on 30 September 2019.
https://economictimes.indiatimes.co...-in-december-quarter/articleshow/73099996.cms

As there is no upper limit of application size in the shareholder category, I think this category will get heavily over-subscribed - provided the valuations are reasonable.

An applicant can bid in both retail and shareholder categories, if the both the bids are for less than Rs 2 lakhs.

Most probably, I will apply in both retail and shareholder category.

Both HNI and shareholder category wll see similar demand as many HNIs have already purchased SBI shares hoping to get a better allotment.
 
#7
Thanks Alchemist. Makes sense to apply in both Categories.

Can I also apply in HNI and Shareholder categories for more than 2L?

Also I believe allotment for shareholder category will be proportional based on lot size applied. Is this correct?
 

Alchemist

Administrator
Staff member
#8
Can I also apply in HNI and Shareholder categories for more than 2L?

Also I believe allotment for shareholder category will be proportional based on lot size applied. Is this correct?
If you want to bid in HNI category and shareholder category, your shareholder application size has to be less than Rs 2 lac.

From the DHRP:
Bids by SBI Shareholders in SBI Shareholders Reservation Portion (subject to Bid Amount being up to ₹ 200,000) and in the Net Offer portion shall not be treated as multiple Bids. To clarify, an SBI Shareholders bidding in the SBI Shareholders Reservation Portion above ₹ 200,000 cannot Bid in the Net Offer as such Bids will be treated as multiple Bids.
Yes, allotment in shareholder category will be on proportionate basis.
 
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