SBI Cards IPO - Shareholder quota rules - Indian IPO Blog

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Monday, December 9, 2019

SBI Cards IPO - Shareholder quota rules

Bids under the SBI Shareholders Reservation Portion shall be subject to the following:

General rules for SBI Cards IPO Shareholder quota

  1. SBI Shareholders i.e. individuals and HUFs who are equity shareholders of SBI can only apply. (The sole/ First Bidder shall be a SBI Shareholder)
  2. Only those Bids, which are received at or above the Offer Price, would be considered for allocation under this category. To clarify,
    (a) 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.
    (b) Bids by SBI Shareholders in SBI Shareholders Reservation Portion (subject to Bid Amount being up to ₹200,000) and in the Employee Reservation Portion (as Eligible Employees), shall not be treated as multiple Bids
    (c) Therefore, SBI Shareholders bidding in the SBI Shareholders Reservation Portion (subject to the Bid Amount being up to ₹200,000) and bidding in the Employee Reservation Portion (as Eligible Employees) can also Bid under the Net Offer and such Bids will not be treated as multiple Bids
  3. SBI Shareholders bidding in the SBI Shareholders Reservation Portion above ₹200,000 cannot Bid in the retail or employee category.
  4. SBI Shareholders bidding in the SBI Shareholders Reservation Portion (up to ₹200,000) and bidding in the Employee Reservation Portion (as Eligible Employees) can also Bid in the retail category
  5. SBI Shareholders Bidding under the SBI Shareholders Reservation Portion (subject to the Bid Amount being up to ₹200,000) are entitled to Bid at the Cut-off Price.
Allotment rules for SBI Cards IPO Shareholder quota
  • If the aggregate demand in this category is less than or equal to 13,052,680 Equity Shares at or above the Offer Price, all the applicants will get a full allocation.
  • In case of the IPO being under-subscribed in the SBI Shareholders Reservation Portion, the allocation would be met with shares from other reservation portions.



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