Chavda Infra IPO : How to check the Allotment Status

The ₹43.26 crore IPO of Chavda Infra Ltd comprises entirely of a fresh issue of shares. The fresh issue component of the Chavda Infra Ltd IPO entails issue of 66.56 lakh shares which at the upper end of the IPO band of ₹65 per share aggregates to ₹43.26 crore. Since there is no offer for sale (OFS) component, the fresh issue size is also the total size of the IPO. The stock has a face value of ₹10 and retail bidders can bid in minimum lot size of 2,000 shares each. Thus, the minimum investment of ₹130,000 in the IPO is the base limit. HNI / NII investors can bid in multiples of 2 lots of 4,000 shares per lot worth ₹260,000 value.

The IPO just closed on Thursday 14th September 2023 and at the close of the third day, the issue was subscribed 180.06 times overall. The basis of allotment will be finalized on 20th September 2023 while the refunds to non-allottees will be initiated on the 21st September 2023. The company expects to complete the demat credits to the allottees as of 22nd September 2023, while the company plans to list its IPO on the NSE SME Emerge Segment on 25th September 2023.

What you must know about allotment status checking?

Allotment status online is an internet facility that is provided by the BSE (formerly Bombay Stock Exchange) in the case of mainboard IPOs and BSE SME Segment IPOs as well as by the registrars on their website. Many of the brokers also provide direct connectivity to the database. However, in the absence of any connectivity, one option you always have to use one of these options. In this case, Chavda Infra Ltd is an NSE SME Emerge IPO and hence the data would not be available on the website of BSE.

NSE does not provide this facility on its website. That means; you can either only check the allotment status on the website of the IPO registrar, KFIN Technologies Limited (formerly Karvy Computershare). The allotment in the IPO will depend on the extent of the oversubscription across the retail, HNI / NII and the QIB portion and it is the valid applications that will make the cut. But we will look at that later. Let us first look at how to check the allotment status of the Chavda Infra Ltd IPO. Here are the steps.

When and where to check the allotment status?

When can the allotment status be checked. The IPO allotment status will be finalized on 20th September 2023. Hence, either late on 20th September 2023 or by middle of 21st September 2023, the allotment status can be checked online on the website of the IPO registrar. Where can the allotment status be checked? Typically, in all the mainboard issues, it is possible to get the allotment status of the IPO either at the BSE website or on the website of the registrar to the IPO. 
However, Chavda Infra Ltd IPO being an NSE-SME Emerge IPO, it would be listed only on the NSE and not on the BSE. Hence BSE will not be providing the allotment status for this IPO, while NSE does not normally offer online allotment status on their website. Hence, in the case of Chavda Infra Ltd IPO, the only way is the check on the website of KFIN Technologies, the registrar to the IPO.

Checking the allotment status of Chavda Infra Ltd on KFIN Technologies Ltd (Registrar to IPO)

Visit the website of KFIN Technologies Ltd, which has been appointed as the registrar for the issue. You can access their website for IPO status by clicking on the link below:

https://ris.kfintech.com/ipostatus/

Here you are given the choice to select 5 servers viz. Link 1, Link 2, Link 3, Link 4, and Link 5. There is nothing to be confused, as these are just server backups in case one of the servers is experiencing too much traffic. You can select any of these 5 servers and in case you are finding problems accessing one of the servers, then try the other one. There is no difference, which server you select.

A small thing to remember here. Unlike on the BSE website, where the names of all IPOs are there on the drop-down menu, the registrar will only provide of the IPOs managed by them and where the allotment status is already finalized. Also, for simplicity, you can either choose to see all IPOs or just recent IPOs. Choose the latter, as that reduces the length of the list of IPOs you need to search through. Once you click on Recent IPOs, the dropdown will only show the recent active IPOs, so once the allotment status is finalized, you can select Chavda Infra Ltd from the drop-down box.

There are 3 options. You can either query the allotment status based on PAN, Application Number or Demat Account (DPID-Client ID combination).

1. To Query by PAN, check the appropriate box and follow these steps.

• Enter the 10-digit PAN number
• Enter the 6-digit Captcha Code
• Click on Submit button
• Allotment status gets displayed on screen

2. To Query by Application Number, check the appropriate box and follow these steps.

• Enter the Application Number as it is
• Enter the 6-digit Captcha Code
• Click on Submit button
• Allotment Status gets displayed on screen

In the past, the first step was to select Application Type (ASBA or Non-ASBA) before inputting your application number. Now, that step has been done away with.

3. To Query by Demat Account, check the appropriate box and follow these steps.

• Select the depository (NSDL / CDSL)
• Enter the DP-ID (Alphanumeric for NSDL and Numeric for CDSL)
• Enter the Client-ID
• In the case of NSDL, the Demat account is 2 strings
• In the case of CDSL, the Demat account is just 1 string
• Enter the 6-digit Captcha Code
• Click on Submit button
• Allotment Status gets displayed on screen

It is always advisable to retain a saved screenshot of the allotment status output for future reference. The same can be tallied with the demat account credit subsequently.

Subscription status for the Chavda Infra Ltd IPO

Here is the final subscription status of the Chavda Infra Ltd IPO as at close on 14th September 2023, at 17.30 hours.

The issue was only open for retail investors, the QIBs and for the HNI / NIIs. There was a broad quota designed for each of the segments viz. the QIBs, the retail and the HNI NII. The table below captures the allocation reservation done for each of the categories.

The allocation to the other investors in the IPO happens after setting aside shares for market makers and the anchor investors. The anchor allotment is directly deducted from the QIB quota. The market maker (Spread X Securities Ltd in this case) uses the shares to offer buy and sell quotes on the counter post listing so as to keep the counter liquid and reduce the basis risk of trading in the stock.

Brief on Chavda Infra Ltd

Chavda Infra Ltd was incorporated in 2012 to provide construction and allied services. It provides these services across the gamut of residential, commercial, and institutional projects in the state of Gujarat. The group is broadly active in the cities of Ahmedabad, Gandhinagar, and Rajkot. The group, overall, operates under 3 verticals viz. Chavda Infra, Chavda RMC and Chavda Developers. It has already developed and delivered more than 100 projects in Gujarat spread across residential, commercial, and institutional properties. It offers the full gamut services ranging from planning, design, construction, and post-construction activities. Chavda Infra is divided into 3 business lines, which include contracting services, development services and commercial renting services.

Some of the popular and reputed projects completed by Chavda Infra in Ahmedabad include Straft Luxuria, Shivalik Parkview, Shivalik Sharda Harmony among key residential projects. Among commercial properties developed, they include AAA Corporate House, Sadbhav House, Solitaire Sky, Sandesh Press, Suyash Solitaire and Solitaire Connect. Some of its premium projects include the Nirma University (old building), Zydus School and AIS Toddlers Den. It currently has about 26 ongoing projects at various stages of completion with a combined value of over ₹600 crore. These 26 projects include 4 commercial property projects, 4 institutional infrastructure projects and 18 residential projects. The total employee strength of Chavda Infra Ltd stands at 250.

The company has been promoted by Mahesh Chavda, Dharmishta Chavda and Johil Chavda. The promoter holding (including the promoter group) in the company currently stands at 100%. However, post the fresh issue of shares and the IPO, the promoter equity holding share will reduce to 73%. The fresh issue funds will be used by the company for filling its working capital funding gaps and also for general corporate purposes. Part of the funds raised will also go towards meeting issue expenses. While Beeline Capital Advisors Private Ltd will be the lead manager to the issue, KFIN Technologies Ltd will be the registrar to the issue. The market maker for the issue is Spread X Securities Ltd.