Mandeep Auto IPO Allotment Status

About the Mandeep Auto Industries IPO

The stock of Mandeep Auto Industries Ltd has a face value of ₹10 per share and it is a fixed price issue. The fixed price for issue is set at ₹67 per share. Being a fixed price issue, the question of price discovery does not arise. The Mandeep Auto Industries IPO has only a fresh issue component and no offer for sale (OFS) portion. While fresh issue portion is EPS dilutive and equity dilutive, but OFS is just a transfer of ownership and  hence it is not EPS or equity dilutive. As part of the fresh issue portion of the IPO, Mandeep Auto Industries Ltd will issue a total of 37,68,000 shares (37.68 lakh shares), which at the fixed IPO price of ₹67 per share aggregates to fresh fund raising of ₹25.25 crore. Since there is no offer for sale (OFS) portion, the fresh issue size will also double up as the overall IPO size. Therefore, the overall IPO size will also comprise of the issue of 37,68,000 shares (37.68 lakh shares) which at the fixed IPO price of ₹67 per share will aggregate to overall IPO size of ₹25.25 crore.

Like every SME IPO, this issue also has a market making portion with a market maker inventory allocation of 1,90,000 shares. Aftertrade Share Broking Private Ltd will be the market maker to the issue. The market maker provides two-way quotes to ensure liquidity on the counter and low basis costs, post listing. The promoter holding in the company currently stands at 99.97%. However, post the fresh issue of shares, the promoter equity holding share will get diluted to 63.53%. The fresh issue funds will be used by the company towards expansion of existing manufacturing facility at Faridabad, including civil construction and purchase of plant and machinery. The funds will also be used for repayment of loans and working capital needs. Jawa Capital Services Private Ltd will be the lead manager to the issue, and Cameo Corporate Services Ltd will be the registrar to the issue. The market maker for the issue is Aftertrade Share Broking Private Ltd. The IPO of Mandeep Auto Industries Ltd will be listed on the SME IPO segment of the NSE.

How to check Mandeep Auto Industries IPO allotment status online

How to check the allotment status. Since this is an NSE SME IPO, there is no facility to check on the NSE stock exchange website. Also, the BSE only offers allotment status in the case of mainboard IPOs and for BSE SME IPOs. If you have applied for the IPO, you can check your allotment status online on the website of the IPO registrar, Cameo Corporate Services Ltd. Here are the steps that you need to follow to check allotment status.

Checking the allotment status of Mandeep Auto Industries Ltd on the website of Cameo Corporate Services Ltd

Visit the Cameo Corporate Services Ltd registrar website for IPO status by clicking on the link below:

https://ipo.cameoindia.com/

There are three things to remember. Firstly, there also a way to access this page via the home page of Cameo Corporate Services and clicking on the IPO Status link under the Useful Links drop down at the top of the page. Secondly, you can just click on the hyper link given above and directly go to the allotment checking page. The third option, in case you are not able to click on the link, is to copy the link and paste in your web browser.

Once you reach the relevant page as explained above, the first thing you do is to select the company you want to access the allotment status for. The drop down box will only show companies where the allotment status is already finalized. In this case, you can get to see the name of Mandeep Auto Industries Ltd on the list around 16th May 2024 when the allotment status is finalized. Once the company name appears on the drop down, you can click on the company name and go to the next screen.

Input Options to check your allotment status

This dropdown will only show the active IPOs, so once the allotment status is finalized, you can select Mandeep Auto Industries Ltd from the dropdown box. The allotment status will be finalized on 16th May 2024, so in this case, you can access the details on the registrar website either late on 16th May 2024 or by middle of 17th May 2024. Once the company is selected from the dropdown box, you have 3 methods to check the allotment status for the IPO. The preferred method, out of the 3 options, can be selected from the same screen by opting for the preferred radio button.

• Firstly, you can search by Beneficiary ID of your demat account. From the page you just need to first select the DP ID / Client ID option. It does not matter whether it is an NSDL account or a CDSL account. All you need to do is to write down the combination of the DP ID and the Client ID in a single string. In the case of NSDL, enter the DP id and Client id in a single string without space. In case of CDSL, just enter the CDSL client number. Remember that the NSDL string is alphanumeric while the CDSL string is a numeric string. The details of your DP and client ID are available in your online DP statement or in the statement of account. After that you can click the Search Button in either cases.

• Secondly, you can access with Application Number / CAF Number. Enter the Application / CAF number and then click on Search Button. Enter the application exactly it is given in the acknowledgement slip given to you post the IPO application process. After that you can click on the Search button to get the details of shares allotted to you in the IPO.

• Thirdly, you can also search by Income Tax PAN number. Once you select PAN (permanent account number) from the dropdown menu, enter your 10-digit PAN number, which is an alphanumeric code. The PAN number will be available on your PAN card or on top of your income tax returns filed. Once you enter the PAN, click on the Search Button.

• In all the 3 cases above, please note that after inputting the details as relevant, there will be a 6-digit captcha that will appear and you must enter the captcha exactly as it is. It is fully a numeric captcha and it is meant to confirm that it is not a robotic access. In case you find that the captcha code is not too clear, 

The IPO status with number of shares of Mandeep Auto Industries Ltd allotted will be displayed on the screen. The screen will show the name of the first holder of the demat account, the number of allotted shares, the refund amount (if any), refund mode (cheque / ECS / ASBA) and the query number.

You can save a screenshot of the screen for future reference. Once again, you can verify the demat credit by the close of 17th May 2024 with the following details viz. (ISIN - INE0R3T01013). Remember that the most important factor in assessing your chances of getting allotment is the extent of oversubscription in the IPO. Normally, higher the oversubscription in the IPO, the lower are your chances of getting an allotment. Now, let us look at the extent of oversubscription that the IPO of Mandeep Auto Industries Ltd got.

Subscription response to the Mandeep Auto Industries IPO

The response to the IPO of Mandeep Auto Industries Ltd was strong as the overall issue was subscribed 77.23X at the close of bidding on 15th May 2024, which is at par or slightly above the median subscription that the NSE SME IPOs have been getting in general. Out of the overall bids received, the retail segment saw 90.57 times subscription and the non-retail HNI / NII portion saw 61.54 times subscription. The table below captures the overall allocation of shares with the oversubscription details as of the close of the IPO on 15th May 2024.

The issue has been strongly subscribed; hence your chances of allotment would proportionately come down. Investors must keep these calculations in mind while checking the allotment status once it is finalized at the registrar end. Of course, it would eventually depend on the basis of allotment as finalized by the company and approved by exchanges.

The issue is split into retail and HNI portion with a small allocation for the market maker to the IPO. The break-down of the reservation for  different categories of investors is as under.

Next steps in the Mandeep Auto Industries IPO process

The issue opened for subscription on 13th May 2024 and closed for subscription on 15th April 2024 (both days inclusive). The basis of allotment will be finalized on 16th May 2024 and the refunds will be initiated on 17th May 2024. In addition, the demat credits are also expected to happen on 17th May 2024 and the stock is scheduled to list on 21st May 2024 on the NSE SME segment. This is the segment, in contrast to the mainboard, where IPOs of small and medium enterprises (SMEs) are incubated. The demat credits to the demat account to the extent of allotment will happen by the close of 17th May 2024 under ISIN Number (INE0R3T01013).

Investors would do well to remember that the level of subscription is very material as it determines the chances of getting allotment. Normally, higher the subscription ratio, lower the chances of allotment and vice versa. In this case, the subscription levels have been very high in the IPO; both in the Retail segment and also in the HNI / NII segment. Investors in the IPO need to assess their chances of allotment accordingly. The final status will be known once the basis of allotment is finalized and uploaded for you to check. You can apply the above allotment checking process flow after the basis of allotment is finalized.