Popular Vehicles & Services IPO Allotment Status

Quick take on the Popular Vehicles & Services

Popular Vehicles & Services is set to launch its IPO worth Rs 601.55 crores, comprising mix of fresh issue & offer for sale. fresh issue involves 0.85 crore shares valued at Rs 250.00 crores, while offer for sale consists of 1.19 crore shares valued at Rs 351.55 crores. Investors had opportunity to subscribe to IPO from March 12, 2024, until today, March 14, 2024. Allotment of shares is expected to be finalized by Friday, March 15, 2024. IPO is slated to list on both BSE & NSE, tentatively scheduled for Tuesday, March 19, 2024.

Popular Vehicles & Services IPO includes provision for employee reservation, offering up to 37,453 shares at discounted rate of Rs 28 below issue price. This reservation scheme aims to provide employees with opportunity to participate in company's growth & success. Overall, IPO presents opportunity for investors to capitalize on Popular Vehicles & Services' potential growth & expansion plans, thereby diversifying their investment portfolios & potentially reaping favorable returns..

Popular Vehicles & Services price band is fixed at ₹280 to ₹295 per share. Investors are required to apply for minimum lot size of 50 shares. Retail investors must invest minimum amount of ₹14,750, while non-institutional investors need to adhere to different lot size requirements. sNII (Non-Institutional Investors) are mandated to invest minimum of 14 lots (700 shares), totaling ₹206,500, while bNII (Qualified Institutional Buyers) must invest at least 68 lots (3,400 shares), amounting to ₹1,003,000.

ICICI Securities Limited, Nuvama Wealth Management Limited & Centrum Capital Limited are book running lead managers of Popular Vehicles & Services IPO, while Link Intime India Private Ltd is registrar for issue.

Checking allotment status of Popular Vehicles & Services IPO

How to check the allotment status? Since this is an NSE SME IPO, there is no facility to check on the exchange website and BSE only offers allotment status for the mainboard IPOs and for BSE SME IPOs. If you have applied for the IPO, you can check your allotment status directly on the website of the IPO registrar, Link Intime India Private Ltd. Here are the steps that you need to follow to check allotment status.

Checking the allotment status on Link Intime India Private Ltd (Registrar to IPO)

Visit the Link Intime India Private Ltd (IPO registrar to Popular Vehicles & Services website for IPO status by clicking on the link below:

https://www.linkintime.co.in/Initial_Offer/public-issues.html

There are three things to remember. Firstly, you can just click on the hyper link given above and directly go to the allotment checking page. The second option, in case you are not able to click on the link, is to copy the link and paste in your web browser. Thirdly, there is also a way to access this page via the home page of Intime India Private Ltd by clicking on the “Allotment Status” link displayed prominently on the home page. It all works the same.

This dropdown will show the active IPOs and also the IPOs that are being managed by the registrar but not yet active. However, you can access the online allotment status only after the allotment status is finalized for Popular Vehicle & Services Ltd. At that point, you can go and select the company Popular Vehicle & Services Ltd from the drop down box. The allotment status will be finalized on 14th March 2024, so in this case, you can access the details on the registrar website either late on 14th March 2024 or by middle of 15th March 2024. Once the company is selected from the dropdown box, you have 2 methods to check the allotment status for the IPO of Popular Vehicle & Services Ltd.

• Firstly, you can query for the application status based on your mapped 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 first 5 characters are alphabets, sixth to ninth characters are numerical while the last character is once again an alphabet. 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 Submit Button.

• Secondly, you can also search by Beneficiary ID of your demat account. You have to then enter the combination of the DP id and the Client id as one single string. Remember that the NSDL string is alphanumeric while the CDSL string is a numeric string. Just enter the combination of DP id and customer id as it is. 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 Submit Button in both cases.

You can follow any of the options above. The IPO status with number of shares of Popular Vehicle & Services Ltd allotted will be displayed on the screen. You can save a screenshot of the screen for future reference. Once again, you can verify the demat credit by the close of 18^th March 2024 or after that. These shares would be credited to your demat account under the following details.

It must be noted here that, in the past, Intime India Private Ltd (the registrar to the issue) was also offering the facility to query on allotment status based on application number / CAF number. That has now been discontinued and applicants in the IPO can now only query by either the Income Tax PAN number or the demat account number. The query facility by application number / CAF number is no longer available and therefore the investors can now check the online allotment status only based on the PAN query or the DP account query.

How Allocation Quota and Subscription Impact Basis of Allotment

Here is a quick look at how the allocation was made across different categories of investors. This is the first factor that impacts the investor’s chances of allotment in the IPO.

Data Source: NSE

You can check the number of shares available for your specified quota which gives an idea of the chances of allotment at the outset itself. The response to the IPO of Popular Vehicles & Services Ltd was relatively strong and it was subscribed 1.24X overall at the close of bidding on 14th March 2024 with the Retail segment seeing 1.07 times subscription and the HNI / NII portion seeing 0.67 times subscription. Even the QIB portion saw a relatively fine subscription of 1.92X in the IPO of Popular vehicle & services Ltd. The table below captures the overall allocation of shares with the oversubscription details as of the close of the IPO on 04th March 2024.

The oversubscription numbers are exclusive of the market maker portion, which is intended to provide liquidity with low bid-ask spreads for the investors and it is also exclusive of the anchor allocation portion to give a proper picture of the extent of oversubscription.

Next steps after the closure of the IPO of Popular Vehicle & services

The issue opened for subscription on 12th March 2024 and closed for subscription on 14th March 2024 (both days inclusive). The basis of allotment will be finalized on 15th March 2024 and the refunds will be initiated on 18th March 2024. In addition, the demat credits are also expected to happen on 18th March 2024 and the stock is scheduled to list on 19th March 2024 on the NSE SME segment. The demat credits to the demat account to the extent of allotment will happen by the close of 18th March 2024.

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 modest to strong 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.