Suraj Estate Developers IPO Allotment Status

Suraj Estate Developers IPO Structure

Suraj Estate Developers IPO closed on December 20, 2023. The stock of Suraj Estate Developers Ltd has a face value of ₹5 per share and the price band for the book building IPO has been set from ₹340 to ₹360 per share. The final price will be discovered within this band. It will be entirely a fresh issue of shares with no offer for sale (OFS) component. The fresh issue comprises the issue of 1,11,11,111 shares (111.11 lakh shares approximately), which at the upper price band of ₹360 per share translates into a fresh issue size of ₹400.00 crore. Since there is no offer for sale (OFS) component the overall Suraj Estate Developers IPO will also comprise of the issue of 1,11,11,111 shares at ₹360 per share worth ₹400.00 crore. The stock will be listed on the NSE and the BSE. The fresh issue portion will be utilized for repayment / prepayment of borrowings of the company and its subsidiaries; apart from acquisition of land and land development rights. The IPO will be lead managed by ITI Capital Ltd and Anand Rathi Securities Ltd. Link Intime India Private Ltd will be the registrar to the issue.

Subscription update for Suraj Estate Developers IPO?

The IPO of Suraj Estate Developers Ltd  was overall subscribed 15.65 times, with the maximum subscription coming from the QIB portion, which got subscribed 24.31 times. While the HNI / NII segment got subscribed at a healthy clip of 18.90 times, the retail portion also got subscribed at a relatively modestly clip of 9.30 times. There was no employee allocation in the IPO. Most of the QIB subscriptions came in on last day of IPO, which is the norm. The IPO was open for a period of 3 days in total from December 18, 2023 to December 20, 2023.

When will the basis of allotment be finalized?

The first step for checking the allotment status of the IPO online is the completion of the basis of allotment of Suraj Estate Developers Ltd . The basis of allotment will be finalized late on 21st December 2023. The refunds will be initiated by the company on 22nd December 2023. The demat credits are expected to also happen on 22nd December 2023 while the listing of the stock on the NSE and the BSE will happen on 26th December 2023. In between there is a weekend and a holiday so the allotment status gets delayed by a couple of days. However, it looks like the companies are keen to adhere to the new SEBI norm of T+3 listing. That was voluntary till the end of November but has become mandatory as of the start of December 2023, so IPO issuers are now fully prepared for the new system. The adherence has been much more robust among the SME IPOs, and now mainboard IPOs are catching on.

If you have applied for the IPO, you can check your allotment status online.  You can either check your allotment status on the BSE website or the IPO registrar, Link Intime India Private Limited. Here are the steps.

Checking the allotment status of Suraj Estate Developers IPO on BSE website

This is a facility available to all mainboard IPOs, irrespective of who the registrar to the issue is. You can still access the allotment status on the website of BSE India as under. Visit the BSE link for the IPO allotment by clicking on the link below. 

https://www.bseindia.com/investors/appli_check.aspx 

Once you reach the page, here are the steps to follow.

•    Under Issue Type – Select Equity Option
•    Under Issue Name – Select Suraj Estate Developers Ltd  from the drop down box
•    Enter the Application Number exactly as in the acknowledgement slip
•    Enter the PAN (10-digit alphanumeric) number
•    Once this is done, you need to click on the Captcha to verify that you are not a robot
•    Finally click on the Search Button

In the past, while checking the allotment status on the BSE website, it was necessary to input the PAN number and the application Number. However, now BSE has modified the requirements and it is sufficient if you enter any one of these parameters.

The allotment status will be displayed on the screen in front of you informing about the number of shares of Suraj Estate Developers Ltd  allotted into your demat account. It is always advisable to save a screenshot of the allotment status output for subsequently verifying with the demat account credits on or after 22nd December 2023. In the demat account, the stock of Suraj Estate Developers Ltd will show under ISIN No. (INE843S01025)

Checking the allotment status of Suraj Estate Developers Ltd  on Link Intime India Private Limited (Registrar to the IPO)

Here are the steps to follow. Visit the Link Intime registrar website for IPO status by clicking on the link below:

https://linkintime.co.in/IPO/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 also a way to access this page via the home page of Link Intime India Private Ltd by clicking on the Public Issues link displayed prominently on the home page. It all works the same.
This dropdown will only show the active IPOs, so once the allotment status is finalized, you can select Suraj Estate Developers Ltd  from the drop-down box. In the case of Suraj Estate Developers Ltd, data access will be allowed late on 21st of December 2023 or by middle of 22nd of December 2023. 

•    There are 4 options available to you and you will find these 4 options on the above access page itself. You can either access the allotment status based on PAN or Application Number or DPID / Client ID combination or based on the combination of the bank account / IFSC code used to apply for the IPO. You can select any one of the options that is preferred and provide the details accordingly.

•    If you opt for the PAN Number access, then enter the 10 character income tax permanent account number (PAN). This is an alphanumeric code available either on your PAN card or on top of your income tax return.

•    The second option is to use the Application Number that you used while making an application for the IPO. The application number is available on the acknowledgement provided to you and you can use that as one of the options to access allotment status.

•    The third option is to use the DPID-Client ID combination. Remember that here you have to enter the DP id and the demat client id together as one single string. This DPID / Client ID combination is a numeric figure for CDSL demat accounts while it is an alphanumeric string for NSDL demat accounts. This combination of DP ID / Client ID of your demat account will be available in your demat statement or you can also get it online from your online trading account or trading app downloaded on the smart phone.

•    The fourth option is to query based on the combination of your bank account number and IFSC number and irrespective of how many bank accounts you have, only use the bank account used for this particular IPO application. Once you click on this option, you find two boxes. First, enter your bank account number as it is. Secondly, enter the 11-character IFSC code, which is available on your cheque book. The first 4 characters of the IFSC code are alphabets and the last 7 characters are numeric. IFSC is an abbreviation for Indian Financial System Code and is unique to each account.

•    Finally, click on the Search button

The IPO status with number of shares of Suraj Estate Developers Ltd  allotted will be displayed on the screen in front of you. You can take a screenshot of the output page for your records. The same can be verified with the demat account on 22nd December 2023 or after that. The stock is expected to list on 26th December 2023. The only question now is, what determines chances of allocation in the IPO? It boils down to allocation quota and subscription levels.

Allocation quota and subscription levels for Suraj Estate Developers IPO

The table below captures the quota allocated to various categories, in terms of the number of shares and also the percentage of the total share capital raised. For investors it is the quota for the retail and the HNI that really matters.

The next thing to look at is the extent of subscription. The table below captures the extent of oversubscription for each of the categories as well as the overall subscription for Suraj Estate Developers IPO.

Data Source: BSE

The response to the IPO of Suraj Estate Developers Ltd  was strong overall, but it was not strong for the retail portion and the HNI portions. The retail subscription of 9.30 times gives a rather high opportunity of allotment in the IPO. Investors can still be hopeful of allotment since the SEBI norms on retail IPO allotment is to allot the basic lot size to as many unique investors as possible. The same can be checked using the allotment checking modus operandi explained above. You just need to wait for the basis of allotment to be finalized.