https://v2.webnotes.in/tags/ipo-oversubscription/Recent content in IPO Oversubscription on WebNotesHugoen-INTue, 12 May 2026 00:00:00 +0000https://v2.webnotes.in/ipo-oversubscription-allotment/Mon, 11 May 2026 00:00:00 +0000https://v2.webnotes.in/ipo-oversubscription-allotment/<p><strong>IPO oversubscription</strong> occurs when the total number of shares bid for by investors in an <a href="https://v2.webnotes.in/initial-public-offering/">Initial Public Offering</a> (IPO) exceeds the number of shares available for allotment in a given investor category. Oversubscription is the norm rather than the exception in well-received Indian IPOs; subscription multiples of 10× to 200× in the retail category are common, and very popular issues (such as Tata Technologies in 2023 or Bajaj Housing Finance in 2024) generate subscription multiples above 60× in the retail tranche alone. <strong>Allotment</strong> is the SEBI-prescribed process by which the <a href="https://v2.webnotes.in/registrar-to-an-issue/">registrar to the issue</a> determines who receives shares when there is not enough supply to satisfy all bids. The allotment methodology depends on the investor category: retail applicants are allotted by computerised lottery when oversubscribed, non-institutional investors (NIIs) receive proportionate allotment, and qualified institutional buyers (QIBs) receive discretionary allotment within SEBI-set floors. The allotment process is documented in the <a href="https://v2.webnotes.in/basis-of-allotment/">basis of allotment</a> published by the registrar on T+1.</p>