Small-HNI vs big-HNI: the NII split in an Indian IPO

Sun, 21 Jun 2026 00:00:00 +0000

Small HNI and big HNI are the two sub-categories into which the Securities and Exchange Board of India split the non-institutional investor (NII) tranche of an Indian mainboard IPO with effect from 1 April 2022. A small HNI, formally a small NII (sNII), applies for Rs 2,00,001 to Rs 10,00,000 and shares one-third of the NII reservation; a big HNI, a big NII (bNII), applies for more than Rs 10,00,000 and shares two-thirds. The reform, in SEBI Circular SEBI/HO/CFD/DIL2/CIR/P/2021/2480/1/M dated 16 December 2021, also replaced pure proportionate allotment with a draw of lots that guarantees a minimum lot, ending the leverage-driven subscription multiples that had reached 600 to 950 times in 2021 issues.

NII Split on WebNotes

Small-HNI vs big-HNI: the NII split in an Indian IPO