The Five Star Business Finance Limited IPO subscription was open from 9th November to 11th November 2022, within which retail investors made their applications to invest in shares of the company. This IPO’s price band ranged between Rs. 450 to Rs. 474 per share. The minimum lot size for subscription in this IPO was 31 shares.
Five Star Business Finance’s IPO saw a lukewarm response as it received bids for only 70% of the total shares on offer on the final day of subscription. As per market observers, the GMP (grey market premium) of Five Star Business Finance IPO was minus Rs. 5.
If you want to know about the Five Star Business Finance IPO allotment, here is how to check the allotment status.
What is IPO allotment?
As part of any IPO allotment process, the offer’s registrar allocates the company’s shares to bidders who have made an application for an IPO subscription. In most large-cap IPOs, this process generally takes a week from the IPO release date. For small-cap IPOs, it may take longer, especially in case the IPO subscription does not reach the threshold requirement.
Read more: Upcoming IPOs 2022
Allotment date of Five Star Business Finance IPO
The allotment date for Five Star Business Finance IPO is today, November 16. As per market observers, the issue’s grey market premium (GMP) was about Rs. -5. This means the shares of the company are available at a discount to the issue price band of Rs. 450-474.
What is the process to check IPO application status?
IPO allotment status contains details, such as the total number of shares allotted to a bidder or investor. To check the status of the allotment, investors must wait until the IPO allotment date. The information is released to the public on the IPO registrar’s website post this date. IPO applicants or bidders can check their application status online through the BSE or NSE websites. An applicant can also check the status on the official registrar’s website. Investors or IPO subscription applicants can also know about the IPO allotment status through emails or SMS sent by BSE, NSE, CDSL, or NSDL.
Steps to check IPO allotment status on Fisdom app
On the Fisdom app, an investor can check the allotment status of an IPO by going to his/her Order Book once the allotment process is complete.
Read more: Is it wise to subscribe to all the IPOs being launched?
Steps to check IPO allotment status on the BSE website
Investors who have bid for the IPO can check the allotment status through the Bombay Stock Exchange (BSE) website by following the steps mentioned below:
- Go to the BSE website – https://www.bseindia.com/investors/appli_check.aspx
- Within the option of issue type, select ‘Equity’
- In the ‘issue name’ section, choose the Five Star Business Finance Limited IPO from the dropbox
- Mention the application number
- Provide PAN details
- Select ‘I am not a Robot’ and click on submit to check the status
Steps to check IPO allotment status by visiting the Registrar of the issue
The Registrar of the issue for Five Star Business Finance Limited IPO is KFin Technologies Limited. To check the status of allotment with the Registrar of the issue, here are the steps to be followed.
- Visit the KFin Technologies Limited IPO allotment status webpage through the following link, https://ipo.kfintech.com/signIn
- Login or signup using a valid and active mobile number.
- Select Five Star Business Finance Limited IPO from the dropdown menu
- Investors can choose either their PAN Number or Application Number to check the status of the allotment.
- Click ‘Search’ to check the allotment status.
About Five Star Business Finance Limited IPO
Five Star Business Finance Limited is an NBFC (Non Banking Finance Company) providing secured business loans and small mortgage loans to small and micro-entrepreneurs as well as self-employed individuals. The company also sanctions these loans for home improvement purposes to eligible borrowers. The company’s headquarters are in Chennai and it had a network of 268 branches as of 30th September 2021 that are spread over 126 districts, 8 states, and 1 union territory.
The average loan offered by Fiver Star Business is in the range of Rs. 1,00,000 to Rs. 10,00,000 with the tenure for the same being approximately 24 months to 84 months. These are disbursed as per the company’s internal evaluation model that ascertains the future cashflows as well as secures the loan against collateral.
Conclusion
With multiple IPOs being launched in India in the last few years, these tend to attract significant media attention and interest. Many IPOs see large-scale subscriptions from both retail investors and large institutional investors. The IPO allotment status is used by market experts as an indicator of the overall investor interest levels that the company has managed to attract in the market. Companies usually share IPO calendars to keep investors informed about the chronology of IPO events. Post the IPO allotment, the company’s shares are listed on the stock exchange for trading.
FAQs
IPO allotment generally takes 7 days from the IPO offer release date. You can expect the Five Star Business Finance Ltd IPO allotment on November 16, 2022.
IPO allotment status for Five Star Business Finance Ltd IPO will be updated on the IPO registrar’s website. Subscribers or bidders must provide their PAN number or IPO application number to check the allotment status. This information can also be found on the stock exchange websites. Allotment information is also sent to applicants via email or SMS notifications by BSE, NSE, NSDL, or CDSL.
If an investor is allotted shares of Five Star Business Finance Ltd IPO, he/she must receive a Confirmatory Allotment Note (CAN) within 15 days from the IPO issue closure as per SEBI guidelines. If not allotted shares, the refund has to be processed within 15 days from the issue closure date.
No, IPO allotment is not based on who applied first. It is allotted as per the response received from investors. If the IPO does not attract investor interest and remains under-subscribed, there are higher chances of allotment for those who apply. In the case of oversubscription, the IPO allotment is calculated as per the number of shares available for retail investors divided by the minimum lot size.
Five Star Business Finance Ltd IPO share allotment is not guaranteed since it depends on the level of subscription and investor interest received.
