Akiko Global IPO Allotment Status

How to check Akiko Global IPO allotment status online

The issue opened for subscription on 25th June 2024 and closed for subscription on 27th June 2024 (both days inclusive). The basis of allotment will be finalized on 28th June 2024 and the refunds will be initiated on 01st July 2024. In addition, the demat credits are expected to also happen on 01st July 2024 and the stock is scheduled to list on 02nd July 2024 on the NSE SME segment. This is the segment, in contrast to the mainboard, where IPOs of small and medium enterprises (SMEs) are incubated. The demat credits to the demat account to the extent of allotment will happen by the close of 01st July 2024 under ISIN Number (INE0PMR01017).

How to check the IPO 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 in the case of mainboard IPOs and for BSE SME IPOs. If you have applied for the IPO, you can check your allotment status online on the website of the IPO registrar, Skyline Financial Services Private Ltd. Here are the steps that you need to follow to check allotment status.

Checking Akiko Global IPO allotment status on Skyline Financial Services

Visit the Skyline Financial Services Private Ltd registrar website for IPO status by clicking on the link below:

https://www.skylinerta.com/ipo.php

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 Skyline Financial Services Private Ltd by clicking on the Public Issues link displayed prominently on the home page. It all works the same.

The first thing you do is to select the company you want to access the allotment status for. The drop down box will only show companies where the allotment status is already finalized. In this case, you can get to see the name of Akiko Global Services (Money Fair) on the list around 28th June 2024 when the allotment status and the basis of allotment by the issuer is finalized. Once the company name appears on the drop down, you can click on the company name and go to next screen.

This dropdown will only show the active IPOs, so once the allotment status is finalized, you can select Akiko Global Services (Money Fair) from the dropdown box. The allotment status will be finalized on 28th June 2024, so in this case, you can access the details on the registrar website either late on 28th June 2024 or by middle of 29th June 2024. Once the company is selected from the dropdown box, you have 3 methods to check the allotment status for the IPO. Any of the three options can be selected from the same screen by opting for the preferred radio button.

•    Firstly, you can search by Beneficiary ID of your demat account. From the page you just need to first select the DP ID / Client ID option. It does not matter whether it is an NSDL account or a CDSL account. All you need to do is to write down the combination of the DP ID and the Client ID in a single string. In the case of NSDL, enter the DP id and Client id in a single string without space. In case of CDSL, just enter the CDSL client number. Remember that the NSDL string is alphanumeric while the CDSL string is a numeric string. 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 Search Button in either cases.

•    Secondly, you can access with Application Number / CAF (Composite Application Form) Number. Enter the Application / CAF number and then click on Search Button. Enter the application exactly it is given in the acknowledgement slip given to you post the IPO application process. After that you can click on the Search button to get the details of shares allotted to you in the IPO.

•    Thirdly, you can also search by 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 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 Search Button.

The IPO status with number of shares of Akiko Global Services (Money Fair) allotted will be displayed on the screen. You can save a screenshot of the digital output for future reference. Once again, you can verify the demat credit by the close of 01st July 2024 or after that. Remember that the most important factor in assessing your chances of getting allotment is the quota allocation for each category and the extent of oversubscription in the IPO. Normally, higher the oversubscription in the IPO, the lower are your chances of getting an allotment. Now, let us look at the quotas allocated to each category and also the extent of oversubscription that the IPO of Akiko Global Services (Money Fair) got.

Quota allocation and subscription response to the IPO of Akiko Global

The table below captures the break-up of the overall share allocation to QIBs, retail investors and to the HNI / NII investors. The anchor allotment is carved out of the QIB quota and the QIB quota is reduced accordingly. The market maker allocation is the inventory that will be used by the market maker to provide liquidity in the counter post listing, to keep the bid-ask spreads low and reduce the risks of trading in the stock. The company has appointed Nikunj Stock Brokers Ltd as the market maker and assigned a market making inventory of 1,50,400 shares to them. The market maker will use this inventory to offer buy and sell quotes to keep the counter liquid and reduce the basis risk on the stock post listing.

Data Source: Company RHP

The issue size, net of the market maker quota, has been divided between the QIB investors, retail investors and the HNI / NII investors. On June 24, 2024, the company made an anchor allocation of 8,54,400 shares to anchor investors at the upper band price of ₹77 per share. This included the par value of ₹10 per share and premium of ₹67 per share. The total size of the anchor allocation was ₹6.58 crore.

The response to the IPO of Akiko Global Services (Money Fair) was very modest to strong as the overall issue was subscribed 36.33X at the close of bidding on 27th June 2024 which is comparable with the median subscription that the NSE SME IPOs have been getting in general. Out of the overall bids received, the retail segment saw 48.11 times subscription and the non-retail HNI / NII portion saw 48.78 times subscription. The QIB portion in the IPO of Akiko Global Services (Money Fair) also saw modest subscription at 10.21X. The table below captures the overall allocation of shares with the oversubscription details as of the close of the IPO on 27th June 2024.

Data Source: NSE

What do we read from the above data? Clearly, the oversubscription to the IPO is modest to strong and so the chances of getting allotment in the IPO is relatively lower for the investors in the IPO. Investors need to factor this oversubscription into their calculations since the probability of getting allotment is inversely proportional to the subscription levels. However, it is best to wait till 28th June 2024 when the basis of allotment will be finalized for the IPO of Akiko Global Services (Money Fair). Post that, the status of allotment can be checked online based on the methodology explained above.

The demat credits to the demat account to the extent of allotment will happen by the close of 01st July 2024 under ISIN Number (INE0PMR01017). The listing will happen on the NSE SME segment for small companies, which is distinct from the regular mainboard IPO space. It will commence trading on the BE segment or trade to trade segment of the NSE SME segment.

About the Akiko Global IPO

The stock of Akiko Global Services (Money Fair) has a face value of ₹10 per share and it is a book built issue. The book building price band for the IPO has been set in the range of ₹73 per share to ₹77 per share. The IPO of Akiko Global Services (Money Fair) has only a fresh issue component and no offer for sale (OFS) portion. While the fresh issue portion is EPS dilutive and equity dilutive, the OFS is just a transfer of ownership and  hence is not EPS or equity dilutive.

As part of the fresh issue portion of the IPO, Akiko Global Services (Money Fair) will issue a total of 30,01,600 shares (30.02 lakh shares approximately), which at the upper band IPO price of ₹77 per share aggregates to fresh fund raising of ₹23.11 crore. Since there is no OFS, the fresh issue size will also double as the overall issue. Therefore, the overall IPO size will also comprise of the issue of 30,01,600 shares (30.02 lakh shares approximately) which at the upper band IPO price of ₹77 per share aggregates to overall IPO size of ₹23.11 crore.

Like every SME IPO, this issue also has a market making portion. The company has set aside a total of 1,50,400 shares as quota for market inventory. Nikunj Stock Brokers Ltd has already been appointed as the market makers to the issue. The market maker provides two-way quotes to ensure liquidity on the counter and low basis costs. The company has been promoted by Ankur Gaba, Richa Gaba, Puneet Mehta, Gurjeet Singh Walia, and Priyanka Dutta. The promoter holding in the company currently stands at 92.77%.

However, post the fresh issue of shares, promoter equity holding share will get diluted to 66.91%. The fresh issue funds will be used by the company for implementing the ERP solution, investing in mobile app for financial products, brand awareness and working capital needs. Fast Track Finsec Private Ltd will be the lead manager to the issue, and Skyline Financial Services Private Ltd will be the registrar to the issue. The market maker for the issue is Nikunj Stock Brokers Ltd. The IPO of Akiko Global Services (Money Fair) will be listed on the SME IPO segment of the NSE.