Ambey Laboratories IPO Allotment Status

How to check Ambey Laboratories IPO Allotment Status

Let us now turn to the million dollar question; How to check the IPO allotment status? Since this is an NSE SME IPO, there is no facility to check on the exchange website since NSE does not offer that facility. On the other hand, the BSE only offers allotment status for mainboard IPOs and for BSE SME IPOs. If you have applied for the IPO, you can check your allotment status only on the website of the IPO registrar, Link Intime India Private Limited. Here are the steps that you need to follow to check IPO allotment status.

Checking Ambey Laboratories IPO Allotment Status on Link Intime

Visit the Link Intime registrar website for Ambey Laboratories 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 Ambey Laboratories from the drop-down box. In the case of Ambey Laboratories, data access will be allowed late on 09th July 2024 or by middle of 10th July 2024. 

• 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. You can get the exact allotment status on the number of shares allotted to you. The IPO status with number of shares of Ambey Laboratories allotted will be displayed on the screen in front of you. You can take a screenshot of the output page for your records and later ever for reconciliation with the demat account status when shares are credited to your demat account on 10th July 2024. But what exactly determines the success or otherwise of you getting allotment? It is the allocation quota and the subscription levels

Ambey Laboratories IPO allotment date - July 09, 2024.

Allocation quota and subscription levels for Ambey Laboratories IPO

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 3,30,000 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 July 03rd, 2024, the company made an anchor allocation of 18,68,000 shares to anchor investors at the upper-band book building price of ₹68 per share. This included the par value of ₹10 per share and premium of ₹58 per share. The total size of the anchor allocation was ₹12.70 crore.

Subscription status of Ambey Laboratories IPO

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 as of the close of trading on 08th July 2024. 

Data Source: NSE

The response to the IPO of Ambey Laboratories was fairly robust and it was subscribed 160.18X overall at the close of bidding on 08th July 2024. The HNI / NII portion was subscribed 210.26 times while the retail portion was subscribed 195.06 times. Even the QIB portion got healthy subscription of 61.90 times in the IPO. This is very robust subscription and gives a relatively lower chance of allotment in the IPO. However, it is best to wait for the basis of allotment to be finalized and allotment status updated on July 09th, 2024. The allotment status can be checked using the allotment checking modus operandi explained above.

Next steps after the closure of the IPO of Ambey Laboratories

The issue opened for subscription on 04th July 2024 and closed for subscription on 08th July 2024 (both days inclusive). The basis of allotment will be finalized on 09th July 2024 and the refunds will be initiated on 10th July. In addition, the demat credits are expected to also happen on 10th July and the stock will list on 11th July on the NSE SME IPO segment. The credits to the demat account to the extent of shares allotted will happen by the close of 10th July 2024 under ISIN (INE0M3I01029).

Investors would do well to remember that the level of subscription is very material as it determines the chances of getting allotment. Normally, higher the subscription ratio, lower the chances of allotment and vice versa. In this case, the subscription levels have been very high in the IPO; both in the Retail segment and also in the HNI / NII segment. Investors in the IPO need to assess their chances of allotment accordingly. The final status will be known once the basis of allotment is finalized and uploaded for you to check. You can apply the above allotment checking process flow after the basis of allotment is finalized.

About the Ambey Laboratories IPO

The stock of Ambey Laboratories 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 ₹65 per share to ₹68 per share. Being a book built IPO, the final price discovery will happen in the above price band only. The IPO of Ambey Laboratories has a fresh issue component and a small offer for sale (OFS) portion too. 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, Ambey Laboratories will issue a total of 65,52,000 shares (65.52 lakh shares), which at the upper band IPO price of ₹68 per share aggregates to fresh fund raising of ₹44.55 crore. The offer for sale (OFS) will comprise the offer / sale of 3,12,000 shares (3.12 lakh shares), which at the upper band IPO price of ₹68 per share aggregates to overall OFS size of ₹2.12 crore. The entire OFS sale of 3.12 lakh shares is being offered by Sarina Gupta, who is one of the promoters of the company.

Hence the overall size of the issue will be the sum of the fresh issue and the OFS. Therefore, the overall IPO size will comprise of the issue and sale of 68,64,000 shares (68.64 lakh shares) which at the upper band IPO price of ₹68 per share aggregates to overall IPO size of ₹46.68 crore. Like every SME IPO, this issue also has a market making portion. The company has set aside a total of 3,30,000 shares as quota for market inventory.

Nikunj Stock Brokers Ltd has already been appointed as the market makers to the issue. The company has been promoted by Archit Gupta, Arpit Gupta, Sarina Gupta, and Rishita Gupta. The promoter holding in the company currently stands at 94.97%. However, post the fresh issue of shares, promoter equity holding share will get diluted to 69.08%. The fresh issue funds will be used by the company for meeting the working capital requirements of the ongoing business. Fast Track Finsec Private Ltd will be the lead manager to the issue, and Link Intime India Private Ltd will be the registrar to the issue. The market maker for the issue is Nikunj Stock Brokers Ltd. The IPO of Ambey Laboratories will be listed on the SME IPO segment of the NSE.