EPACK Durable IPO Allotment Status

Highlights of the EPACK Durable IPO

The stock of EPACK Durable Ltd has a face value of ₹10 per share and the price band for the book building IPO has been set in the range of ₹218 to ₹230 per share. The final price will be discovered within this band. The IPO of EPACK Durable Ltd will be a combination of a fresh issue and offer for sale. A fresh issue brings fresh funds into the company, but is also EPS and equity dilutive; while OFS is just a transfer of ownership and does not dilute equity or EPS. The fresh issue portion of the IPO of EPACK Durable Ltd comprises the issue of 1,73,91,304 shares (173.91 lakh shares approximately), which at the upper price band of ₹230 per share will translate into a fresh issue size of ₹400 crore. 

The offer for sale (OFS) portion of the EPACK Durable IPO comprises the sale of 1,04,37,047 shares (104.37 lakh shares approximately), which at the upper price band of ₹230 per share will translate into an offer for sale (OFS) size of ₹240.05 crore. Out of the 5 members of the promoter group, 4 promoters members will be offering shares in the OFS. In addition, 2 early investors (India Advantage Fund and Dynamic India Fund) will also be offering shares in the OFS. Post IPO, promoter stake will fall from 85.49% to 65.36%. The overall IPO of  EPACK Durable Ltd will, therefore, comprise of a fresh issue and sale of 2,78,28,351 shares (278.28 lakh shares approximately), which at the upper price band of ₹230 per share translates into total IPO size of ₹640.05 crore.

The IPO of EPACK Durable Ltd will be listed on the NSE and BSE on the IPO mainboard. The IPO is a combination of a fresh issue and an offer for sale. The fresh issue proceeds will be used by EPACK Durable Ltd to fund capital expenditure to expand the manufacturing capacity. It will also use part of the proceeds for prepayment or repayment of loans taken. The IPO will be lead managed by Axis Capital, DAM Capital (formerly IDFC Securities), and ICICI Securities. KFIN Technologies Ltd will be the registrar to the issue.

How to check allotment status of the IPO?

Allotment status online is an internet facility that is provided by the BSE (formerly Bombay Stock Exchange) and by the registrars on their website. Many of the brokers also provide direct connectivity to the database. However, in the absence of any connectivity, one option you always have to use one of these options. That means; you can either check your allotment status on the BSE website or the IPO registrar, KFIN Technologies Limited (formerly Karvy Computershare). Here are the steps.

Checking the allotment status of EPACK Durable IPO on BSE website

This is a facility available to all mainboard IPOs, irrespective of who the registrar to the issue is. You can still access the allotment status on the website of BSE India as under. Visit the BSE link for the IPO allotment by clicking on the link below.

https://www.bseindia.com/investors/appli_check.aspx 

Once you reach the page, here are the steps to follow.
    • Under Issue Type – Select Equity Option
    • Under Issue Name – Select EPACK Durable Ltd from the drop down box
    • Enter the Application Number exactly as in the acknowledgement slip
    • Enter the PAN (10-digit alphanumeric) number
    • Once this is done, you need to click on the Captcha to verify that you are not a robot
    • Finally click on the Search Button

In the past, while checking the allotment status on the BSE website, it was necessary to input the PAN number and the application Number. However, now BSE has modified the requirements and it is sufficient if you enter any one of these parameters. There is one more point to note. Even if the company appears in the dropdown, the allotment status will only be available for you to check after the basis of allotment is finalized. So, the company will be available in the drop down just around 25th January 2024.

To complete your checking process, once you click on the SUBMIT button, the allotment status will be displayed on the screen in front of you informing about the number of shares of EPACK Durable Ltd allotted into your demat account. You can save a screenshot for future reference and for reconciling with the demat credit on 29th January 2024

Checking the allotment status of EPACK Durable IPO 

Visit the website of KFIN Technologies Ltd, which has been appointed as the registrar for the issue. You can access their website for IPO status by clicking on the link below:

https://ris.kfintech.com/ipostatus/

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 is also a way to access this page via the home page of KFINTECH India Ltd but that pathway is slightly more complex as the website is designed more as a B2B website, so you can avoid that.
Here you are given the choice to select 5 servers viz. Link 1, Link 2, Link 3, Link 4, and Link 5. There is nothing to be confused, as these are just server backups in case one of the servers is experiencing too much traffic. You can select any of these 5 servers and in case you are finding problems accessing one of the servers, then try the other one. There is no difference, which server you select, the output will still be the same.

A small thing to remember here. Unlike on the BSE website, where the names of all IPOs are there on the drop-down menu, the registrar will only provide list of the IPOs managed by them and where the allotment status is already finalized. Also, for simplicity, you can either choose to see all IPOs or just recent IPOs. Choose the latter, as that reduces the length of the list of IPOs you need to search through. Once you click on Recent IPOs, the dropdown will only show the recent active IPOs, so once the allotment status is finalized, you can select EPACK Durable Ltd from the drop-down box. That means; you can access the allotment status of EPACK Durable Ltd either late on 25th January 2024 or by the middle of 26th January 2024.

• There are 3 options. You can either query the allotment status based on PAN, Application Number or Demat Account (DPID-Client ID combination).

• To Query by PAN, check the appropriate box and follow these steps.
        ◦ Enter the 10-digit PAN number
        ◦ Enter the 6-digit Captcha Code
        ◦ Click on Submit button
        ◦ Allotment status gets displayed on screen

• To Query by Application Number, check the appropriate box and follow these steps.
        ◦ Enter the Application Number as it is
        ◦ Enter the 6-digit Captcha Code
        ◦ Click on Submit button
        ◦ Allotment Status gets displayed on screen

In the past, the first step was to select Application Type (ASBA or Non-ASBA) before inputting your application number. Now, that step has been done away with.

• To Query by Demat Account, check the appropriate box and follow these steps.
        ◦ Select the depository (NSDL / CDSL)
        ◦ Enter the DP-ID (Alphanumeric for NSDL and Numeric for CDSL)
        ◦ Enter the Client-ID
        ◦ In the case of NSDL, the Demat account is 2 strings
        ◦ In the case of CDSL, the Demat account is just 1 string
        ◦ Enter the 6-digit Captcha Code
        ◦ Click on Submit button
        ◦ Allotment Status gets displayed on screen

It is always advisable to retain a saved screenshot of the allotment status output for future reference. The same can be tallied with the demat account credit subsequently, when the status is updated in your demat account by end of 29th January 2024 bearing the ISIN Number code - INE0G5901015

What determines the chances of allotment in the IPO?

Broadly, there are 2 factors that determine the chances of an investor in getting an IPO. The first is the number of shares available under each of the categories, depending on which category you choose to invest in. The table below captures the quota for each of the categories as decided by the company in consultation with the BRLMs

In the above table, the anchor portion allotment is already completed a day ahead of the IPO. The subscription for each category is only for the residual amount. We now move to the second item that influences allotment and that is the subscription ratio. Here is what the ratio of subscription for each category looks like.

(Data Source: BSE)

As can be seen, greater the oversubscription, lower the chances of allotment. The reverse also holds true. However, one thing to note is that SEBI rules for retail allocation are designed in such a way that maximum investors get at least the minimum 1 lot allotment. So, applying in the names of all your family members can improve your chances of allotment. In the above case, the oversubscription of the retail portion is quite low while that of the HNI portion is quiet modest and cannot be classified as very high. Hence, the chances of allotment are quite high. We have to await the final answer once the basis of allotment is finalized.