IPO and Primary Markets
An initial public offering is the process by which a private company sells shares to the public for the first time and gets listed on a stock exchange.
How the book-building process works, what subscription figures mean, how allotment is decided, and how to read a DRHP instead of a WhatsApp forward. Live subscription data is on the IPO centre.
What you will be able to do
- Read a DRHP and find the risk factors that matter
- Interpret QIB, HNI and retail subscription numbers
- Understand allotment, listing gains and lock-in
Lessons
Work through these in order.
Careers that use this
Roles where this knowledge is used daily.
Key terms
Frequently asked questions
What does IPO subscription status mean?
It shows how many times the shares on offer have been bid for, split by investor category. A retail subscription of two times means retail investors bid for twice the shares reserved for them.
Does high subscription guarantee listing gains?
No. Subscription measures demand during the offer window, not the business quality or the price paid. Many heavily subscribed IPOs have listed below their issue price.
Other learning hubs
VIA Capital publishes financial education only. Nothing on this page is investment advice, a stock recommendation, or a personalised financial plan.