Applying for IPOs

Will I definitely get an IPO allotment if I apply through ICICI Direct?

No, IPO allotment is not guaranteed — it is conducted through a randomised lottery process managed by the registrar of the IPO. Even if you apply successfully, the decision on allotment depends on several factors:

How IPO allotment works:

a. Lottery system: In oversubscribed IPOs, shares are allotted based on a lottery among valid applicants.

b. Application category: Your chances may differ based on whether you apply under the retail, HNI/NII, employee, or shareholder category.

c. Demand vs. availability: The higher the oversubscription, the lower the probability of getting an allotment.

What you can do:

a. Apply at the cut-off price if you are eligible.

b. Ensure application details are accurate to avoid rejection.

c. Apply under the correct investor category.

Even after taking all the right steps, allotment is never assured — especially in popular IPOs where demand is very high.