India had 60+ IPOs in 2024 - some gave 100%+ listing gains. To apply, you need a Demat account. Here is the complete 2026 IPO application guide.
Why Demat for IPO?
SEBI mandates IPO allotment in Demat (electronic) form only. Without a Demat, you cannot participate in an IPO.
2 Ways to Apply
1. Via Your Broker's App (Recommended)
Easiest method. Zerodha, Upstox, Groww all support this.
- Login to broker app
- Go to "IPO" section
- Select the IPO
- Enter quantity (lots)
- Enter bid price (or pick cut-off)
- UPI mandate approved in your bank app
- Application submitted
2. Via ASBA from Bank
Traditional method. Login to net banking > IPO section > same steps.
UPI Mandate - How it Works
You block funds in your bank via UPI mandate. If allotted, funds debited. If not allotted, mandate released. No payment in advance.
Categories You Can Apply In
- Retail (RII): Up to Rs.2 Lakh investment
- HNI (NII): Above Rs.2 Lakh
- Employee: If applicable to the company
- Shareholder quota: If you own parent company shares
Lot Size and Bidding
Every IPO has a minimum lot (typically Rs.14,000-15,000). You can apply in multiples of lot size. Bid price can be anywhere in the price band - "Cut-off" means you accept any price in the band.
Allotment Process
If oversubscribed in retail, allotment is via lottery. One lot per applicant if oversubscribed heavily.
Tips to Increase Allotment Chances
- Apply from multiple family Demat accounts (separate PANs)
- Always apply at cut-off price
- Apply on last day after knowing subscription status
- Use shareholder quota if eligible
- Apply for 1 lot only (higher odds than multiple lots)
Checking Allotment Status
On allotment date (usually 3-5 days after closing):
- BSE/NSE registrar website (Link Intime, KFintech)
- Broker's IPO page
- SMS from registrar
Listing Day Strategy
- Listing pop: Sell at listing if >30% gain (book profit)
- Long-term hold: If you believe in the business
- Listing loss: Wait 3-6 months before deciding
IPO Tax
Sold within 1 year = 20% STCG. After 1 year = 12.5% LTCG above Rs.1.25 Lakh.
Open Zerodha Demat (free) and apply for the next IPO seamlessly. Click below.
