Self Help Documentation
What are the points to remember while bidding in OFS?
- If the bid is below the floor price, no allocation will be made.
- As per SEBI regulations, a minimum of 25% of the shares on offer are reserved for mutual funds and insurance companies.
- Except for mutual funds and insurance companies, no single bidder can be allocated more than 25% of the shares on offer.
- An OFS order can be placed between 9.15 AM and 3:30 PM.
- The settlement of an OFS is done on a trade-for-trade basis.
- The cut-off time for placing OFS orders on NSE and BSE is 3:30 PM on the offer end date, any modifications or cancellation should be made before 3:00 PM. Ensure sufficient funds in the trading account on the offer end date before the cut-off time to get the allotment.
- The chances of getting an OFS allotment vary depending on the allotment methodology adopted by the selling company. Unlike IPOs, a bid at the cut-off price does not always ensure that the bid will be considered.
- Non-retail orders can be placed at the floor price or higher. Multiple orders can be placed by following the same steps in both retail and non-retail categories.