3.5 Requirement To Participate In Public Issues


  1. Application Form:

    These are the forms printed and distributed by the issuing company. This form is also known as an abridged prospectus which contains basic details related to the company in terms of management, operations, product, financials and risk factors. The application form consists of two formats i.e. for cut-off and bidding (discussed in the chapter on book building).
  2. Demat Account:

    In this case of allotment of shares, the company would send electronic form of shares to the applicant, but not the physical form of shares (which was there earlier). To meet this requirement, applicants are supposed to open a demat account with a DP and mention the demat account number in the application form.
  3. Bank Account:

    In case of refund orders (partially or fully) the company would directly credit the refund amount to the applicant’s bank account for which the savings account number has to be mentioned in the application.
  4. Trading Account:

    Though it is not mandatory it would be useful for the investors if he/she gets a good price on the listing day itself.
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