SME IPO: NSE, BSE publishes new bidding process; Increased minimum bid size, revised timing, under key changes | Einsmark news

The National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) has announced a renovation in the offering process for small and medium enterprises (SMEs) initial public offers (IPOs). The new process, which aims to standardize and streamline the participation in the SMMEPO, will come into effect from 1 July 2025. According to the circulars issued by the stock exchanges, both the current and the new processes will remain in effect for all SMME ipos which is on June 30, 2025. to all SMEs. Here are the most important changes under the new process for the SME IPOs: 1. New definition for individual investors The ‘retail individual’ category has been replaced with ‘individual investor’. Under the new definition, an individual investor is one who applies for a minimum of two lots with a minimum application size over £ 2 Lakh. 2. Minimum bid size improves the minimum bid size for individual investors has been set on two premises, and the application amount must be more than £ 2 lakh, which is a significant increase in earlier thresholds aimed at smaller investors. 3.. Removed priced bid that is removed under the revised framework, the presentation at the cut -off price will no longer be allowed for any investor category. 4.. No downward modification or cancellations Investors in categories may not change or cancel their bids downwards once submitted, the circulars issued by BSE said. 5. Revised timing on the last day of bids on the last day of the bidding process, which offers all categories, will close at 16:00. However, confirmation or acceptance of UPI mandate will be available until 5pm. 6. Terms for Reserved Categories Employee Category: Must be a minimum of two lots with an application amount above £ 2 lakh. Applications must be in multiples of the lot size and cannot be more than £ 5 lakh. Shareholder and policy -holder categories: must also apply for at least two lots, with the minimum investment of over £ 2 Lakh. Institutional Investors: Qualified Institutional Buyers (QIBs) and Non-Institutional Investors (NIIs) should also place bid for more than two lots. Transfer timeline The new process exists with the existing MME IPO Offering Mechanism until June 30, 2025. For issues that are open before this date and beyond that, the double system will be expanded until July 11, 2025. Thereafter, the existing process will be stopped. Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, and not of currency. We advise investors to check with certified experts before making investment decisions.