| Eligibility |
Eligibility norms are a bit more complicated compared to SME to ensure that competent companies are given the access to stock exchange |
Eligibility standards are very relaxed when compared to routine IPO |
| Paid up capital |
After concern the face value of the paid up capital must be Rs.10 crores at least. |
Post concern, paid up capital ought to not go beyond Rs. 25 crores. |
| Minimum number of allottees |
There ought to be at least 1000 allottees |
Ought to be at least 50 allottees |
| IPO Application size |
Between Rs.5,000– Rs.7,000 |
At least Rs.1,00,000 |
| Draft Red-herring prospectus– DRHP |
In a primary board IPO, DRHP is filed with SEBI for vetting |
Observations on DRHP are done by the stock exchange itself |
| IPO Grading |
Grading of IPO by the rating agencies registered with SEBI is mandatory |
Grading is not mandatory |
| Under composing |
Compulsory except in the events where 50% of the total concern is provided for required membership by Qualified institutional buyers (QIB) |
IPO is underwritten 100% with 15% being on the books of merchant bankers |
| Track record |
3 years track record of success |
Running capital must be positive for the previous 2 years |
| Market making |
Post problem, market making is not obligatory |
Market making is obligatory to make the securities more liquid |
| Corporate governance |
Provision 49 of the listing agreement will be applicable |
Clause 49 of the listing arrangement will be applicable |
| Reporting requirements |
Quarterly audited accounts must be submitted |
Half yearly audited accounts need to be submitted |
| Focus |
Main board IPO focuses more on institutional and retail investors. |
Focused on institutional & High net worth people |
