How to apply for IPO through Groww • webnotes.in

This comprehensive guide walks you through the complete process of applying for an IPO (Initial Public Offering) through Groww. Whether you’re a first-time investor or an experienced trader, this guide covers everything from prerequisites to checking your allotment status. Groww offers a simple, paperless IPO application process with zero charges using UPI or ASBA.

Application Method

UPI / ASBA

Groww IPO Charges

FREE

Maximum Bids

3 Bids

Mandate Deadline

5:00 PM

Table of Contents

1. Prerequisites for Applying
2. Apply via UPI (Groww App)
3. Apply via Groww Website
4. Apply via ASBA (Net Banking)
5. How to Apply for SME IPO
6. Modify or Cancel Application
7. UPI Mandate Approval
8. How Multiple Bids Work
9. Check Allotment Status
10. Common Rejection Reasons
11. IPO Timeline
12. Investor Categories
13. Groww Demat Account Details
14. Frequently Asked Questions

1. Prerequisites for Applying

Before you can apply for an IPO through Groww, ensure you have the following ready:

Required Accounts

✓ Groww Demat Account (active)

✓ Bank Account (savings or current)

✓ UPI App (for UPI method)

Required Documents

✓ PAN Card

✓ Valid UPI ID (own account)

✓ Sufficient Bank Balance

Important

Your UPI ID must be linked to a bank account that is registered under the same PAN as your Groww Demat account. Using someone else’s UPI ID will result in rejection.

2. Apply via UPI (Groww App)

The UPI method is the fastest and most convenient way to apply for an IPO through Groww. Here are the step-by-step instructions:

Open Groww App and Navigate to IPO

Log in to your Groww app. Tap on the ‘Stocks’ tab at the bottom of the screen. Scroll down to find the ‘IPO’ button under ‘Products & Tools’ and tap on it.

Select the IPO

You will see a list of IPOs categorized as ‘Open Now’, ‘Upcoming’, and ‘Closed’. Select the IPO you want to apply for from the ‘Open Now’ list and tap ‘Apply’.

Select Your Category

Choose your investor category. Most retail investors should select ‘Regular’ (for applications up to ₹2 lakhs). For applications above ₹2 lakhs, select ‘HNI’ category.

Enter Number of Lots

Enter the number of lots you wish to apply for. The minimum is 1 lot, and quantities must be in multiples of the lot size. The app will display the total bid amount.

Select Bid Price

Choose your bid price. You can either enter a price within the price band or tick ‘At Cut-off Price’ (recommended for retail investors). Cut-off price means you agree to pay the final issue price.

Enter Your UPI ID

Enter your valid UPI ID (e.g., yourname@okaxis or 9876543210@ybl). You can find this in your UPI app under profile settings.

Submit Application

Review all details carefully. Accept the terms and conditions by checking the undertaking box, then tap ‘Apply for IPO’.

Approve UPI Mandate

Within 1-24 hours, you will receive a mandate request on your UPI app (PhonePe, Google Pay, BHIM, etc.). Open the app, go to mandates, and approve the request before 5 PM on the IPO closing day.

Success

Once the mandate is approved, your bid is confirmed and the amount is blocked in your bank account. You can track the status under the ‘Status’ tab next to the IPO on Groww.

3. Apply via Groww Website

You can also apply for IPOs through the Groww website on your desktop or laptop. The process is similar to the app:

Visit Groww IPO Page

Go to https://groww.in/ipo and log in to your Groww account using your credentials.

Select IPO from Open List

Browse the list of open IPOs. Click on the IPO you wish to apply for to view details like price band, lot size, and dates.

Click Apply

Click the ‘Apply’ button next to the IPO name to open the application form.

Fill Application Details

Select your category (Regular/HNI), enter the number of lots, and choose your bid price or select cut-off price.

Enter UPI ID and Submit

Enter your UPI ID, review all details, accept terms, and click ‘Submit Bid’.

Approve Mandate on UPI App

Approve the mandate request on your UPI app within the deadline to complete your application.

Groww IPO Page

4. Apply via ASBA (Net Banking)

If you don’t have a UPI app or prefer using your bank’s net banking, you can apply through ASBA (Application Supported by Blocked Amount). This method uses your bank’s ASBA facility with your Groww Demat account.

Visit your bank’s official website and log in to your internet banking account using your customer ID and password.

Navigate to IPO Section

Look for the IPO section under ‘Investments’, ‘e-Services’, or ‘Request’ tab (varies by bank). Click on ‘IPO/Rights Issue’ option.

Select IPO and Click Apply

Choose the IPO from the list of active IPOs and click ‘Apply’. Ensure ‘ASBA’ is selected as the application type.

Enter Demat Details

Enter your Groww Demat account details: Depository as ‘CDSL’ and your 16-digit Groww Demat account number (found in your Groww app under Profile > Demat Details).

Fill Bid Details

Enter bid quantity (in multiples of lot size), bid price (or select cut-off), and verify your PAN and name.

Confirm and Submit

Review all details, accept terms and conditions, and submit the application. The amount will be blocked in your bank account.

Groww Demat Details for ASBA

Depository: CDSL
DP Name: Groww / Groww Invest Tech Pvt. Ltd
Demat ID: Your 16-digit number (check Groww app > Profile > Demat Details)

5. How to Apply for SME IPO

Groww supports both Mainboard IPOs and SME IPOs (listed on BSE SME and NSE Emerge). The application process for SME IPOs is the same as Mainboard IPOs:

Open Groww IPO Section

Navigate to the IPO section in your Groww app or website.

Filter for SME IPOs

Use the ‘SME IPO’ filter in the top right corner to view only SME IPOs, or search for a specific IPO using the search bar.

Apply and Follow Same Process

Select the SME IPO, enter bid details, provide UPI ID, and approve the mandate just like a Mainboard IPO.

SME IPO Note

SME IPOs typically have higher minimum investment amounts and different lot sizes compared to Mainboard IPOs. Always check the RHP (Red Herring Prospectus) for specific details.

6. Modify or Cancel Application

Groww allows you to modify or cancel your IPO application while the IPO subscription window is still open.

To Modify Your Application:

Go to Status Tab

Open Groww app/website, navigate to IPO section, and click on ‘Status’ next to the IPO you applied for.

Click Modify

Select the ‘Modify’ option to change your bid quantity or price. Update the details and submit.

Approve New Mandate

If the bid amount increases, approve the new UPI mandate. For decreased amounts, the difference is released after allotment.

To Cancel Your Application:

Open Status Window

Go to the Status tab for the IPO you wish to cancel.

Click Cancel/Delete

Click on ‘Cancel’ or ‘Delete’ application. Confirm the cancellation when prompted.

Wait for Processing

The cancellation request is processed during market hours (10 AM – 5 PM). Blocked funds are released within 1-24 hours or by mandate expiry date.

Critical Deadline

You can only modify or cancel your application while the IPO is open for subscription. After the IPO closes, no changes can be made. Some banks may not accept requests after 2-3 PM on the closing day.

7. UPI Mandate Approval

The UPI mandate is a critical step in the IPO application process. Without approving the mandate, your application will be rejected.

How to Approve UPI Mandate:

Wait for Notification

After submitting your IPO application, you will receive a mandate request notification on your UPI app within 1-24 hours.

Open UPI App

Open your UPI app (Google Pay, PhonePe, BHIM, Paytm, etc.) and navigate to the ‘Mandates’ or ‘AutoPay’ section.

Find IPO Mandate

Locate the pending IPO mandate request. Verify the IPO name and amount match your application.

Approve with UPI PIN

Click ‘Approve’ or ‘Accept’ and enter your UPI PIN to authorize the fund block.

Mandate Not Received?

If you don’t receive the mandate within 6-24 hours: (1) Check if you entered the correct UPI ID, (2) Ensure your UPI app is updated, (3) Check if your bank supports IPO payments. If still not received, cancel your application and reapply with correct details.

Popular UPI Apps	How to Check Mandates
Google Pay	Profile > Payments > Mandates
PhonePe	My Money > UPI Lite > Mandates
BHIM	Settings > Mandates
Paytm	UPI > Manage UPI AutoPay
Bank Apps	UPI Section > AutoPay/Mandates

8. How Multiple Bids Work

Groww allows you to place up to 3 bids per IPO at different price points. This feature is useful when you want to bid at multiple prices within the price band.

Multiple Bid Example:

Suppose an IPO has a price band of ₹100 – ₹110 per share, with a lot size of 100 shares:

Bid	Price	Lots	Amount Blocked
Bid 1	₹110 (Cut-off)	1	₹11,000
Bid 2	₹105	1	₹10,500
Bid 3	₹100	1	₹10,000
Maximum Amount Blocked			₹11,000

How It Works

Only the highest bid amount is blocked in your bank account. If the final issue price is ₹108, only Bid 1 (at cut-off) would be valid. If any of your bids are below the final issue price, they become invalid.

9. Check Allotment Status

After the IPO subscription closes, allotment is typically finalized within 1-2 working days. You can check your allotment status through multiple channels:

Method 1: Check on Groww

Log in to Groww app/website > IPO section > Click on ‘Status’ next to the IPO. The status will show as ‘Allotted’, ‘Not Allotted’, or ‘Rejected’.

Method 2: Check on BSE Website

Visit BSE Allotment Page

Go to the BSE IPO allotment status page.

Select Issue Type and Name

Select ‘Equity’ as issue type and choose the IPO name from the dropdown.

Enter Details and Submit

Enter your PAN or Application Number, complete the captcha, and click ‘Search’.

Method 3: Check on NSE Website

Visit NSE Allotment Page

Go to NSE IPO bid verification page.

Select IPO Symbol

Select ‘Equity & SME IPO bid details’ and choose the IPO symbol.

Enter PAN and Application Number

Enter your details and click ‘Submit’ to view status.

Method 4: Check on Registrar Website

Each IPO has a designated registrar (Link Intime, KFintech, etc.). Visit the registrar’s website, select the IPO, enter your PAN/Application Number/DP Client ID to check status.

BSE Allotment Status NSE Allotment Status Link Intime KFintech

After Allotment

If Allotted: Shares are credited to your Groww Demat account before the listing date. The blocked amount is debited from your bank.

If Not Allotted: The blocked amount is automatically released to your bank account within 1-2 working days.

10. Common Rejection Reasons

IPO applications can be rejected for various reasons. Understanding these helps you avoid mistakes:

Rejection Reason	How to Avoid
UPI Mandate Not Approved	Approve mandate before 5 PM on IPO closing day
Incorrect UPI ID	Double-check UPI ID before submitting
PAN Mismatch	Ensure PAN on Demat, Bank, and UPI are same
Multiple Applications (Same PAN)	Apply only once per PAN in each category
Using Someone Else’s UPI ID	Use only your own UPI ID linked to your PAN
Insufficient Bank Balance	Maintain sufficient balance during mandate approval
Bid Below Final Issue Price	Bid at cut-off price to ensure validity
Incorrect Demat Details (ASBA)	Verify 16-digit Demat ID and select CDSL
Wrong UPI PIN	Enter correct UPI PIN; avoid multiple wrong attempts
Bank/UPI App Technical Issues	Update app, check net banking; reapply if needed
Mandate Expired/Timeout	Approve mandate promptly; don’t wait till last minute
Bid Quantity Not in Lot Multiples	Always bid in multiples of lot size

Rejected Application – Funds Release

If your application is rejected, the blocked amount will be released within 1-10 working days or by the UPI mandate expiry date. Contact your bank if funds are not released after the mandate expiry.

11. IPO Timeline

Understanding the IPO timeline helps you plan your application and track important dates:

IPO Opens

Day 1 (T)

Bidding window opens at 10:00 AM. You can start applying for the IPO.

Bidding Window

Day 1-3 (T to T+2)

IPOs typically remain open for 3 working days. You can apply, modify, or cancel during this period.

IPO Closes

Day 3 at 5:00 PM

Last day to apply. UPI mandates must be approved by 5:00 PM. No modifications after close.

Basis of Allotment

T+4 (approx.)

Registrar finalizes allotment. For oversubscribed IPOs, lottery system is used for retail investors.

Allotment Status Available

T+4 to T+5

Check allotment status on BSE, NSE, registrar website, or Groww app.

Refund/Credit

T+5

Shares credited to Demat (if allotted) or funds released (if not allotted).

Listing Day

T+6

Shares start trading on NSE/BSE. You can sell or hold based on market price.

T+3 Timeline (SEBI)

As per SEBI guidelines, large-cap IPOs follow a T+3 listing timeline, meaning shares are listed 3 working days after the IPO closes. This has reduced the gap between allotment and listing significantly.

12. Investor Categories

IPO shares are allocated to different investor categories based on SEBI regulations:

Category	Full Name	Investment Limit	Reserved Quota
RII	Retail Individual Investor	Up to ₹2,00,000	35% minimum
NII (sHNI)	Small HNI	₹2,00,001 to ₹10,00,000	15% of NII quota
NII (bHNI)	Big HNI	Above ₹10,00,000	Remaining NII quota
QIB	Qualified Institutional Buyer	No limit	50% (Book Building)
Employee	Company Employees	As per RHP	If reserved
Shareholder	Existing Shareholders	As per RHP	If reserved

Retail Investor Advantage

In the retail category (RII), if there’s oversubscription, each applicant is guaranteed at least 1 lot through a lottery system before any proportional allotment. This means even 1-lot retail applicants have fair chances in heavily subscribed IPOs.

13. Groww Demat Account Details

When applying through ASBA or for any verification, you’ll need your Groww Demat account details:

Depository

CDSL

DP Name

Groww

DP ID

First 8 digits

Client ID

Last 8 digits

How to Find Your Demat Number:

Open Groww App

Go to Demat Details

Tap on ‘Account’ or ‘Demat Details’ to view your 16-digit Demat Account Number.

Note Down Details

Your Demat ID format: 12XXXXXXXXXXXXXXXX (16 digits). First 8 = DP ID, Last 8 = Client ID.

Alternative Method

You can also find your Demat details in your Consolidated Account Statement (CAS) received monthly from CDSL, or by logging into the CDSL website with your credentials.

14. Frequently Asked Questions

Is there any charge to apply for IPO through Groww? +

No, Groww offers completely free IPO application services. There are no charges for applying, modifying, or cancelling your IPO applications through Groww. The only cost involved is the bid amount itself which gets blocked in your bank account.

How many IPO applications can I submit per PAN? +

You can submit only one application per PAN in each investor category. If you apply multiple times using the same PAN in the same category, all applications will be rejected. However, you can place up to 3 bids within a single application at different price points.

What happens if I don’t approve the UPI mandate? +

If you fail to approve the UPI mandate before 5 PM on the IPO closing day, your application will be automatically rejected. The funds won’t be blocked, and you will not be considered for allotment. Always approve the mandate as soon as you receive it.

Can I apply for IPO without a UPI ID? +

Yes, you can apply through the ASBA (Application Supported by Blocked Amount) method using your bank’s net banking facility. You’ll need to enter your Groww Demat account details (16-digit number) and select CDSL as the depository during the ASBA application process.

When will my blocked funds be released if I’m not allotted shares? +

If you are not allotted shares, the blocked amount is typically released within 1-2 working days after the allotment is finalized. In some cases, it may take up to the UPI mandate expiry date. If funds are not released after the expiry date, contact your bank.

What is cut-off price and should I bid at cut-off? +

Cut-off price means you agree to pay the final issue price decided by the company after the bidding closes. Retail investors are recommended to bid at cut-off price to ensure their bid remains valid regardless of the final price. If you bid below the final price, your application becomes invalid.

Can I modify my bid after submitting the application? +

Yes, you can modify your bid (quantity or price) anytime while the IPO subscription window is open. Go to the Status tab in Groww, click Modify, make changes, and approve any new UPI mandate if the amount increases. Modifications are not allowed after the IPO closes.

Does Groww support SME IPO applications? +

Yes, Groww supports both Mainboard IPOs (NSE/BSE) and SME IPOs (NSE Emerge/BSE SME). You can filter for SME IPOs using the filter option in the IPO section. The application process remains the same as Mainboard IPOs.

How is allotment decided in oversubscribed IPOs? +

For retail investors in oversubscribed IPOs, allotment is done through a computerized lottery system. Each applicant first gets a chance for 1 lot minimum allocation. If demand exceeds supply, a lottery decides who gets allotment. This ensures fairness regardless of whether you bid for 1 lot or maximum lots.

Can I sell IPO shares on listing day? +

Yes, once shares are credited to your Demat account and the stock lists on the exchange, you can sell them immediately on listing day if you wish. The shares typically get credited by T+5 (5 days after IPO closes) and listing happens on T+6. You can place sell orders through your Groww trading account.

Disclaimer

This guide is for educational and informational purposes only and does not constitute financial advice. Investment in IPOs involves market risks. Please read the Red Herring Prospectus (RHP) carefully before investing. Past performance is not indicative of future results. Consult a SEBI-registered financial advisor for personalized investment advice. The author and WebNotes.in are not responsible for any investment decisions made based on this guide.