Why was the OFS allotment not received even though the request was placed before the cut-off?

 

  • The Offer For Sale(OFS) allotment is decided by the exchanges and not the broker. The cut-off price is established based on bids made by the non-retail category, and the allotment price can be higher depending on the demand for the OFS shares.

  • During the first day of the OFS, bids from the non-retail category (those above ₹2 lakhs or corporate entities) are accepted, and the cut-off price for allocation is determined based on these bids. If the OFS allotment is received, the funds are debited, and the shares are delivered to the demat account on the next trading day i.e. T+1 day.

 

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