Craftsman Automation IPO review might have influenced many investors to subscribe. But are you still wondering how to apply for the Craftsman Automation IPO? If yes, then here we are with the complete step-by-step guide that helps you in making the subscription seamless.
So, here we will provide you with an answer to this question. But, prior to that, we need to know what an IPO is.
IPO stands for Initial Public Offering. It is the path taken by a company that is willing to list its shares on a stock exchange. It means that a private company goes public by giving its shares to be openly traded in the share market.
Now that we understand the basic concept behind an IPO, we must learn a little about the Craftsman Automation IPO.
Craftsman Automation Limited was incorporated in 1986 and is headquartered in Coimbatore, Tamil Nadu. It is a diversified engineering company that is engaged in three business segments majorly.
They are Automotive – Powertrain, Automotive – Aluminium, Industrial and Engineering. The issue size of this IPO is ₹820 Cr approximately.
Let us shift our focus towards the process to apply for Craftsman Automation IPO.
You can apply for an IPO through an online process or offline process. It is a choice for the investor or trader. We will discuss both of them in detail in the upcoming sections.
How To Apply For Craftsman Automation IPO Online?
As every aspect of our lives has been digitized, the process to apply for an IPO is no exception. Traders and investors are provided with two options while they apply for Craftsman Automation IPO online.
ASBA (Application Supported by Blocked Amount) Method
UPI (Unified Payment Interface) Method
Now, let us discuss both of these methods in detail in the upcoming sections.
How To Apply For Craftsman Automation IPO Using ASBA?
Before listing the process to apply for Craftsman Automation IPO using ASBA, we want you to understand the concept of ASBA in brief.
The share market traders and investors commonly use it to apply for an upcoming IPO. As the name suggests, the application is backed by a blocked amount in your bank account. You can apply through various banks approved by SEBI.
More than 65 banks were approved, including State Bank of India, ICICI Bank, Union Bank of India, and many more. You can get hold of this list on the official website of SEBI.
Do you know that there are specific criteria you ought to meet before applying through the ASBA method?
The points are as follows:
The IPO application should be under the general category and not under any reserved category provided by the company.
The maximum investment amount should not exceed ₹2 Lakhs.
The application should be forwarded from a bank that is approved by SEBI.
The applied securities have to be held in a demat account, and the application should be for the dematerialized form of securities.
With this understood, let us move ahead to the process to apply for Craftsman Automation IPO.
The steps to follow while you apply for an IPO using ASBA are as follows:
Open the official website of the bank you have an account with.
Log on to the net banking portal of the bank.
Now, look for the Request button on the menu of the dashboard.
Click on it.
You will be redirected to the page with a list of all the open IPOs.
Click on the Craftsman Automation IPO tab.
Fill in the IPO application form with all the necessary details like bank account details, depository details, etc.
Cross-check the application before submitting it.
Submit the application for further processing.
Now, the corresponding amount according to the application made will be blocked in your bank account till the allotment process concludes. After that, either the amount will be unblocked or debited.
The IPO shares will be credited to the demat account in a day or two after the amount is debited from your bank account.
You can also complete this process offline, but before that, we must learn about the other online method, i.e., how to apply for Craftsman Automation IPO through UPI.
How To Apply For Craftsman Automation IPO Through UPI?
In this online application method, the trader or investor applies through the trading platform of the stockbroker they have a demat account with. Another difference between the online ASBA method and UPI is that of the payment method.
The steps to apply for Craftsman Automation IPO through UPI are:
The first step in the direction of using this digitized form of payment is to download and install a UPI mobile application from the App Store of your mobile.
Now, register your bank account on the app using your bank details.
After you are registered, a UPI ID will get generated to be used while making the payment.
The next step is to log in to your trading platform and fill the IPO application form in the relevant section.
In the payment section, you have to enter the UPI ID generated at the end of the registration.
Once the application is submitted, a request to block the amount in your bank account will be sent to the UPI mobile application.
Approve this request to complete the application process.
After the approval, the amount is blocked in your bank account till the day the allotment process concludes. The regulatory body approved this payment mode after it became popular among Indian Citizens.
Now, let us move ahead and dive into the information about how to apply for Craftsman Automation IPO offline.
How To Apply For Craftsman Automation IPO Offline?
Since many of you still wish to apply for an IPO offline, we will guide you through the complete process. With the old-school souls in the house, let us begin listing the offline procedure steps.
The offline process is a part of the ASBA method. As mentioned earlier, the ASBA method can also be done offline. For this, you have to visit the nearest branch of your bank in person and fill the IPO application form.
While you submit the form, you have to give a cheque for the payment. Some information that you should keep handy is as follows:
Demat Account Number
Bank Account Number
PAN Card Number
Once you fill and submit the application to the appointed bank executive, it gets processed through the designated portal.
Now that you have a clear understanding of the process to apply, you must be looking for the important dates in this regard, right?
Whenever a trader or investor decides to invest in an IPO, they look across a wide range of aspects to make sure that it is a calculated decision.
You must keep an account of all the pros and cons. Let us see some of them here.
According to the DRHP of the IPO, the capital raised will be used to repay the company’s debts. This aspect might be a massive con for the IPO, but the pros are undoubtedly weighing over.
It has a robust financial performance, strong product design capabilities, and is a leading engineering product manufacturer. Moreover, the company has sailed through the rough times of the COVID-19 pandemic pretty well.
We hope that you consider all the aspects before you invest in this IPO.
Happy trading and good luck!
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