How many applications can be made from a bank account?

SCSBs have to ensure that not more than Five (5) applications can be made from a bank account per issue.

Learn More How can the Registrar reconcile the data on ASBA Bids in case of public issues since the Registrar does not get the application in case of ASBA?

Registrar will do the reconciliation based on data received from Stock Exchanges and the aggregate data received from SCSBs after closure of the issue regarding total number ofbids uploaded, the total number of shares applied for in such uploaded bids and total amount blocked for such uploaded bids.

Learn More Does SCSB have the discretion to select issues where it will provide service of ASBA?

No. Once a bank is included in the list of SCSBs maintained by SEBI, it shall act as SCSB for all issues to come where ASBA is applicable.

Learn More What is the role and responsibility of the Controlling Branch (CB) of SCSB?

CB is expected to act as a central point of co‐ordination for various intermediaries with SCSB i.e. Stock Exchanges, Registrar and Merchant Bankers.

Learn More What is expected to be done by the SCSB, in case the investor withdraws his ASBA bid during the bidding period or after the bid closure in case of public issues?

ASBA investor interested in withdrawing his/her application during the bidding process will approach the SCSB and request for deletion of the bids. SCSB will do the necessary to delete the bids from electronic bidding system and unblock the bank account. However, once the bidding period is over, ASBA investor will write to the Registrar giving …

Learn More What records a SCSB is required to keep in regard to ASBA facility?

Electronic record of ASBA uploaded, account/amount blocked and unblocked. ASBA physical forms may be retained for a period of 6 months with SCSB for redressing complaints if any, of ASBA investor and thereafter the same may be sent to the issuer.

Learn More Will the investor get a confirmation from the Stock Exchanges on upload of bids in case of public issues?

Yes, Stock Exchange electronic bidding system will provide for generation of order number which can confirm the uploading of bids. These order number as well as application number, will help SCSB as well as the investors in tracking their application. However, in the case of Rights issues, for the time being, the application data is …

Learn More Is it mandatory that only Designated Branch (DB) which accepts the ASBA has to upload the bids in the Electronic Bidding System?

No, it is not mandatory. Depending upon the internal comfort and system of each bank, it is possible for DBs to collect applications, block the amount and then transfer to Controlling Branch (CB) for centralized uploading or DBs to only collect applications and upload directly. It may please be noted that as far as investors …

Learn More What data/details a SCSB is required to send to the Stock exchanges and Registrar?

SCSB is required to upload details like Application number, DP ID, Client ID, Bid Quantity, PAN from ASBA form. In case of an Electronic ASBA, the ASBA investor himself/herself shall fill in all the above mentioned details in the online application system of the bank, except the application number which shall be system generated. The …

Learn More How does a SCSB get the file formats for uploading of bids?

In case of public/rights issues, SCSB may approach the Stock Exchange offering electronic bidding system. They will inform SCSB about the file formats. It may be noted that only after the mock trial run done with Stock Exchanges and Registrar; the bank will be in position to submit a certification to SEBI as mentioned in …

Learn More Can SCSB transfer the blocked application money to a separate account instead of blocking the money in the same account?

Yes, a SCSB can do it if it serves the purpose of blocking till allotment is finalized and interest, if any, is earned by investor till the amount is transferred to the issuer account.

Learn More Can SCSB outsource the task of collection of ASBA applications and uploading of the application details?

SCSB is wholly responsible for any omission and commission done during the process and the bids which are uploaded in the electronic bidding system of Stock Exchanges has to be done through SCSB code.

Learn More Is SCSB required to validate/verify details given in ASBA?

No, SCSB is not required to validate the details given in ASBA application. SCSB is however required to follow the normal diligence required in banking transactions.

Learn More What is a SCSB expected to do after receipt the ASBA?

After receipt of ASBA, SCSB is expected to ensure (i) blocking of funds in the bank accounts mentioned in ASBA and (ii) uploading the details given in ASBA received physically or electronically, in the electronic bidding system of Stock Exchange(s).

Learn More If a SCSB intends to provide only electronic ASBA, is it possible?

Yes, it is possible; however sufficient information to this effect should be made available to all the clients by the SCSB.

Learn More Can SCSB accept ASBA application electronically also?

Yes, SCSBs can provide a facility of submitting ASBA through the internet banking facility to the investors electronically where the provision to block the account is provided.

Learn More Can a Cooperative Bank, become an SCSB?

Any bank which is registered as bankers to an issue registered with SEBI in terms of SEBI (Bankers to an Issue) Regulations can become SCSB subject to satisfying other conditions specified by SEBI.

Learn More How a bank which has become a SCSB, get connectivity with electronic bidding system of Stock exchanges?

The bank can contact the stock exchange offering electronic bidding system, which is presently being offered by Bombay Stock Exchange and National Stock Exchange to get connectivity and ensure that systems are in place to get the connectivity and secured transfer of data from banks to Stock Exchanges.

Learn More How can a bank become an SCSB?

A bank which is registered with SEBI as a Banker to issue in terms of SEBI (Bankers to an Issue) Regulations can become SCSB subject to the following requirements: Submit a certification to SEBI confirming that it is capable of discharging the responsibilities of a SCSB. SEBI to include name of the bank in the …

Learn More I am a Bank and want to make a public issue through a book building. Can I act as a SCSB in the issue?

Yes, you can act as a SCSB.

Learn More What is expected to be ensured by the issuer?

Issuer shall, in consultation with Lead managers, ensure the following: Registrar to issue appointed by the issuer has capability to comply with the procedures laid down by SEBI for ASBA and shall treat ASBA and Non‐ASBA application at par. Sufficient number of physical ASBA application forms are printed and made available to all SCSBs. ASBA …

Learn More Does issuer has discretion to appoint SCSBs?

Issuer is deemed to have entered into an agreement with SCSBs who have been recognized as such by SEBI. As such, issuer has no discretion in choosing SCSBs.

Learn More Is issuer required to provide ASBA facility for all issues?

Yes, the issuer is required to provide ASBA mode in all public issues/rights issue where not more than one payment option is given to the investors. For example, if in any public / rights issue provides payment option as shown below shall not be allowed in ASBA facility. Amount Payable per equity Payment Method -I …

Learn More What if the SCSB is not the applicant’s banker?

ASBA forms can be submitted only at the SCSBs. In case investor does not have an account with any of the SCSBs, then he cannot make use of the ASBA.

Learn More Is there a better chance of allotment if one applies in IPO through ASBA?

The chance of getting allotment is same for all the applicants whether application is made through ASBA or non‐ASBA. ASBA is a simple, easy and smart way of applying in public issues. There are many advantages of applying through ASBA like money does not go out of investors’ account, no hassle of refund, investor keep …

Learn More In case a person is having bank account with a branch, for example, at Kolkata can he submit IPO application through ASBA at a branch of the bank in Guwahati.

Yes, this can be done provided that your bank have core banking facility and the ASBA Form is submitted at a branch which is identified as designated branch by the bank.

Learn More What happens when the issue fails/is withdrawn?

In case the issue fails/withdrawn the SCSB shall unblock the application money from the bank accounts upon receiving instructions from the Registrar.

Learn More Will there be any different treatment in allotment for ASBA and Non –ASBA forms?

No. ASBA forms will be treated similar to the non‐ASBA forms while finalizing the basis of allotment.

Learn More Will I get the acknowledgment of receipt for applications submitted through ASBA From the SCSB?

Yes. The SCSB shall give a counterfoil as an acknowledgment at the time of submission of ASBA and also the order number, generated at the time of uploading the application details, if sought by the investors in case of need.

Learn More Are the bids submitted through ASBA and uploaded in the electronic bidding system of the stock exchange, in case of public issue through book building, reflect in the demand graphs displayed in the website of stock exchanges?

Are the bids submitted through ASBA and uploaded in the electronic bidding system of the stock exchange, in case of public issue through book building, reflect in the demand graphs displayed in the website of stock exchanges?

Learn More Can I apply in an issue through ASBA facility and through “normal existing system of payment through cheque” in an issue?

No. An investor can apply either through ASBA or through existing system of payment through cheque. If an applicant applies through both, ASBA as well as non‐ASBA then both the applications having the same PAN, will be treated as multiple application and hence will be rejected.

Learn More Can I submit my ASBA to a broker as is being done in the present issue process applying through cheque?

You are required to submit ASBA to the SCSBs only.

Learn More Do I necessarily need to have a DP account with the SCSB where I intend to submit the ASBA application?

No. Investors need not necessarily have their DP account with the SCSB, where they are submitting the ASBA form.

Learn More If I withdraw my bid made through ASBA, will the bank account be unblocked immediately?

If the withdrawal is made during the bidding period, the SCSB deletes the bid and unblocks the application money in the bank account. If the withdrawal is made after the bid closure date, the SCSB will unblock the application money only after getting Appropriate instruction from the Registrar, which is after the finalization of basis …

Learn More 14. Whether my bank account will be blocked or only the amount to the extent of application money is blocked?

No. the entire bank account will not be blocked. Only the amount to the extent of application money authorized in the ASBA will be blocked in the bank account. The balance money, if any, in the account can still be used for other purposes.

Learn More Can I withdraw my ASBA bids? If yes, how?

Yes, you can withdraw ASBA bids. During the bidding period you can approach the same bank to which you had submitted the ASBA and request for withdrawal through a duly signed letter citing your application number, TRS number, if any. After the bid closure period, you may send your withdrawal request to the Registrars before …

Learn More Can I use the existing application form for public issues for applying through ASBA?

Investor is requested to check the form carefully. In case of public issue, the application form for ASBA will be different from the existing application form for public issues. The application forms will be available with designated branches of SCSB. In case of rights issue, there will not be a separate form for ASBA. The …

Learn More Am I required to submit ASBA only physically?

No, you can either fill up the physical ASBA form available with SCSB and submit the same to the SCSB or apply electronically/online through the internet banking facility (if provided by your SCSB).

Learn More How many applications can be made from a bank account?

Five (5) applications can be made from a bank account per issue.

Learn More Can I submit ASBA in any of the banks specified in the list of SCSBs?

No, ASBA can be submitted to the SCSB with which the investor is holding the bank account.

Learn More What is Self certified Syndicate Bank (SCSB)?

SCSB is a bank which is recognized as a bank capable of providing ASBA services to its customers. Names of such banks would appear in the list available on the website of SEBI. [Also see answer to question (6)]

Learn More Where should I submit my Application Supported by Blocked Amount (ASBA)? How shall I know which bank and which branch of that bank is the designated branch for accepting ASBA applications?

List of Self Certified Syndicate Banks (SCSBs) and their designed branches i.e. branches where ASBA application form can be submitted, is available on the websites of BSE ( www.bseindia.com ) and NSE ( www.nseindia.com ) and on the website of SEBI ( www.sebi.gov.in ). The list of SCSB would also be given in the ASBA …

Learn More Can I make application through ASBA facility in all issues?

Yes, you can make application through ASBA facility in all the issues i.e. public and rights.

Learn More Is it mandatory for investors eligible for ASBA, to apply through ASBA only?

No, it is not mandatory. An investor, who is eligible for ASBA, has the option of making application through ASBA or through the existing facility of applying with cheque.

Learn More What advantage an investor has in applying through ASBA vis‐à‐vis applying through an application with a cheque?

Applying through ASBA facility has the following advantages: The investor need not pay the application money by cheque rather the investor submits ASBA which accompanies an authorization to block the bank account to the extent of the application money. The investor does not have to bother about refunds, as in ASBA only that much money …

Learn More Who can apply through ASBA facility?

SEBI has been specifying the investors who can apply through ASBA. In public issues w.e.f. May 1, 2010 all the investors can apply through ASBA. In rights issues, all shareholders of the company as on record date are permitted to use ASBA for making applications provided he/she/it: Is holding shares in dematerialized form and has …

Learn More Detailed procedure of applying in IPO through ASBA.

Under ASBA facility, investors can apply in any public/ rights issues by using their bank account. Investor submits the ASBA form (available at the designated branches of the banks acting as SCSB) after filling the details like name of the applicant, PAN number, Demat account number, bid quantity, bid price and other relevant details, to …

Learn More What is “ASBA”?

ASBA means “Application Supported by Blocked Amount”. ASBA is an application containing an authorization to block the application money in the bank account, for subscribing to an issue. If an investor is applying through ASBA, his application money shall be debited from the bank account only if his/her application is selected for allotment after the …

Learn More ASBA (Application Supported by Blocked Amount):

Our Bank is SEBI approved SCSB (Self Certified Syndicate Banker) and provide ‘ASBA’ facility to our account holders through our all This facility is made available to the holders of savings account, current account, FDOD accounts, Cash Credit. against shares and Cash Credit against Govt. Securities. Investors can apply in any public/ rights issues by …

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