Glossary
Subscription: meaning, example and why it matters
How many times an IPO has been applied for compared with the number of shares offered. A figure above 1x means demand exceeded supply and allotment is by lottery or proportion.
Worked example
An IPO offers 1 crore shares and receives bids for 5 crore shares, so it is subscribed 5 times (5x). With demand five times supply, applicants may receive fewer shares than they bid for, or none.
Illustrative numbers for explanation only. They are not market data, a forecast or a suggestion.
Why it matters
It shows how demand compares with supply for each investor category, and it is published while the IPO is open.
Related terms
See it in practice
Frequently asked questions
Does high subscription mean the shares will list higher?
No. It shows demand during the offer, not the price after listing.
Is this page investment advice?
No. Subscription is explained in general terms with illustrative numbers. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser.
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Start learning free →Educational content, not investment advice. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser. Spotted a mistake? Email marketdekho01@gmail.com.