CII wants retail quota raised to Rs 10 lakh

NEW DELHI: CII wants the cap on the application amount for retail investors in IPOs to be raised from Rs 1 lakh to Rs 10 lakh. This will provide greater leeway for retail participation, according to CII capital market panel chairman Nimesh Kampani. He said it was necessary to have retail quotas in IPOs to avoid unequal distribution of wealth.

CII has proposed a restructured quota system for IPOs with 35% for individual applications worth Rs 10 lakh and less, 10% for applications worth Rs 10 lakh and more, 10% for applications from corporates, 45% for qualified institutional buyers and 5% for MFs.