Friday, May 9, 2014

Wonderla Holidays IPO allotment to Retail Investors unfair

Individual small retail investors have been hugely disappointed with the IPO of Wonderla Holidays as far as the allotment of shares are concerned. Many individual investors who applied for one or two lots hoping to get shares as per SEBI's minimum allotment rule, have not received any shares. As expected the stock listed at 165 on the listing day as on 9th May 2014 but many of the small retail investors who had the applied in the IPO couldn't gain as they have not been allotted any shares.

There was huge demand for shares in the HNI category which were rumored to have borrowed 4000 crores to apply in the IPO at very high interest rates.

There is a possibility of company management and these HNI investors forming a nexus and gain at the expense of retail investors. There was huge grey market activity in the marketplace as well. As per SEBI rule each retail investors must get minimum allotment to encourage wider participation (See articles below).

Many investors have been complaining about unfair allotment of shares to retail investors and are thinking of complaining to SEBI (see the retail investors reply below).

If you have applied for the Wonderla IPO and haven't got any shares please comment here and let's escalate this matter until we get fair answer to investor's doubt.


  1. I applied for 100 shares at cut off but didn't got any shares. I thought as per SEBI rule I will get minimum no of shares but didn't. I did same thing in Power grid IPO but got my allotment as expected. This is the difference between good and bad companies. I will not apply to any IPO in future.

  2. I applied for 500 and didn't get any...

  3. I applied for 100 at 125 and got nothing. bull shit wonderla :(

  4. I too didn't get any .had applied for 100 at 125.


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