By ipomarket.in Editorial Team · Last reviewed: 2026-10-02
Disclaimer: This article is for informational purposes only and does not constitute investment advice. IPO investments are subject to market risks. Please read the offer document carefully and consult a SEBI-registered investment advisor before investing.
If you follow IPOs on YouTube, LinkedIn or broker apps, you have probably seen the short explainer videos that now accompany most new issues. Some are official. Many are not. This guide shows you how to tell the difference and how to check whether the claims hold up, using free public sources, in roughly ten minutes.
The good news: the regulator has already done a lot of the heavy lifting. Your job is to check the homework.
Why IPO videos exist now
In May 2024, SEBI directed companies planning IPOs to publish a roughly 10-minute video covering the key features of the issue. The stated aim was investor awareness, so retail investors who do not read the full offer document can still grasp the basics of the business and the offer.
According to the mandate, the video should cover the company's business, promoters, management, financial information, pending legal matters, risks and other details that usually appear in the Draft Red Herring Prospectus (DRHP). SEBI also set content standards: the video must be factual, non-repetitive, non-promotional and not misleading in any manner.
The timeline, as reported: the guideline was voluntary for companies filing DRHPs from 1 July 2024 and became applicable for draft documents filed after 1 October 2024. The videos were initially to be made available in English and Hindi.
Crucially, SEBI also advised investors not to rely on other information about the issue circulating on social media platforms and from finfluencers. That single line tells you where to point your attention: the official channels, not the loudest ones.
If you want a primer on the underlying document these videos summarise, see our guide on what a DRHP is and how to read it.
The 10-minute validation framework
Split your ten minutes across four short checks. You do not need a Bloomberg terminal, only a browser, your patience and the offer document.
Step 1: Is the video even official? (about 1 minute)
Start by confirming the source. Per the SEBI mandate, the official video is to be hosted on the issuer's website and social media, on the website of the Association of Investment Bankers of India (AIBI), and made accessible in the offer documents through a QR code.
So ask:
- Is the video on the company's own website or the AIBI site, or is it a third party's re-upload?
- Does the offer document carry a QR code that leads to it?
- Does a random influencer video claim to be "the official IPO video"? It probably is not.
A re-uploaded or commentary version is not the same as the issuer's disclosure. Treat third-party videos as opinion, not disclosure, however polished they look. Our explainer on sponsored IPO content versus independent reviews is worth a read here.
Step 2: Cross-check the claims against the DRHP (about 4-5 minutes)
The DRHP is the authoritative source. It is filed with SEBI and the stock exchanges, then opened to public comments for a minimum of 21 days, and it must be prominently displayed on the issuer's website.
Open the DRHP (or the later RHP) and match what the video says against the document:
- Financials. Any revenue, EBITDA or profit figure quoted in the video should match the audited financial statements in the offer document. If the video shows only its best year, check the full three-year record yourself.
- Promoters and management. Verify the shareholding structure and who the promoters actually are, rather than trusting the on-screen framing.
- Use of proceeds. Compare the "objects of the issue" in the DRHP with how the video describes where the money goes. Fresh-issue money funding growth is different from an offer for sale, where existing holders cash out.
- Risk factors. This is the section videos tend to rush. Read it. Litigation, tax disputes, customer concentration and regulatory issues live here.
If financial tables intimidate you, our walkthrough on how to analyse IPO financials from the RHP breaks down what to look at first.
A quick sanity check on eligibility also helps. For a mainboard IPO under SEBI's ICDR framework (Regulation 6(1), as amended in March 2025), reported thresholds include minimum average operating profit of Rs 15 crore over three years, net tangible assets of Rs 3 crore and net worth of Rs 1 crore. SME norms differ; recent amendments reportedly require minimum EBITDA of Rs 1 crore in two of the last three financial years, cap the offer-for-sale portion at 20% of issue size, and bar using IPO proceeds to repay promoter or related-party loans. If a video glosses over which route the company took, that is a gap worth noting. See mainboard versus SME IPO differences for the distinction.
Step 3: Confirm the numbers on NSE, BSE and the registrar (about 2-3 minutes)
Once an issue is live, the exchanges carry the official, real-time data. Use them instead of screenshots forwarded on messaging apps.
- Price band and issue details: the official NSE and BSE IPO pages.
- Subscription status: check the live figures on the NSE and BSE portals rather than trusting a video's claim of "heavily oversubscribed".
- Allotment and timelines: the registrar (for example KFin/MUFG Intime, Bigshare, Link Intime) publishes the authoritative status.
All of these checks are free and typically need only your PAN or application details. Our guide on checking IPO allotment status across all registrars lists the portals.
Step 4: Run a quick red-flag scan (about 1-2 minutes)
Finally, scan for the things SEBI itself tends to query:
- Under-disclosed related-party transactions, off-market pricing, or transactions without board approval. SEBI frequently questions deals where the pricing basis is not explained.
- Material changes after DRHP filing. SEBI requires merchant bankers to disclose developments that cross pre-defined materiality thresholds, whether in business, financials, litigation or management. Check exchange notifications for any such updates the video may predate.
- Grey market premium framing. If a video leans on GMP to build excitement, remember it is unregulated market chatter. A strong GMP can be a signal, but it is not a substitute for reading the fundamentals. We explain the limits in what IPO GMP is and how it works.
What official sources cannot tell you
Be honest about the boundaries of this exercise. There is no public data on what share of IPO videos actually comply with SEBI's factual, non-promotional standard, how often videos are pulled for non-compliance, or whether the 10-minute format has measurably improved retail understanding. Validation confirms whether claims match the record. It does not tell you whether the IPO is a good investment. That is your own analysis, ideally with a SEBI-registered adviser.
Putting it together
The method is deliberately simple: confirm the source, match the claims to the DRHP, verify live numbers on NSE, BSE and the registrar, then scan for red flags. If a video's claims survive all four checks, you at least know you are working with accurate information. If they do not, you have learned something more valuable than any tip.
FAQ
Is every IPO now required to have a 10-minute video?
Per SEBI's mandate, the video was voluntary for DRHPs filed from 1 July 2024 and applies to draft documents filed after 1 October 2024. Confirm the specifics for a given issue against the official offer document, as implementation details can change.
Where can I find the official IPO video?
SEBI's mandate says it should be on the issuer's website and social media, on the AIBI website, and accessible via a QR code in the offer documents. A video hosted only on a third-party channel is not the official disclosure.
Can I trust the subscription and GMP numbers shown in a video?
For subscription figures, check the live data directly on the NSE and BSE portals. GMP is unregulated grey-market commentary and is not governed by SEBI, so treat it as a rough sentiment signal at best, not a fact.
What is the single most useful document to cross-check against?
The DRHP (and later the RHP). It carries the audited financials, promoter details, use of proceeds and risk factors, and must be displayed on the issuer's website. Almost every claim in a video can be checked against it.
Does a compliant, well-organised video mean the IPO is a good investment?
No. Validation only confirms whether the information is accurate and properly disclosed. Whether to invest depends on valuation, fundamentals and your own risk tolerance, which is a separate exercise.
Last reviewed: 2026-09-13.