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Cut-off Price vs Bid Price Calculator

IPO book-building lets you bid "at cut-off" or at a specific price within the band — the choice affects whether your bid is even considered for allotment, not just what you pay. See the outcome for each choice before you apply.

Your Bidding Choice

Allotment Price (if allotted)

₹100

Every allotted retail investor pays the same discovered cut-off price, regardless of whether they bid at cut-off or at a specific price at or above it.

Amount Blocked (ASBA)

₹15,000

Always blocked at the cap price, upfront

Refund After Allotment

₹0

If cut-off is below cap price

The "bid at cut-off" option is available only to Retail Individual Investors (RIIs) on Mainboard IPOs — it is not available for SME IPO applications, where every investor must bid at a specific price within the band. QIB and NII/HNI categories must always bid at a specific price too.

How the Cut-off Price vs Bid Price Calculator works

The cut-off price is the single final price discovered by the book-building process once bidding closes — every allotted retail investor pays exactly this price, never their own bid price. Retail Individual Investors (RIIs) get a special option to bid "at cut-off"— effectively saying "I'll pay whatever the final price turns out to be" — which guarantees your bid is considered regardless of where the cut-off lands within the band.

If you instead bid at a specific price within the band and that price ends up below the discovered cut-off, your bid is not considered for allotment at all — it isn't allotted at a worse price, it simply doesn't participate. Bid at or above the cut-off and you're allotted at the cut-off price like everyone else, refunded the difference from your specific bid (or from the blocked cap-price amount).

Regardless of which option you choose, ASBA always blocks funds at the cap price(the top of the band) × your applied quantity at the time of application — the difference between that blocked amount and the actual cut-off price is unblocked once allotment is finalised. Note: the cut-off option is available only to retail investors on Mainboard IPOs — SEBI's 2025 ICDR amendment removed the cut-off option entirely for SME IPOs, where every investor bids at a specific price. QIB and NII/HNI categories must always bid at a specific price too, on both Mainboard and SME.

Disclaimer: This calculator is for educational purposes only and does not constitute investment advice. Always read the Red Herring Prospectus and verify current rates before applying for any IPO.

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