CDSC (Central Depository System and Clearing Limited) has developed a comprehensive web-based application that aligns with the ASBA (Application Supported by Blocked Amount) guidelines. This centralized application aims to streamline the entire issuance process by providing online facilities to various stakeholders. It serves as a centralized web platform, automating the IPO (Initial Public Offering) issuance process and granting access to all market participants. The application offers a range of functionalities, primarily benefiting banks and issue managers. These stakeholders can efficiently process and verify the details of IPO/FPO (Follow-on Public Offering) applicants, including their mentioned Beneficiary Owner Identification (BOID) numbers. By providing this platform, the application simplifies and expedites the application process for investors, enabling them to apply for IPO/FPO/Rights offerings through the internet in accordance with ASBA guidelines.
Purpose of the Service
- Verifies Bank Account Information of the Investors with DEMAT Account Information
- Takes a standing instruction from the client which states that " The client agrees that the bank can debit/freeze the amount from/in his BANK Account if the instruction is initiated for the mentioned BOID (Which is verified by BANK).
- Blocks the Funds in the Investors Bank Account according to the information received from the System
- Debits the Funds as per the information received from the System.
- Releases the blocked amount as per the information received from the system
Applying for IPO using online application
- Investor will get Mero Share login from his/her own DP.
- Investor will submit CRF to his bank and receive CRN.Investor will get an application portal (MY ASBA) activated in his Mero Share application once the bank registers the client to C-ASBA and provides the CRN.
- Investor will apply for the IPO through ASBA portal using his CRN.
- Bank will get the application report to his C-ASBA application.
- Bank will download the freeze instruction file for all the received application and upload to their CBS system.
- Bank will generate and upload Confirmation Report to the system.
- Issue Manager will generate the report and process for the allotment.
- IPO/Right Share can be applied from own Bank account
- An investor need not pay the application money by cheque.
- The investor does not have to worry about refunds.
- The investor continues to earn interest on the application money as the same remains in the bank account.
- The application form is simpler.