UNDERSTANDING BOOK BUILDING PROCESS IN INDIA

Book building is a process of price discovery used in initial public offerings (IPOs) in India.

It involves the issuance of securities to investors who bid for them at various prices.

The process is regulated by the Securities and Exchange Board of India (SEBI).

Book building helps companies determine the demand for their securities and the price at which they should be offered.

It also allows investors to participate in the price discovery process and potentially get better prices for the securities they want to buy.

The bidding process is open for a few days, and investors can revise their bids during this period.

Once the bidding process is complete, the final price is determined, and the securities are allotted to investors who bid at or above this price.