cost of an IPO

mrdrunkenalien · 1 cost of an IPO Sat Mar 12, 2011 9:51 pm

mrdrunkenalien

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Once upon a time....
I applied for 60,000 UB shares
- got 300 shares - cost is 25 x 300 = 7500
- lost the interest of 1.5m ( 60000x25) for almost a month. Assuming 10% interest rate, this is 1,500,000*0.1/12 = 12500

So my total cost for 300 shares = 12,500 + 7500 = 20,000
cost per share = 66.67

And i lived happily ever after.

Typical story of IPOs?
I wonder why we all jump in so happily...

wikum100 · 2 Re: cost of an IPO Sat Mar 12, 2011 11:04 pm

wikum100

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i applid only 100 and got 100 and cost for share is 25 and i am happy
more greed for money will result in lot of sorrow
:tanha jayathi soko:

Fresher · 3 Re: cost of an IPO Sat Mar 12, 2011 11:35 pm

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wikum100 wrote:i applid only 100 and got 100 and cost for share is 25 and i am happy
more greed for money will result in lot of sorrow
:tanha jayathi soko:

not a joke, but what about MARA.R0000 ? Rolling Eyes

wikum100 · 4 Re: cost of an IPO Sun Mar 13, 2011 12:19 am

wikum100

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npp wrote:

wikum100 wrote:i applid only 100 and got 100 and cost for share is 25 and i am happy
more greed for money will result in lot of sorrow
:tanha jayathi soko:

not a joke, but what about MARA.R0000 ?

thanks for remembering me...well now mara.r is trading around 1.80 ... iam planning to buy more shares on monday around 1.50 and dilute the lost ...other than that i have no other choise.....what do you think?

wis · 5 Re: cost of an IPO Sun Mar 13, 2011 7:59 am

wis

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Another scenario. (Hope I got the numbers correct.)

Cash 60,000 * 25 = 1,500,000 ( Are you working at customs? Wink

)
Invest in IPO LGL.X @ 15 = 100,000 shares
You get 30% that is 30,000 shares @ 15 = 450,000
You could have sold recently at around 40 = 1,200,000
Gross profit = 740,000

I think everything depends on using your head and applying for a reasonable number according to the IPO. Future IPOs have better allocations.

Fresher · 6 Re: cost of an IPO Sun Mar 13, 2011 8:38 am

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wikum100 wrote:
thanks for remembering me...well now mara.r is trading around 1.80 ... iam planning to buy more shares on monday around 1.50 and dilute the lost ...other than that i have no other choise.....what do you think?

refer the other thread Smile