Credit of Shares to Demat
Credit of Shares to Demat is the process of transferring allotted IPO shares into an investor's demat account.
Once IPO shares are allotted to an investor, they are not handed over physically. Instead, they are credited electronically to the investor's demat account by the registrar.
Key points:
Happens after the basis of allotment is finalised
Usually completed within 1-2 working days before listing
Investors can check their demat account or the registrar's website to confirm credit
If no shares are allotted, the blocked ASBA amount is simply unblocked instead
Example:
If you are allotted 50 shares in an IPO, these 50 shares appear in your demat account holdings a day or two before the stock lists on the exchange.