IPO listing day explained: pre-open, listing price and listing gain

Allotted shares list on the exchange on T+3 (three working days after the issue closes). On that morning the exchange runs a special pre-open session to discover the first price.

Listing price and gain

• Listing price: the price at which the stock opens after the special session.
• Listing gain % = (listing price − issue price) ÷ issue price × 100.
• Gain per lot = (listing price − issue price) × lot size.

Example: issue price ₹100, listing price ₹118 → 18% gain; with a lot of 150 shares that is ₹2,700 before charges.

After listing

The price can move a lot in the first days, and price limits (circuit filters) set by the exchange apply. Decide your plan before you apply: some investors sell on listing, others hold for the long term. Selling soon after listing is taxed as short-term capital gain, see IPO taxation.

Do not confuse

The listing gain is measured against the issue price, not against the grey-market estimate and not against your bid.

Frequently asked questions

When do allotted shares appear in my demat?

Normally on T+2, the day before listing.

Last updated 2026-10-20. Information only, not investment advice.