Lot size is the minimum number of shares an investor can apply for in an IPO. The issuer fixes the lot size such that one lot at the upper price band is approximately ₹14,000-15,000 — for example, an IPO with a ₹290 upper band would have a lot size of 50 shares (₹14,500 per lot). SME IPO lots are higher — calibrated to ₹1 lakh minimum per retail bid.
Applicants must bid in multiples of the lot size. Retail can apply for 1 to approximately 13 lots, staying under the ₹2 lakh retail cap. HNI / NII applicants apply for 14 or more lots, exceeding ₹2 lakh. The exact maximum retail lots depends on the upper price band and the lot size.
Lot size also affects allotment mechanics on oversubscribed issues. The minimum allotted is always one lot — never fractional lots. This means on heavily oversubscribed issues, even successful retail applicants typically get exactly one lot, regardless of whether they bid for one lot or thirteen.