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10.7What is the issue size?

1What is it?

The issue size is the total amount raised in the IPO: number of shares offered × issue price.

2Why does it exist?

It shows how big the IPO is. Very large issues need lots of demand; small issues can get heavily oversubscribed.

3Calculation
Issue size = Shares offered × Price
  1. 10 crore shares × ₹300 = ₹3,000 crore.
Issue size = ₹3,000 crore.
4Quick revision
  • Shares × price.
  • Includes fresh issue + OFS.
5Knowledge check
Q1. 5 crore shares × ₹200?Show answer

₹1,000 crore.

Q2. Issue size includes which two parts?Show answer

Fresh issue and offer for sale.

Q3. Why does size matter?Show answer

It affects demand and subscription.

More in Level 10: IPO: Initial Public Offering