What is the difference between Upper Price and Cut-Off Price for a Book Building Issue?

There are two types of IPO- Fixed Price Issue and Book Building Issue. In Fixed Price, as the name suggests, the issue price is fixed. In Book Building, the company gives a price range within which you have to bid.

Retail investors have the option to bid at cut-off price which means that the investor is ready to pay whatever price the company decides at the end of the IPO.

In most cases, the cut-off price is same as upper level price. However, they don't need to be same all the time.