Oversubscription in OFS occurs when bids exceed the base issue size. The seller may offer additional shares under a pre-declared option.
In an Offer for Sale (OFS), oversubscription occurs when the total bids received exceed the base issue size. If this happens, the seller has the option to exercise the oversubscription (greenshoe) option, allowing the sale of additional shares up to the pre-declared limit.
The decision to exercise this option is confirmed on the issue day (T Day) based on demand.
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