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I've one question related to oversubscription of IPO. For simplicity, let's assume there is 1 share in a lot and there are 50 shares and hence 50 lots available in retail category. Now 200 applications come for these shares and minimum lots which could be allotted is 1. As per the rule, lucky draw would be done. Suppose in the first lucky, application of Mr. A is selected who has applied for 10 lots. Will he get all 10 lots because there are still more than 10 shares available when his name got selected or he would get just one lot because there is oversubscription ?
Now if the answer is he would get only 1 lot as there is oversubscription, then whether his name would be removed from the lucky draw for further allocation or his name would still be considered as he applied for more lots ?
I think it's a common question but I couldn't find this on the Internet.