How can I subscribe to an IPO?

IPO
Julee asks:

With so much hype around the BlackStone IPO, I was wondering how I could buy shares of an IPO before they start being trading on the market. I remember the Google IPO being priced in the 80s and as soon as trading started it’s price jumped to about $108 or so. Similarly BlackStone’s priced at $31 but the as soon as the market opens the price might change. How could I have gotten it for $31?

Reliance Power the Unluckiest Ipo Ever in India

IPO
Vivien asks:

Today the Reliance Power shares further fell by another Rs. 50 and the shareholders seem to have no where to run. The IPO was listed yesterday and opened below the expected price. The share are continued nose-diving today too. Reliance Power is the first company bearing the Reliance tag and showed losses of the listing day. Some experts are saying that the Reliance Power was aggressively priced and the consequences were very much expected.

In various markets, Reliance Power IPO is considered as the unluckiest IPO and believed to gulp down the market completely.

If you remember, the IPO was oversubscribed heavily and consumed a huge and substantial capital from the market. Due to the hype created by Gray Market, the investors collected all their funds and blocked in this unluckiest issue. There were lacking of the funds in market and some believe that caused lots IPOs to withdraw before their closing dates.

The shareholders are crying badly and many places have seen the demonstration against Mr. Anil Amabani. They say that ADA has played with their emotions cunningly with a lust to just become the richest Indian.



There is a lot of hype about power sector stocks. What is the basis of valuation for Reliance Powers IPO ?

IPO
Sari asks:

I see a lot of hype in terms of valuations of power sector IPOs .. The power sector is regulated with caps on the returns that can be made from such projects. I am trying to understand the valuation basis when subscribing for these IPOs..