Who are Anchor Investors? How is allocation made to Anchor Investors?

Who are Anchor Investors? An 'Anchor Investor' means a Qualified Institutional Buyer (QIB) who makes an application for a value of at least: ₹10 crore in a public issue on the main board made through the book-building process, or ₹2 crore for a public issue on the Small and Medium Enterprises (SME) exchange made in accordance with Chapter IX of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. Allocation to Anchor Investors Allocation to anchor investors is on a discretionary basis and subject to the following: I. In case of public issue on the main board, through the book-building process: Up to ₹10 crore: Maximum of 2 such investors shall be permitted for allocation. Above ₹10 crore and up to ₹250 crore: Minimum of 2 and maximum of 15 such investors shall be permitted, subject to a minimum allotment of ₹5 crore per such investor. Above ₹250 crore: A minimum of 5 such investors and a maximum of 15 such investors for allocation up to ₹250 crore, and an additional 10 such investors for every additional ₹250 crore or part thereof, shall be permitted, subject to a minimum allotment of ₹5 crore per such investor. II. In case of public issue on the SME exchange, through the book-building process: Up to ₹2 crore: Maximum of 2 such investors shall be permitted for allocation. Above ₹2 crore and up to ₹25 crore: Minimum of 2 and maximum of 15 such investors shall be permitted, subject to a minimum allotment of ₹1 crore per such investor. Above ₹25 crore: A minimum of 5 such investors and a maximum of 15 such investors for allocation up to ₹25 crore, and an additional 10 such investors for every additional ₹25 crore or part thereof, shall be permitted, subject to a minimum allotment of ₹1 crore per such investor. Additionally, up to 60% of the portion available for allocation to qualified institutional buyers shall be available to anchor investor(s) for allocation/allotment ('anchor investor portion'), and one-third of the anchor investor portion shall be reserved for domestic mutual funds.