Can retail investors apply for an OFS below the cut-off price?
In an OFS, bids are first collected in the non-retail category, and then on the next day, bidding is opened up for retail investors (where the application value is less than Rs. 2 lacs).
Since 22nd March, 2021, NSE and BSE through their respective circulars have announced that bidding in the retail category can only be done at or above the cut-off price. This ensures that your order will not be rejected just because the bid was placed below the cut-off price.
You will not be able to enter bids below the cut-off price if you are applying in the retail category.