Investment BankingIntermediate

QIP

Qualified Institutional Placement

A fast way for a listed Indian company to raise money by selling shares only to qualified institutions.

Detailed explanation

QIPs avoid the longer public-issue process and are governed by SEBI's ICDR regulations, including a pricing formula.

Why it matters

A common route for listed companies to raise growth capital quickly.

Key points

  • Only for listed companies.
  • Only qualified institutional buyers.
  • Pricing floor set by SEBI formula.

Related terms

Equity Capital MarketsDilution

More in Investment Banking

Investment BankingMergers & AcquisitionsEquity Capital MarketsDebt Capital MarketsPitch BookDiscounted Cash Flow

Educational content only. Definitions and examples are illustrative and are not investment, tax or legal advice.