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SYNDICATE MEMBER

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Syndicate Member is an intermediary registered with SEBI and who is permitted to carry on the activity as an underwriter or as a broker. The Book Runner (Merchant Bankers) may appoint those intermediaries who are registered with the SEBI and who are permitted to carry on activity as an „Underwriter‟ as syndicate members. 

The syndicate members are mainly appointed to collect the entire bid forms in a book built issue. He is a member of the Stock Exchange to whom the investor has to submit the IPO Bid/Application form who receives the bid and upload the same on to the electronic book of the stock exchange. He then submits the bid with cheque to the bankers. 

In case of online application, the Syndicate Member/Broker generates the electronic application form and submits the same to the Registrar with proof of having paid the bid amount. 

FUNCTIONS AND ROLES:

(a) A Syndicate Member (Broker) is a member of the Stock Exchange to whom the investor has to submit the IPO Bid/Application form. 

(b) The Syndicate Member receives the bid and uploads the same on to the electronic book of the stock exchange. Bids which are not uploaded into the electronic book are not considered for the purpose of allotment. 

(c) The Syndicate Member then submits the bid with cheque to the bankers. In case of online submits the same to the Registrar with proof of having paid the bid amount.

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