A bid is the demand for a security on behalf of an investor that is entered by the syndicate/sub-syndicate members in the system. The two main components of a bid are the price and the quantity.

The person who has placed a bid in the Book Building process.

Odd Lot
Any number of shares less than the market lot makes is defined as an odd lot.

Book Running Lead Manager
The lead merchant bankers appointed by the Issuer Company are referred to as the Book Running Lead Managers. The names of the Book Running Lead Managers are mentioned in the offer document of the Issuer Company.

Market Makers
Marker Maker is an entity which provides two-way quote for particular scrip. The main function of the market maker is to create liquidity in that scrip. (The more details are available in the SEBI circular dated 26th April, 2010.)

Floor Price
The minimum offer price below which bids can not be entered. The Issuer Company in consultation with the Book Running Lead Managers fixes the floor price.

Merchant Banker
An entity registered under the Securities and Exchange Board of India (Merchant Bankers) Regulations, 1999.

Syndicate Members
The Book Running Lead Managers to the issue appoint the Syndicate Members, who enter the bids of investors in the book building system. Syndicate Members are intermediaries registered with SEBI who also carry on the activity of underwriting.

Order Book
It is an 'electronic book' that shows the demand for the shares of the company at various prices on a real time basis.