The initial public offering (IPO) of Life Insurance Corporation of India opened for subscription today. The public issue will close on May 9. The insurance behemoth stated that it has garnered around ₹ 5,627 crore from anchor investors ahead of the IPO.

Here's Your 10-Point Cheat-Sheet To This Big Story:



  • The price band for LIC IPO is ₹ 902-949 per equity share.
  • LIC policyholders will get a discount of ₹ 60 per equity share, while retail investors and employees will get a discount of ₹ 45 on each share.
  • Investors can bid for a minimum of 15 shares (one lot) for ₹ 14,235 at the upper end of issue price.
  • LIC shares would get listed at the stock exchanges on May 17.
  • The Centre plans to raise ₹ 21,000 crore by diluting a 3.5 per cent stake in LIC.
  • For an IPO, the valuation would be the highest ever in the Indian market. Before this, the highest fundraise was seen in Paytm IPO last year at ₹ 18,300 crore and Coal India in 2010 at ₹ 15,200 crore.
  • LIC has approached its policyholders through SMS and other medium to inform them about the share sale.
  • LIC has been informing about the IPO for several months through various channels including print and TV advertisements.
  • The country's largest insurer reduced its IPO size to 3.5 per cent from 5 per cent decided earlier due to the prevailing market condition.
  • LIC was formed by merging and nationalising 245 private life insurance companies on September 1, 1956, with an initial capital of ₹ 5 crore.


GMP of LIC IPO

The initial public offering of the Life Insurance Corporation of India has commanded a 9 percent premium over its upper price band in the grey market as the Rs 21,000-crore issue opens for subscription on May 4.

In fact, the traded grey market premium has increased from 5 percent, quoted last week.

As per the data by IPO Watch and IPO Wala, LIC traded at a premium of Rs 85 per share in the grey market on Wednesday, against Rs 45 premium last Thursday.

This translated into an expected listing premium for LIC around 10 percent over the upper price band. The price band for the offer is Rs 902-949 per share.

Employees and retail investors will get shares at a discount of Rs 45 a piece to the final offer price, while the discount for policyholders is Rs 60 per share to the final IPO price.


To check status of the allotment using PAN card


https://kosmic.kfintech.com/ipostatus/