LIC IPO is an offer for sale (OFS) by the Government of India and is not a fresh issue of shares by LIC. The government has a 100 percent stake or more than 632.49 crore shares in LIC. The face value of the share is Rs. 10 per share.
The country’s largest insurance company Life Insurance Corporation (LIC) on Tuesday got approval from the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). A media report quoted sources as saying. According to the Draft Red Herring Prospectus (DRHP) filed with SEBI, the government will sell over 22.13 crore equity shares of LIC. A portion of the IPO will be reserved for anchor investors. In addition, up to 10% of the LIC IPO issue size will be reserved for policyholders. It has sold a 4.5 percent stake in a life insurance company for Rs. 20,557.23 crores. The proposal of DRHP i.e. IPO was submitted by LIC to SEBI on 13 February.
This will be the biggest IPO in the history of the stock market.
LIC Public Issue will be the biggest IPO in the history of the Indian stock market. Once listed, LIC’s market valuation will be at par with top companies like RIL and TCS.
LIC IPO Review
For Long Term:- You can go for the long term.
For Listing Gain:- Check GMP before applying for listing gain.
Company Promoters
- President of India
- Ministry of finance
- Government of India
LIC Financial Report ₹(in cr)
| Year | Revenue | Expense | PAT |
| 2019 | ₹ 2645 | ₹ 2.62 | ₹ 2627 |
| 2020 | ₹2731 | ₹ 1.24 | ₹ 2710 |
| 2021 | ₹2986 | ₹ 5.22 | ₹ 2974 |
LIC IPO Date & Details
| IPO Open Date | 04 May 2022 |
| IPO Close Date | 09 May 2022 |
| IPO Size | ₹21,008.48Cr |
| Issue Type | Book Building |
| Fresh Issue | — |
| Offer For sale | 221,374,920 Eq Share |
| Face Value | ₹10/Equity share |
| Price Band | ₹902 to ₹949 |
| Retail Discount | ₹45/share |
| Emp. Discount | ₹45/share |
| List On | NSE & BSE |
| DRHP Draft | Click Here |
| GMP | Click Here |
LIC IPO Market Lot Size (Tentative)
In LIC IPO Minimum of 7 Shares in 1 lot with ₹14,700 application amount. If you want to come under retail investor then you can apply a maximum for 13 Lot, 91 shares with ₹ 191,100 application amount.
| Minimum Lot Size | 15 Share in 1 lot |
| Minimum Amount | ₹14,235 |
| Maximum Lot Size | 210 Share in 14 lot |
| Maximum Amount | ₹199,290 |
LIC IPO Reservation
The reservation for the LIC IPO is like 50% is for QIB, 15% is for NII and 35% is for RII, employee quota is not shared.
| Category | Reservation(%) |
|---|---|
| QIB | 50% |
| NII | 15% |
| RII | 35% |
| EMP | 10% for emp & policyholder |
LIC IPO TimeTable
LIC IPO Listing Date is on 17 May 2022, closing date is 09 May 2022, and are as follows.
| IPO Open Date | 04 May 2022 |
| IPO Close Date | 09 May 2022 |
| Allotment Date | 12 May 2022 |
| Refund Date | 13 May 2022 |
| Credit to Demat Account | 16 May 2022 |
| Listing Date | 17 May 2022 |
Lead Managers of LIC
- Axis Capital Limited
- BofA Securities India Limited
- Citigroup Global Markets India Private Limited
- Goldman Sachs (India) Securities Private Limited
- ICICI Securities Limited
- J.P. Morgan India Private Limited
- JM Financial Consultants Private Limited
- Kotak Mahindra Capital Company Limited
- Nomura Financial Advisory And Securities (India) Pvt Ltd
- SBI Capital Markets Limited
LIC IPO Peer Competitor
- SBI Life Insurance
- HDFC Life Insurance
- ICICI Prudential Life Insurance
About Company
The headquarter of the Life Insurance Corporation of India is in Mumbai. Its offices are in most of the cities of the country. Its more than 10 lakh agents are spread across India. Before independence, there were many insurance companies in India which were specialized in their region or state. In 1956, the Government of India nationalized 245 companies in the country and merged them to form Life Insurance Corporation.
After the merger, the government limited the business of insurance to a government company only, so there was no competition in this business for 44 years. After the year 2002, the government allowed private companies to enter the life insurance sector. Only after this, did the competition start in the field of insurance.
LIC invests most of its funds in Government Bonds, Corporate Bonds. Some part also invests in the share market. Most of the profits from these investments go to the insurance holders. The remaining profit goes to the owner and the Government of India.
Life Insurance Corporation of India also has business in Fiji, Mauritius, UK, Singapore, Bahrain, Bangladesh, Abu Dhabi, Dubai, Kuwait, Oman, Qatar, Kenya, Sri Lanka, Nepal, and Saudi Arabia. Here working through a joint venture, a wholly-owned subsidiary, or an agent.
LIC IPO Registrar
KFintech Private Limited
Phone: 04067162222, 04079611000
Email: lic.ipo@kfintech.com
Website: https://karisma.kfintech.com/
Address
Life Insurance Corporation of India
Yogakshema, Jeevan Bima Marg
Nariman Point, Mumbai 400 021,
Phone: +91 22 6659 8732
Email: Investors@licindia.com
Website: http://www.licindia.in/
LIC IPO FAQs
Q. What is the Price Band of LIC IPO?
The IPO price bands are ₹902 to ₹949.
Q. What is the launch date of LIC IPO?
The IPO opens on 04 May 2022 and closes on 09 May 2022.
Q. LIC IPO Grey market premium?
Grey market premium of LIC IPO is ₹—
Q. Is good to apply for the IPO of LIC?
The company reported a profit of ₹2,974cr in FY 2021 and also had year-on-year growth in profit which is good.
Q. Who is the owner of LIC Now?
Ministry Of Finance and Government of India.
Q. What is the size of the LIC IPO?
The Size of the LIC IPO is worth ₹21,008.48cr.
Q. What is the LIC IPO allotment Date?
LIC IPO allotment date is 12 May 2022.
Q. What is the listing date Of LIC IPO?
The listing date is 17 May 2022 and the IPO list on BSE and NSE.
Q. How to Apply IPO Of LIC through Zerodha?
- Log in to Zerodha KIte application on your mobile.
- Go to Portfolio and Click on IPO.
- You will see the IPO Name “LIC IPO”. Click on Bid Button.
- Enter your UPI ID, Quantity, and Price.
- Submit IPO Application Form.
- Now go to your UPI App on Net Banking or BHIM App to Approve the payment process.
Q. How to Apply IPO Of LIC through Upstox?
- Log in to the Upstox application on your mobile.
- Go to Portfolio and Click on IPO.
- You will see the IPO Name “LIC IPO”.
- Click on Bid Button.
- Enter your UPI ID, Quantity, and Price.
- Submit IPO Application Form.
- Now go to your UPI App on Net Banking or BHIM App to Approve the payment process.
Q. How to Apply IPO Of LIC through Groww?
- Log in to the Groww application on your mobile.
- Now you can see IPOs and Click on IPO.
- You will see the IPO Name “LIC IPO”.
- Click on Bid Button.
- Enter your UPI ID, Quantity, and Price. Submit IPO Application Form.
- Now go to your UPI App on Net Banking or BHIM App to approve the payment process.
Q. How to Apply IPO Of LIC through Paytm Money?
- Log in to the Paytm Money application on your mobile.
- Now you can see Invest is IPOs Section and Click on IPO.
- You will see the IPO Name “LIC IPO”.
- Click on Bid Button.
- Enter your UPI ID, Quantity, and Price.
- Submit IPO Application Form.
- Now go to your UPI App on Net Banking or BHIM App to Approve the payment process.