Product Note – LIC IPO
|Issue Open||May 04, 2022|
|Issue Close||May 09, 2022|
|Price Band||902 – 949|
|Retail Cat||45 Discount|
|Policy Holder Reservation||60 Discount|
|Employee Reservation||45 Discount|
IPO Issue Details
|Issue Size||Offer for Sale of up to 221,374,920 Equity shares|
|Policy Holders Reservation||22,137,492 Equity Shares|
|Employee Reservation||1,581,249 Equity Shares|
|QIB||50% of Net Offer (Approx. 98,828,089 Shares)|
|NIB||15% of Net Offer (Approx. 29,648,427 Shares)|
|Retail||35% of Net Offer (Approx. 69,179,663 Shares)|
|Listing||BSE & NSE|
|Registrar||KFIN Technologies Ltd|
Retail Price Chart
|Lot||No of Share||Amt @cutoff|
Note :- Application made using third party UPI & ASBA Bank A/C is liable to rejected
IPO Overview of Life Insurance Corporation of India (LIC)
LIC is India’s largest life insurer, providing insurance for life in India since 1965.
- 61.6% market share for premium (or GWP)
- 61.4% market share for new business premium (or NBP)
- 71.8% market share based on the number of policies issued
- 88.8% market share for the nine months ending December 31, 2021 in terms of the number of group policies issued, as well by the number individual agents. 55% of Indian individual agents were represented as of December 31, 2021.
Policy Holder Check before Apply
LIC Policy Date :- Only Policy Holders who purchased their policy before 13 Feb 2022 are eligible for this benefit.
PAN Link with LIC policy :- LIC policy holders who wish to claim 10% reserve quota benefits should have a PAN-linked LIC Policy.
Eligibility of joint policyholders Joint policyholders will be eligible to claim a 10% quota benefit.
Who can apply under the policyholder category? All policyholders, except for group policies, are eligible to apply under the policyholders’ category.
NRIs with LIC policies will not be able to apply for the quota reserved for policyholders.
Lapsed LIC Policyholder: If a lapsed LIC insurance policy has expired, the policyholder could apply under the policyholder category to claim a 10% quota benefit.
LIC IPO- FAQs
What happens if I have more than one policy?
All policy numbers can be combined if you have multiple policies. You can only apply once for the IPO, regardless of whether you have multiple policies.
Non-policyholders can participate in the IPO?
Yes, everyone can apply for the IPO. Non-policyholders may apply for the institutional investors or retail investors category. You may not be eligible for the same benefits as policyholders.
Are seniors allowed to participate in the IPO of LIC?
Anyone with a valid PAN Card and a Demat account can apply to invest in IPO shares.
I am the proposer of a policy for my minor child. What is the Policyholder Reservation Portion?
You are the policyholder and therefore eligible to reserve under the Policyholder Reservation Portion.
Is there a lock-in period LIC IPO?
Shares allotted to the IPO have no lock-in period
Are joint policyholders allowed to apply for share allocation?
Joint policyholders can’t apply for share allocation individually. Under the Policyholder Reserve Portion, only one of the two policyholders can bid for the IPO. All other applicants can apply with their PAN cards under the retail category.
Is it possible for a policyholder to apply for an IPO through a Demat Account of another person?
To be eligible for the IPO, a policyholder who uses the Policyholder Reserve Portion must have their Demat Account. You can open a Demat account with a Depository Participant if you don’t have one.