LIC IPO the much-awaited mega IPO is ready to hit the markets on March 10th 2022. Life Insurance Corporation, LIC filed its draft Papers on 13th february 2022 and is all set to hit the market around March.
Termed as the biggest IPO to hit the Indian markets, the government is looking for a 5-10 percent equity in LIC, which has now been made IPO-ready with over 27 legislative changes to the Life Insurance Corporation Act, 1956 through the Finance Act, 2021. It will be completely an Offer For Sale (OFS) IPO.
The Draft Red Herring Prospectus (DRHP) was filed with SEBI on 13th Feb 2022. The government has its card on the LIC IPO to pull off its current fiscal year disinvestment target of ₹1.75-lakh crore, nearly six times what it raised in 2020-2021.
About The Company
Established in the year 1956, LIC is the only Government-owned insurance firm in India. The insurance company was at first set up by merging 245 insurance companies. It is spread all over India with around 2048 branches all over the country.
With its tagline, Zindagi ke saath bhi, Zindagi ke baad bhi, LIC has around 1.14 Lakhs employees with its huge Agent networks of around 13.5 Lakhs. LIC includes different types of Life Insurance plans, money-back plans, term insurance, medical insurance plans, and riders insurance.
LIC includes itself in other businesses like LIC Housing Finance, LIC Mutual Fund, and LIC Pension Funds. It acquired IDBI bank in 2019. If capitalists agree with the recommendations given by the Centre, LIC would certainly be at par or above the organization of India’s most significant companies, Reliance Industries Ltd and also TCS which have the highest market cap respectively.
LIC IPO Promoters
- The President Of India, Acting through the Ministry Of Finance, Government Of India.
LIC IPO Details
| IPO Details | LIC |
| Issue Period | Opening Date: 10-03-2022 Closing Date: 14-03-2022 |
| Price Band | ₹2000 – ₹2100 per equity share |
| Issue Size | ₹- |
| Face Value | ₹10 per equity share |
| Issue Type | Book built issue |
| Fresh Issue | N/A |
| Offer for sale | 31,62,49,885 Eq Shares of ₹10 face value (aggregating up to ₹[.] cr) |
| Listing | NSE and BSE |
| Registrar | KFin Technologies Private Limited |
*Price band is subjected to change. The above price band is as per the IPOs market cap valuation scenarios.
LIC IPO Timeline
LIC IPO will open on 10th March 2022 and the issue will close on 14th March 2022.
| IPO Opens | 10-03-2022 |
| IPO Ends | 14-03-2022 |
| Allotment Begins | 17-03-2022 |
| Refund Initiation | 21-03-2022 |
| Allotment Date | 22-03-2022 |
| Listing Date | 23-03-2022 |
LIC IPO Lot Size (Retail Individual Investors)
| Applications | Lots | Shares | Amount(Cut-off) |
| Minimum | 1 | 7 | ₹14,700 |
| Maximum | 13 | 91 | ₹191,100 |
LIC IPO Investor Category
LIC IPO has 35% of the net offer under the Retail Category and 10% of the net offer for Policyholders.
| QIB (Qualified Institutional Buyers) | 50% |
| NII (Non-Institutional Investors) | 15% |
| RII (Retail Individual Investors) | 35% |
LIC IPO For Policyholder
There is a special percentage of quota for LIC policyholders too and as per reports, up to 10 percent of the issue size would be reserved for policyholders. Read more for all the details related to Policyholders, PAN Card linking, updating, and Demat account details.
LIC IPO GMP
LIC IPO has started trading in the grey market and to everyone’s surprise the grey market premium aka GMP is running at a discount right now. The GMP of LIC IPO is -₹50 currently.
LIC IPO Review
No reviews are out in the meantime. A detailed review will be updated once the valuations, price band, and other details are out through the DRHP.
LIC IPO Book Running Lead Manager(s)
- Kotak Mahindra Capital Company.
- Axis Capital.
- BofA Securities.
- Citigroup Global Markets.
- Nomura Financial Advisory.
- Goldman Sachs (India) Securities.
- ICICI Securities.
- JM Financial.
- JP Morgan India Private Limited.
- SBI Capital Markets.
LIC IPO Registrar
KFin Technologies Private Limited
Tel: +91 40 6716 2222
Company Contact Details
Life Insurance Corporation Of India
Yogakshema Building,
Jeevan Bima Marg,
P.O. Box No – 19953,
Mumbai – 400 021
IRDAI Reg No- 512
Phone:+91-022 6827 6827