India's Biggest IPO ever
Life Insurance Corporation (LIC) of India is an Indian insurance and investment corporation headquartered in the city of Mumbai. It is under the ownership of Ministry of Finance, Government of India. LIC is the largest insurance company in India with about 28 crore policies in force equalling a sum of ₹45 lac crores. The Cabinet Committee on Economic Affairs approved the IPO in July 2021. The GOI is planning to raise funds up to ₹1 lakh crore through this IPO, making this India's biggest IPO till date.
LIC IPO Key Facts
|
LIC IPO KEY FACTS |
IPO Date | 4th to 9th May 2022 |
| Listing Date | 17th May 2022 |
| Price Range | ₹902 to ₹949 |
| IPO Size | ₹19517 - ₹20557 cr |
| Lot Size | 15 Shares |
| Policy Holder Discount | ₹60/share |
| LIC Employee Discount | ₹45/share |
| Retail Discount | ₹45/share |
For existing LIC policyholders
There is a "Policyholder" category introduced for the LIC IPO where 10% of the total issue is reserved for customers who hold policies of LIC. The two criteria's to be eligible as an LIC policyholder through Centrum Broking are:
- Your PAN has to be updated in the LIC records.
- The PAN used for LIC policies has to be the same as that recognised with your Centrum Broking Account.
Why you should apply for this IPO
- Highest market share in the country - Market share commanded (FY’21): 66.18% (1st year premium) / 74.58% (NoP)
- Higher Issue Size - This tackles the main issue of most IPOs as it will increase the probability of allotment chances
- Great Long Term Investment - The Life Insurance Industry as a whole is growing at 22.5% annually. Probability of a higher return on investment in the long-term.
- 10% of the total issue size is reserved for policyholders - LIC policyholders can apply for this IPO under special quota and we are also expecting a discount for policyholders which will increase the return on investment.