LIC IPO Details
Finance Minister Nirmala Sitharaman announced in the Union Budget 2021 speech that the Life Insurance Corporation of India IPO (LIC IPO) will be launched in the financial year 2021-22.
LIC IPO All Details
|Price Band||₹ 902-949 per equity share|
|Opening Date||4 May 2022|
|Closing Date||9 May 2022|
|Listing Date||17 May 2022|
|For Policyholders||₹ 60 per equity share Discount|
|For Retail Investors||₹ 45 per equity share Discount|
|Eligible Employees||₹ 45 per equity share Discount|
LIC IPO Share Price:
LIC IPO share price is ₹902-949 per equity share. LIC share price is not a mystery for investors now.
LIC Issue Size
Currently, 100% stake in LIC is owned by the government. After the listing of LIC, It is going to be the country’s biggest company by market capitalization with an estimated valuation of 8 to 10 lakh crores.
LIC will become India’s second most valued company after Reliance Industries Ltd. Ahead of marquee names such as HDFC Bank, TCS, Infosys, and Hindustan Unilever Unilever Limited (HUL).
While presenting the Union Budget 2021, FM added that the Niti Aayog is working on the next list of Central PSUs for strategic disinvestment.
How to buy Life Insurance Corporation of India IPO?
According to recent reports, 1 crore new Demat accounts will also be opened before the launch of the IPO.
How to buy an LIC IPO?
Investing in it is easy. Here are the steps you should follow.
- – First, log into your online trading from your preferred web browser using your credentials.
- – Once you are logged in, click on the ‘IPO’ section.
- – Click on the ‘Place an Order’ tab.
- – Choose the IPO that you wish to invest in and click on the ‘Place Order’ button.
- – Enter the bid details and click on the ‘Confirm Order’ button.
- – You will be asked to either confirm your bid or modify it.
- – Upon confirming your bid, click on ‘OK.’
- Open a Demat account to invest in the LIC.
Advantages of the upcoming IPO of LIC?
IPO launch of LIC has many merits, Let’s discuss some of them:
- The IPO would attract more foreign investments,
- There’s absolutely zero adverse impact on policyholders employees and other stakeholders,
- It would allow Retail individual investors to take part in the wealth creation process of LIC,
- As the stake sale is not more than 10%, the control will still remain in the hands of the government over the operations of LIC.
FAQ’s – LIC IPO
1. Will the LIC IPO benefit the existing policyholders?
Ans. Yes, they may benefit from better transparency in the operation and governance aspects of the insurance company. Also, if the LIC IPO launches with a special quota for existing policyholders, LIC policyholders may get a chance to invest in the LIC IPO. Existing policyholders will get a discount of ₹60 per equity share.
2. Will LIC IPO impact the existing policyholders?
Ans. Not at all. It would not impact in any way.
3. How will the LIC IPO impact the employees?
Ans. Probably, The IPO will launch with a special reservation portion for its employees. This would allow the employees of the company to invest in the upcoming LIC IPO.