9 Things To Know About LIC IPO

Gujarat News, Gujarati News, Latest Gujarati News, Gujarat Breaking News, Gujarat Samachar.

Latest Gujarati News, Breaking News in Gujarati, Gujarat Samachar, ગુજરાતી સમાચાર, Gujarati News Live, Gujarati News Channel, Gujarati News Today, National Gujarati News, International Gujarati News, Sports Gujarati News, Exclusive Gujarati News, Coronavirus Gujarati News, Entertainment Gujarati News, Business Gujarati News, Technology Gujarati News, Automobile Gujarati News, Elections 2022 Gujarati News, Viral Social News in Gujarati, Indian Politics News in Gujarati, Gujarati News Headlines, World News In Gujarati, Cricket News In Gujarati

9 Things To Know About LIC IPO

| Updated: April 27, 2022 10:16

Life Insurance Corporation of India (LIC) is expected to open on May 4 for IPO application. The offer will be open until May 9 to subscribe.

Here are 9 things you need to know if you want to invest in LIC’s IPO:

  • LIC IPO will be the largest IPO in the history of the Indian capital market. It is expected to raise Rs 21,000 through it.
  • The government will sell 3.5 per cent stake in its owned insurance company through about 22 crore shares.
  • LIC with IPO will be valued at Rs 6 lakh crore. As per September 30, 2021, LIC has an embedded value of Rs 5.4 crore, according to international actuarial firm Milliman Advisors. A consolidated shareholder value of an insurance company is calculated from the embedded value.
  • The government had last week filed a draft paper with the market regulator SEBI seeking exemption on condition that it sells 5 per cent stake if it is a mandatory condition for a company with a value of over Rs 1 lakh crore.
  • LIC has reserved 5 per cent of the issue size for policyholders and 10 per cent for employees and they also plan to offer IPO at a discount. According to the news, policyholders and employees are expected to get 5-10 percent discount. LIC has reserved 35 per cent of the total IPO size for retail investors.
  • The government had earlier handed over the draft paper to SEBI in February. It had planned to raise about Rs 65,000 crore by selling 5 per cent stake with a market value of Rs 12 lakh crore.
  • LIC’s IPO will be a significant contribution to the government’s proposed disinvestment target in the current financial year. The government has set a disinvestment target of Rs 65,000 crore for the financial year 2022-23, if Rs 13,531 crore is collected from the last financial year.
  • With 13 lakh agents, LIC is serving around 29 crore policyholders. LIC has 61.6% market share in new business premium collections till January 2022.
  • According to the Economic Review 2021-22, the reach of life insurance increased by 3.2% in 2022. According to a report, its annual growth rate is projected to be 5.3 percent between 2019 and 2023.

Also Read: Adani Group Among Others In The Talks With Holcim As Potential Buyer Of Their Stake In Ambuja And ACC Cement

Your email address will not be published. Required fields are marked *