LIC IPO: Bidding for Life Insurance Corporation (LIC) IPO (Initial Public Offering) is going on in the form of subscription to the Public Issue Price 21,000 crores will remain open till 9th May 2022. As expected, the LIC IPO has received a strong response from policyholders and employees as both the segments have been subscribed more than 100% as of 11:00 AM on the second day of bidding. The public offer has been subscribed 0.75 times while its retail portion has been subscribed 0.69 times. However, due to weak secondary market sentiment, the gray market sentiment has dipped slightly from the issue opening date. According to market observers, LIC’s share is being bid at a premium to the price 60 in the gray market today
Market observers said lic ipo gray market premium (GMP) today is 60, which is 5 less than last evening’s GMP 65. He added that such a fall in LIC IPO GMP can be attributed to negative secondary market sentiments following the surprise hike in RBI’s repo rate and CRR. However, he added that policyholders and employees have responded strongly to the initial offer of insurance and expect a strong response from investors in the coming days. He said that LIC’s IPO GMP has almost come down from 90 60 in the last three days, which is clear that the stock market has declined in consecutive sessions this week.
What does this GMP mean?
According to market experts, lic ipo gmp today is 60, which means gray market is expecting LIC IPO listing 1009, which is about 6.50 percent higher than LIC’s IPO price band from 902 949 per equity share.
However, stock market experts say that the GMP should not be the yardstick to decide the success or failure of a public issue. He said that GMP is an unofficial data which has nothing to do with the financial position of the company. He advised investors to look at the financial position of the company as they give a solid idea about the fundamentals of the company.