Business

LIC’s mega IPO gets one extra day for subscription: 5 points

May 4, 2022
Bharat Times

LIC dominates the insurance sector in India with over 28 crore policies.

New Delhi:
Life Insurance Corporation of India’s much-awaited initial public offering (IPO), which opened for subscription today, will be open for retail investors to bid for an additional day. The LIC IPO will also take subscriptions on Saturday (May 7), an unusual move aimed at attracting more investors. On the first day of bidding, more than a third of the public issue was booked with 1.22 times subscriber base of the policyholder category.

Here’s your 5-point cheat-sheet for this story:

  1. The issue, which closes on May 9, will offer a discount of Rs 45 per share to employees and retail investors. LIC policyholders will get a discount of Rs 60 per share.

  2. The issue price range has been set between Rs 902 and Rs 949.

  3. The government initially wanted to list LIC for the fiscal year ending March 31, but chose to delay the sale following Russia’s invasion of Ukraine and interest rate hardening by the US Federal Reserve.

  4. LIC dominates the insurance sector in India with over 28 crore policies.

  5. In terms of insurance premium collection in 2020, LIC was the fifth largest global insurer.