LIC IPO: The mega LIC IPO, which opened on Wednesday, Could 4, has seen a powerful response thus far, particularly from policyholders of the corporate. The preliminary public providing (IPO) of India’s largest insurer, Life Insurance coverage Company, will probably be open to public until Could 9, Monday. As of 12:30 PM on Saturday, the LIC IPO was subscribed 1.44 occasions, with LIC policyholders bidding for 4.19 occasions the shares reserved for them, as per knowledge from the NSE. The authorities is offloading 3.5 per cent stake within the firm. The LIC IPO would stay open on Saturday (Could 7) and Sunday (Could 8) between 10 am and seven pm, NSE has stated.
The federal government is seeking to mop up Rs 21,000 crore by means of this subject. Anchor buyers have already funded Rs 5,000 crore within the LIC IPO.
Weeks previous to the opening of the difficulty, LIC IPO for policyholders was being inspired by the federal government in addition to the insurance coverage big, with lakhs of policyholders receiving notifications urging them to subscribe to the difficulty. Right here is the whole lot it’s essential to learn about LIC IPO for policyholders.
What’s LIC IPO Policyholders Quota?
In a primary of its variety, the federal government has allotted a separate 10 per cent of the LIC IPO shares for LIC policyholders, the place 2,21,37,492 shares are reserved for the group. They’re additionally getting a reduction in the event that they guide the difficulty.
“Policyholders have additionally made this firm. We now invite them to be shareholders. We need to invite thousands and thousands of Indians to take part on this course of, as LIC unlocks its worth,” stated Tuhin Kanta Pandey, secretary of the Division of Funding and Public Asset Administration (DIPAM).
LIC IPO for Policyholders: Low cost
LIC policyholders will get a reduction of Rs 60 in the event that they bid by means of the policyholders quota, the corporate has stated. The value band for LIC IPO has been set at Rs 902 to Rs 949 per fairness share. This implies, for LIC Policyholders, LIC IPO share worth will probably be Rs 849 apiece on the greater finish of the worth band. For workers and retail buyers, a reduction of Rs 45 every is being supplied.
LIC IPO for Policyholders: Who’s Eligible?
LIC policyholders who’ve a coverage that’s linked with a sound PAN quantity will probably be eligible to get the policyholders’ low cost and apply by means of the quota. LIC policyholders can even want a demat account to use to the IPO, and have to make sure that the identical PAN is linked to the coverage as of February 28 this yr.
Those that have group insurance policies will be unable to bid below this quota, whereas all different insurance policies are eligible to qualify.
“Bids by eligible policyholders could also be made at cut-off worth…solely these bids, that are acquired at or above the provide worth, web of the policyholder low cost could be thought-about for allocation below this portion,” the pink herring prospectus of the LIC reads.
How you can Apply for LIC IPO for Policyholders?
Eligible LIC policyholders can use on-line banking apps or depository platforms like Groww, Zerodha and Upstox and search for the policyholders’ quota to use for the LIC IPO. They’ll bid a most of 14 heaps with 15 shares every, and must make cost by way of UPI or ASBA.