New Delhi | Jagran News Desk: The Life Insurance Corporation of India (LIC) has finally announced its much-awaited Initial Public Offering (IPO), which will kick off in May. It will open for subscription between May 4 to May 9. With an issue size of roughly Rs 21,000 crore, it is going to be the largest-ever IPO in Indian history. Since there are very few days left for LIC IPO to open, here is a look at all you need to know about it.
May 2: The issue will open for anchor investors.
May 4: The issue opens to the general public.
May 9: The application for the LIC IPO closes.
May 17: LIC IPO lists on the Indian share market.
The company will sell its shares in the range of Rs 902-949 per equity share. However, it would offer a Rs 60 discount to policyholders and Rs 40 to retail investors and employees.
The government will raise about Rs 20,557 crore through the initial public offering, which is short of earlier projections of about Rs 60,000 crore.
An investor can apply for a minimum of 15 shares, which is the lot size for the IPO. At the upper range of the price band, one lot of LIC will be worth Rs 14,235 crore, exclusive of any discount.
Quota reserved for policyholders
There is an employee reservation of 15.81 lakh shares while 2.21 crore shares are reserved for policyholders. Retail and employees will get a Rs 45 discount, while policyholders will get Rs 60 discount.
Shares list schedule
Shares will be allotted to successful bidders on May 12, and the refund to unsuccessful bidders will be credited on the next day. Shares will be credited to the Demat account by May 16 and the stock is expected to list on the stock market on May 17.
How much is LIC selling via IPO?
The IPO is an Offer For Sale (OFS) by the government of India, which will offload 22.13 crore equity shares or roughly 3.5 percent stake of the company
Posted By: Sugandha Jha