India

LIC IPO Fully Subscribed By Policyholders Within 2 Hours Of Opening Today
lic headquarters office

Bhubaneswar: Within two and a half hours of its opening on Wednesday, the initial public offering (IPO) of LIC was fully subscribed by its policyholders.

The policyholders quota for IPO of insurance behemoth Life Insurance Corporation of India (LIC) was fully subscribed with retail portion receiving 33 per cent bid till 12.30 pm on first day. The employees’ quote has been subscribed 51 per cent so far.

However, the non-institutional category, consisting of corporates, individuals, and others has seen muted response with only 5% subscription so far.

The LIC has fixed a price band of Rs 902-949 for the public issue and offered a special discount of Rs 60 to policyholders and Rs 45 per share to retail investors and its employees.

The country’s largest insurance company has around 29 crore policyholders, 2 lakh employees and 13 lakh agents covering 91% districts of the country. It manages asset under management (AUM) of 39 lakh crore, which is more than the GDP of 150 countries and more than total AUM managed by the mutual fund industry which is around 38 lakh crore, according to Business Today.
Market analysts consider the IPO as a milestone event for the Indian capital market as it may bring millions of new investors from Tier 2 and Tier 3 towns for the first time. Most of the brokerage houses have given a positive rating to the IPO given its fair valuation.
“At the upper price levels, LIC’s embedded value with a market cap of Rs 6,00,200 crore is quite lower than HDFC Life Insurance, SBI Life Insurance and ICICI Prudential Life Insurance where the average embedded value stood at Rs 3,10,500 crore and the average market capitalisation-to-embedded value ratio arrived at 3.4 times. Hence, the issue looks quite attractive to investors,” said a report of Anand Rathi Share and Stock Brokers.
OB Bureau
Share
Published by
OB Bureau
3 years ago

Recent Posts

From April 2026, Income Tax Dept Will Have Authority To Check Social Media, Emails To Probe Evasions

New Delhi: In a major reform, the Income Tax Department will have the authority to check… Read More

2 hours ago

Day Temp Soars To 39ºC As Odisha Sees Early Onset Of Summer; 9 Places Record Over 37ºC

Bhubaneswar: The day temperature touched 39 degree Celsius on Tuesday even before the onset of… Read More

2 hours ago

Odisha Shuttlers Pragati & Vishakha To Represent India In Junior German Open

Bhubaneswar: Odisha’s talented badminton players Pragati Parida and Vishakha Toppo have been selected to represent… Read More

2 hours ago

When Katrina Kaif Had A Problem With Neil Nitin Mukesh’s Complexion

Mumbai: Actors Katrina Kaif and Neil Nitin Mukesh’s on-screen chemistry in ‘New York’ was loved… Read More

2 hours ago

Champions Trophy: Chase-Master Virat Kohli (84) Does It Again As India Break Aussie Jinx

Dubai: Team India broke a jinx by overcoming Australia and marching into the Champions Trophy… Read More

2 hours ago

Man Beheads Elderly Father For Refusing Rs 10 To Buy Gutkha In Odisha

Mayurbhanj: A 40-year-old man on Tuesday surrendered before police in Odisha's Mayurbhanj district after allegedly… Read More

3 hours ago