LIC IPO
As per the reports, the Government has now decided to dilute 3.5% of its stake in Life Insurance Corporation of India and raise funds through the IPO. The IPO is expected to be one of the largest initial public offerings in Indian market. The LIC policyholders can find themselves at an advantage since up to 10% per cent of the IPO issue will be reserved for them.
LIC policyholder’s category
Will the policyholders get any benefit if they apply in LIC IPO?
LIC Policyholder’s category is nothing but a new category introduced in the LIC IPO where up to 10% of the shares offered under IPO will be reserved for the customers who hold an LIC Policy.
Under policyholder’s category, one needs to fulfil the below to be eligible for making an application:
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Your PAN number should be updated in LIC records. Follow the below steps to check:
- Visit LIC official website: www.licindia.com & click on ‘Online PAN registration’.
- Enter the details like your date of birth (DOB), email ID, name as per PAN card, mobile number and policy number. In case multiple policies, you need to add all the policy numbers.
- Enter the OTP sent on your policy registered mobile number.
- After the authentication, you can check the status on ‘CHECK POLICY PAN STATUS’
- If you are a policyholder and you are going to apply in LIC IPO through Bajaj Financial Securities Limited, make sure that your registered PAN number with the LIC Policy should be the same as registered with Bajaj Financial Securities Limited Demat & Trading account
About Life Insurance Corporation of India (LIC)
LIC is the largest insurance company in India which was incorporated on Sept 1st, 1956 by integrating over 245 Companies by the Act of Parliament known as Insurance Act,1956.
LIC with all the accolades to its name in contributing to the growth of Indian Economy, is now announcing that they are entering the IPO league with LIC IPO. The company has filed the Draft Red Herring Prospectus with SEBI announcing an Offer for Sale (OFS) of 31,62,49,885 shares. LIC IPO is likely to open on the second week of March. LIC India has held a monopoly over the insurance industry for years with more than 75% market share (in the Number of New Policies as on 31.03.2021.). It has 8 Zonal Offices, 113 Divisional Offices, 2048 Branch Offices, 73 Customer Zones, 1401 Satellite Offices and 1240 mini offices across the country (As in March 2016).
LIC India IPO will open in the 2nd week of March and all investors are making assessment of its impact on the Indian stock market.
Key Points About LIC
- The network of LIC agents is gigantic. As of March 2021, LIC mentioned that they have around 13.53 lacs individual LIC agents.
- LIC has expanded their business in different sectors viz., LIC Housing Finance, LIC Mutual Funds, LIC Pension Fund along with the acquisition of IDBI Bank in 2019.
- The company operates not only in India but has expanded the business in different countries as well, like United Kingdom, Fiji & Mauritius.
Disclaimer:Investment in securities market are subject to market risk, read all related documents carefully before investing. This should not be construed as soliciting investment. Investors’ discretion is required. Kindly consult your financial expert before investing. No need to issue cheques by investors while subscribing to IPO. BFSL will not guarantee any allotment. Opening of account will not guarantee allotment of shares in IPO. Investors should do their due diligence before investing.