LIC IPO
(All about date, price, GMP, analysis etc. related to it)
OPINIONATED BLOG: TEJASHREE ANANT SALVI
INTRODUCTION
The LIC IPO is India's largest-ever IPO and the fourth-largest IPO of any insurer in the world. You may now become an investor in India's largest life insurance firm in addition to becoming a LIC policyholder. Life Insurance Corporation of India (LIC) has worn numerous hats since its founding in 1956. It has served as a go-to savior for many Indians as well as the government, from being a part of an individual's financial strategy to bailing out failing firms.
Important good aspects
LIC is a hybrid of an insurance business and an investment firm. Their products are a hybrid of insurance and guaranteed-return investments.
LIC has approximately 13.5 lakh agents who bring in the majority of new business. LIC plans provide 'set returns' as well as life insurance coverage. This makes it simple for brokers to sell and provides insurers with peace of mind.
The public has a high level of confidence in LIC for both life insurance and investments. In India, LIC is synonymous with insurance.
The LIC manages assets of Rs 39 lakh crore. That is more money than the mutual fund industry as a whole. These funds are invested in both equities and bonds. They hold 4% of all publicly traded equities.
The most important challenges
LIC is experiencing low new policy growth as it continues to lose market share to private insurance providers, particularly in metropolitan regions.
Insurance and investment goods have a low profit margin.
It is extremely difficult to assess LIC since its business model is unlike any other. LIC obtains money up front and then promises to reimburse policyholders later. The premiums they collect (half insurance, part investment) are not income.
Objects of the Issue: The net proceeds of the IPO will be used for the following purposes:
To get the benefits of stock exchange listing of equity shares.
Selling stockholders will make an offer to sell 316,249,885 shares.
On the day of the IPO's launch, LIC staff would go on strike for one day.
According to Srikanta Mishra, general secretary of the All India Insurance Employees Association, all employees of the Life Insurance Corporation (LIC) in India would go on strike on the day the corporation's initial public offering (IPO) is launched in the market (AIIEA). In an interview with The Hindu, he stated that the IPO plan for LIC was contrary to the corporation's core values. The LIC system is unusual in that the policyholders are the claimants of the profit, with 95 percent of it transferred to them in the form of bonuses rather than the government, he added. He emphasized that policyholders are the true owners, as the government's equity stake was merely 5 crore when the company was founded on September 1, 1956. The LIC system is unusual in that the policyholders are the claimants of the profit, with 95 percent of it transferred to them in the form of bonuses rather than the government, he added. He emphasized that policyholders are the true owners, as the government's equity stake was merely 5 crore when the company was founded on September 1, 1956. Technically, the government owns the corporation, but the contributions are the policyholders, he claims. He mocked the government's claim that the IPO was important for openness, accountability, and resource production, saying, "Every quarter submits a public statement, and every year end up with a surplus of 4.5 to 5 lakh crore."
LIC IPO Date 2022
LIC IPO Grey Market Premium, Price Band
Life Insurance Company will launch its first public offering (IPO) on March 10, 2022.
After 10.03.2022, you can start applying for the LIC IPO subscription. After the list, the license price for each action may vary between 1500 RS 3200 /.
The issue price of the LIC IPO might range between Rs 2000/- and Rs 2100/-.
Following the IPO, the share lot size will be revealed.
Each action of the IPO LIC has a nominal value of 10 Rs per share.
Following the announcement, the minimum investment for the LIC IPO 2022 is also announced.
LIC IPO GMP
As all know, the LIC IPO might be advantageous for you with an issue price ranging from Rs 2000/- to Rs 2100/-. According to brokers, the GMP for the LIC IPO is quite high. If you locate a good enough LIC IPO GMP, you can transfer your shares to others. LIC IPO GMP indicates more benefits for those who receive the IPO Derivation of the allowance. Furthermore, the transaction for obtaining GMP pricing is non-official, so you can do it in accordance with trading regulations. So as per trading regulation calculations, the LIC IPO GMP 2022 will be high.
LIC IPO 2022 Subscription for Policyholders
It is really wonderful and one-of-a-kind news for Policyholders with active LIC Policies. People who have a licensing policy can now offer the IPO to a 10% discount, which implies that the price license price for the insured would be 1890 of RS / for the therefore recommend that you apply for the LIC IPO at such a low price and then watch your money grow. Although the stock market is volatile, LIC is a wonderful firm that may provide you with significant profits. Contact your Insurance Agent to ask for a discount on the LIC IPO 2022.
CONCLUSION
LIC is a household brand in India, and despite the entry of private companies, it maintains a firm grip on the huge South Asian country's life insurance industry. The firm is offering millions of policyholders the option to participate in the IPO at a discount, and it is publicizing the offer on television and in full-page newspaper advertising. Retail investors, including many first-time buyers, are expected to demonstrate a significant hunger for acquiring a part in the venerable corporation, according to analysts. The conclusion of the LIC's share sale via an IPO by March 31 is vital for the government to meet its disinvestment objective for this year, even if it has been reduced from 1. 75 lakh crore to 78,000 crore
REFEENCES
https://www.chittorgarh.com/ipo/lic-ipo/1221/
https://www.sainikschooladmission.in/lic-ipo-gmp-subscription-allotment/#:~:text=Life%20Insurance%20Company%20is%20going,%2F%2D%20to%20Rs%202100%2F%2D.
https://www.thehindu.com/specials/lics-road-to-the-ipo/article65059922.ece
https://www.thehindu.com/news/national/andhra-pradesh/lic-employees-to-go-on-one-day-strike-on-the-day-of-ipo-opening/article38413785.ece