LIC Expects One In Every Seven Investors In India To Apply For LIC IPO

LIC IPO date: The IPO is expected to open for the public on March 11, 2022. This will make it the largest participation in the history of Indian markets. According to media reports, India has 73.8 million Demat accounts.

New Delhi: According to a latest report by The Economic Times (ET), LIC expects one in every seven investors in India to apply for the upcoming LIC IPO, which experts are calling India’s Aramco Moment. The biggest life insurer in India expects the investors to apply for as much as Rs 25,000 crore.

If the figures come true, 7.5 million to 10 million investors will apply for the LIC IPO. This will make it the largest participation in the history of Indian markets. According to the report, India has 73.8 million Demat accounts.

The number of investors in India skyrocketed after the Covid-19 pandemic. The report also suggests that the government is expecting the number of Demat accounts to rise to 80 million before the IPO hits the bourses.

According to a latest report by Reuters, LIC IPO is expected to open on March 11, 2022. The investors are especially interested in the IPO because the policyholders and LIC employees are expected to get a discount of -10 per cent on the issue price. Apart from this, according to the DRHP filed by the company, around 10 per cent of the total shares have been reserved only for the policyholders.

Media reports have suggested that the total number of LIC policyholders are nearly 30 million in India. Also, ET stated that by March 31, 2021, the total number of LIC agents in the country were 1.35 million. It also has 1,14,000 employees, apart from agents.

The government, investment bankers and brokers have been putting efforts to encourage people to participate in the upcoming mega IPO. Through advertisements, the government is advising people to link their PAN cards with the LIC policy, which is a special condition for availing the 10 per cent reservation in the IPO.