16.2 Crore LIC Shares Will Be Allocated To Bidders On May 12th; Listing On May 17th! LIC Shares Subscribed 2.9 Times
Bidders in LIC IPO will be allocated shares on 12th May, and the insurance titan is going to be listed on stock exchanges on 17th May, DIPAM Secretary Tuhin Kanta Pandey stated on Monday.
Briefing reporters after the conclusion of the issue, Pandey said the LIC IPO has met with enormous success across all the segments.
“Domestic investors have successfully pulled off the LIC IPO. It is an example of Aatmanirbhar Bharat,” he said, so, that they are not dependent on foreign investors alone. It will help in growing the capital markets, the secretary added.
The government sold a 3.5% stake in the insurance behemoth via the initial public offering (IPO).
“The allocation to investors in IPO would be made on May 12,” Pandey added.
LIC’s IPO is the biggest in the country
Life Insurance Corporation’s IPO, the country’s biggest public offer, was subscribed over 2.95 times on the last day of the offer on Monday, helping the government mobilize approximately Rs. 21,000 crore.
Against 16,20,78,067 shares on offer, 47,83,25,760 bids were received, as per the data posted on stock exchanges at 7 pm.
The Qualified Institutional Buyers (QIBs) category was subscribed 2.83 times. Approximately 11.20 crore bids were received for the 3.95 crore shares reserved for the segment.
In relation to non-institutional investors (NIIs), a total of 8,61,93,060 bids were received for 2,96,48,427 shares reserved for the segment, reflecting an over-subscription of 2.91 times.
Retail individual investors bid on 13.77 crore shares as compared to the 6.9 crore shares on offer for the segment. Thus, there was an over-subscription of approximately 1.99 times.
The policyholders’ portion was subscribed approximately 6 times, while the same for employees was subscribed 4.4 times.
Employees and policyholders will receive discounts
LIC had set the price band at Rs. 902-949 per equity share for the issue. The offering has a reservation for policyholders and eligible employees. The retail investors and eligible employees are going to receive a discount of Rs. 45 per equity share, while policyholders are going to receive a discount of Rs. 60 per share.
The government has diluted a 3.5% stake in the insurance titan through the Offer for Sale (OFS).