LIC IPO To Witness Massive Investor Rush
The investors are expected to apply for as much as INR 25,000 crore.
The LIC IPO is expected to draw attention from investors across the country. The LIC IPO has got them back in action after an economic lull. One in every seven investors is speculated to apply, which industry experts are calling India’s ‘Aramco Moment’. The investors are expected to apply for as much as INR 25,000 crore.
As per speculation, anything between 7.5 million to 10 million investors will apply for the LIC IPO. If this speculation comes true, it will make be the largest participation in Indian market ever. Subscribing to the IPO will require a demat account, and India has 73.8 million of such accounts. A report also indicates that the government is expecting the number of Demat accounts to rise to 80 million before the IPO hits the bourses.
The LIC IPO is expected to open on March 11, 2022, and the policyholders and LIC employees are expected to get a discount of about 10 percent on the issue price. The DRHP filed by the company indicates around 10 percent of the total shares has been reserved only for the policyholders.
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 percent reservation in the IPO.
