Government Offers Up to 6.5% of Life Insurance Corporation Shares in Market Offer
The President of India, acting through the Department of Financial Services, Ministry of Finance, Government of India, has proposed a significant offer for sale (OFS) of equity shares of Life Insurance Corporation of India. The offering, which will take place via stock exchange mechanisms on BSE Limited and National Stock Exchange of India Limited, is intended to sell up to 82,22,49,701 Equity Shares, representing 6.50% of the total paid-up equity share capital of the Corporation if the Oversubscription Option is exercised.The Offer details outline two components. The initial Base Offer Size includes up to 31,62,49,885 Equity Shares, representing 2.50% of the total paid up equity share capital. This offer was proposed on August 3, 2026.
Market participants and investors are invited to participate in the Oversubscription Option, which allows for the additional sale of up to 50,59,99,816 Equity Shares, representing 4.00% of the total issued and paid up equity share capital of the Corporation. Should this option be exercised, the combined Offer Shares would represent 6.50% of the total paid-up equity share capital.
Specific allocations have also been outlined for Retail investors and employees. Up to 8,22,24,971 Equity Shares will be available for the Retail Category on T+1 day, scheduled for August 5, 2026, subject to valid bids being received during the process. Furthermore, up to 50,00,000 Equity Shares of the Corporation are designated for eligible employees in accordance with prescribed guidelines.
A discount mechanism has been established for these specific categories. A discount of ₹10 per equity share will be provided exclusively to Retail Investors and Employees who bid at the Cut-Off Price. Retail investors who do not bid at the Cut-Off Price will not receive this discount.
LICI Stock Price Movement
Shares of Life Insurance Corporation Of India today slipped by 8.68% to settle at ₹391.3 after trading in the post-market session. The equity saw significant activity, with a volume recording 52.7 million shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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