![]() ![]() ![]() ![]() This document has been prepared by JainMatrix Investments Bangalore (JM), and is meant for use by the recipient only as information and is not for circulation. The rest of the report is available as a download, see PDF –ĭo read our insightful research, we attach the complete Investment report in PDF format here. LIC is thus both a Life Insurance and an Asset Management firm.Thus it is India’s Family Silver, which is made available in the IPO. Thus it is a mega player that can dominate and profit from the growing Indian capital markets. Close to 25% of this is equity oriented, and they own more government bonds than the RBI. LIC’s investments in listed equity represented 4% of the total market capitalisation of NSE as at that date. LIC is the largest asset manager in India (Dec’21) with AUM (includes policyholders’ investment, shareholders’ investment and assets held to cover linked liabilities) of ₹ 41 lakh crores, which was (i) 3.2 times the AUM of all private life insurers in India, (ii) 15.6 times the AUM of the #2 player in Indian life insurance industry in terms of AUM, (iii) 1.1 times the entire Indian MF industry AUM and (iv) 17% of India’s GDP for FY22.In India, LIC has the largest agent network of 13.5 lakh individuals in 2021, which is 55% of the total agent network in the country and was 7.2 times the number of agents of the second largest life insurer.The proposed IPO will make it the biggest Indian IPO ever.It has a workforce of 1,05,207 employees. LIC has a distribution network of 5,004 offices spread across 36 states and UTs, with 28 cr. It is the #5 largest life insurer globally by GWP, see Fig 1b. It has a 64.1% market share in Gross Written Premium (GWP) in FY21 (CRISIL).LIC is the largest public life insurance companies in India, and took its current form in 1956.The anchor investor portion of Life Insurance Corporation of India’s (LIC) initial public offering (IPO) was oversubscribed on Monday, raising around ₹5,620 crore from anchor investors.Retail investors can bid for 1 to 14 lots i.e. One lot is 15 shares and Face Value is ₹10.The grey market premium (GMP) of LIC is ₹85 as of today.Since it is an OFS, it will not receive any funds in IPO Objects of the issue: GoI unloads stake to list LIC.This discount for policyholders is ₹60, and for employees is ₹45. The total number of shares in IPO are 22.14 crore shares. The IPO quotas are: Policy Holders 10%, employees 0.7%, QIB 44.6%, Non Institutional 13.4% and retail 31.25%.Currently GoI holds 100% stake and post-IPO this will come down to 96.5%. Promoters of LIC are the President of India, acting through the Ministry of Finance, Government of India.LIC market cap at this pricing is ₹ 6 lakh cr. by selling 3.5% stake sale through Offer for Sale (OFS) by promoter. LIC IPO will have a price band of ₹ 902-949 and will open from May 2 for anchor investors and May 4-9 ‘22 for others.Star Health IPO – A Toast, to your Health !!.Opinion: Conservative Investors can SUBSCRIBE to this IPO with a 2 year perspective.initiatives and directives that are unprofitable 2) capital and profit ratio restructuring makes financials unpredictable 3) competition from private players and falling market share 4) High NPA ratio 5) attrition in sales agents team 6) Periodic FPOs can subdue the share price. Positives: 1) High life insurance market share 2) massive Assets Under Management and equity market ownership 3) LIC is a solid brand 4) low operating cost 5) good all India sales presence 6) the IPO can be transformative to make LIC more flexible, competitive and profitable.Unicorns are concentrated in developed and some developing global regions, including a few dozen countries. Notable lists of unicorn companies are maintained by The Wall Street Journal, Fortune Magazine, CNNMoney/ CB Insights, TechCrunch, PitchBook/Morningstar, and Tech in Asia. ![]() In finance, a unicorn is a privately held startup company with a current valuation of 1 billion U.S. This is an incomplete list of unicorn startup companies. ( July 2023) ( Learn how and when to remove this template message) Per the Wikipedia style guidelines, please remove duplicate links, and any links that are not relevant to the context. This article may have too many links to other articles, and could require cleanup to meet Wikipedia's quality standards. ![]()
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