LIC books nearly Rs 43,000 cr profit from sale of investments during Apr-Dec of FY22

Life Insurance Corporation of India (LIC) booked profit worth Rs 42,862 crore from the sale of investments in the first nine month of the fiscal year 2022, showed the insurer’s revised draft papers for its initial public offering.

Profit from sale of investments, largely equity assets, were already 93 percent of the record profits amassed by LIC of Rs 46,187 crore for the financial year ended March 31, 2021.

Between April 1, 2021-December 31, 2021, both Sensex and Nifty rose 18 percent each while both declined 1.5 percent in the December quarter.

Also read: LIC IPO is right-sized and will not crowd out capital and monetary supply, says DIPAM secretary

The total investment in equity as of the nine months ended December 2021 stood at Rs 9.85 trillion against Rs 7.97 trillion in FY21.  As of December 2021, LIC’s AUM was Rs 40.1 trillion. LIC’s AUM  is more than 3.2 times higher than the total AUM of all private life insurers in India.

Earlier, the firm said its anchor investment will open on May 2, while the IPO will open for subscription on May 4 and close on May 9. The basis of allotment will be on May 12 and shares will be credited on demat account on  May 16. The firm plans to list on exchanges on May 17.

India's largest IPO, which slashed around 60% of its issue size due to poor market conditions, earlier announced its price band at Rs 902-949 a share.