How to apply for LIC IPO via multiple categories3 min read
The much-awaited LIC IPO will be live from May 4th-9th. The IPO is the talk of the town, since it is the biggest public offering ever in the history of the Indian stock market.
You can apply through more than one category to maximize your allotment chances, based on your eligibility.
We’ve broken down the various investor categories and the details of the IPO. We have also explained how to apply under multiple categories.
Details of the LIC IPO:
Price Band: Rs 902 – Rs 949
Issue size: Rs 21,000 crore
Discount for Retail investors – Rs 45
Discount for Policyholders – Rs 60
Discount for Employees – Rs 45
Next, let’s take a look at the various categories:
Life Insurance Corporation (LIC) has reserved 10% of its IPO size for policyholders. The limit for an application under the policyholder category is Rs 2 lakh.
LIC has reserved 35% of its IPO size for retail investors. Under the retail category, investors can apply up to Rs 2 lakh.
Non-institutional investors (NIIs) and HNIs
This category includes individuals, companies, Hindu Undivided Families (HUFs) and other institutions who want to invest more than Rs 2 lakh in an IPO. 15% of the LIC IPO’s issue size is reserved for NIIs.
High net-worth individuals (HNIs) are allowed to apply up to Rs 5 lakh in an IPO using the UPI mode. If you wish to invest more than Rs 5 lakh, you would still need to apply via NetBanking, if your bank supports it.
|Category||Discount /share||Range||Who can apply?|
|Retail||Rs 45||Upto Rs 2 lakh||Everyone|
|HNI||0||Rs 2 lakh – Rs 5 lakh||Everyone|
|Policyholder||Rs 60||Upto Rs 2 lakh||Applicable for LIC IPO and if you have linked PAN number to LIC Policy. ( Know more here )|
|Employee||Rs 45||Upto Rs 5 lakh||Only employees of the company going for IPO|
Applying under multiple categories
Steps to apply for any category in IPO:
- Click on the IPO of choice
- Go to the details page of IPO
- Select the category
- Click Apply
- Fill in the Bid details
- Submit your application
If you want to apply under more than one category, you will have to make separate applications each time. Do note that you can either apply under retail or HNI category depending on your investment aptitude, but not in both.
|Retail + Policyholder category||
|HNI + Policyholder category||
|HNI + Policyholder + Employee category||
|Retail + Policyholder + Employee category||
Do take a look at the details of all the categories and decide which one works best for you. You can read more about the investor categories in our blog.
“Disclaimer – Investment in securities market are subject to market risks, read all the related documents carefully before investing. . This content is purely for information and investor awareness purpose only and in no way to be considered as advice or recommendation. Source: RHP. Paytm Money Ltd SEBI Reg No. Broking – INZ000240532. NSE (90165), BSE(6707) Regd Office: 136, 1st Floor, Devika Tower, Nehru Place, Delhi –110019.