LIC stock touches ₹900 mark for first time since listing; mcap jumps ₹1.82 lakh crore in less than 3 months
Life Insurance Corporation (LIC), India's largest life insurer, soared 5.30% in today's intraday to touch ₹900 apiece, a level not seen since its listing in May 2022. This also represents the stock's new 52-week high. The insurance behemoth was listed on the Indian stock exchanges on May 17, 2022, at ₹875.25 apiece as compared to the issue price of ₹949.
Post listing, the shares experienced significant downward pressure until March 2023, reaching an all-time low of ₹530. However, a notable turnaround occurred in the subsequent months, with a particularly robust upward momentum observed in November, marking a gain of 12.83%. This positive trend continued into the following month, with an impressive rise of 22.52%.
In the current month, the stock has shown a further increase of 7.51% so far. At current levels, the stock is just 6.21% away from its IPO price. Also Read: NALCO, Hindustan Copper shares gain up to 7% on India's first lithium exploration deal From November until now, the company's market capitalisation has surged by ₹1.82 lakh crore, reaching the current level of ₹5.62 lakh crore (based on the stock's trading price of ₹890 apiece as of 3:00 pm).
In December, the government granted a one-time exemption to LIC to achieve the required 25% minimum public shareholding (MPS) within 10 years. The company was originally required to meet the 25% MPS rule by 2027. The government held a 96.5% stake in the company at the end of Q3 FY24, while retail investors and domestic institutional investors each held 2.4% and 1% stake, respectively.
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