The Life Insurance Corporation of India has been long planning to float its maiden initial public offering, or IPO. While the date or the price band of the issue has not yet been announced, the LIC is in a full swing to prepare for the public issue. The life insurance company, earlier this week, invited its policyholders to participate in the offering and urged them to open demat accounts in order to do that. LIC is planning to file the draft IPO prospectus with market regulator Sebi by this week. The issue is likely to raise an amount of Rs 40,000 crore to Rs 1 lakh crore when it lists at the markets.
The LIC IPO will be important to the government to meet its Rs 1.75 crore disinvestment target in the current fiscal from privatisation and minority stake sale.
On Thursday, LIC in an advertisement said, “In order to participate in any such public offering policyholders will need to ensure that their PAN details are updated in the corporations records. Further, subscribing to any public offering in India is possible if you have a valid demat account. Accordingly policyholders must ensure that they have a valid demat account in place.”
“In the interest of our policyholders, we have in the past been running advertisements calling upon you to update your PAN details in our records. If you yet have not provided this information to the corporation, please do so at the earliest. This is very important from a KYC perspective as well as your ability to participate in the proposed public offering of LIC as and when it takes place. This will help you participate in the public offering,” stated the ad.
In case you, a policyholder, are interested to invest in the upcoming LIC IPO, you need to open a demat account. On top of that, you have to update your PAN details on LIC records.
Here is how you can check PAN-LIC link status:
1. Go to https://linkpan.licindia.in/UIDSeedingWebApp/getPolicyPANStatus
2. Enter Policy Number, PAN details and date of birth in the required boxes
3. Fill in Captcha. After this you will be able to see your LIC-Pan link status
If you have not linked PAN with LIC, there is no need to worry. Read on to find out how you can update PAN details on LIC database.
How to Link PAN-LIC
1. Go to official LIC website via the link https://licindia.in/ or visit the direct link at https://linkpan.licindia.in/UIDSeedingWebApp/
2. Select the Online PAN Registration option from the home page and then click on Proceed
3. Provide your details, including PAN, LIC policy number, mobile number and email address. You need to be careful during this step and provide all the details correctly
4. Fill in Captcha in the designated box
5. Request an OTP from your registered mobile number
6. Enter the OTP into the portal and then submit it
If you cannot link PAN online to LIC, you can also contact an LIC agent. If you o not have a pan, it is recommended to link the both as soon as you receive the document.
In the Union budget of 2020-2021, Finance Minister Nirmala Sitharaman first mooted the idea of LIC’s IPO. The government intends to divest its stake in the state backed Life Insurance corporation almost by 10 per cent. LIC is likely to file its draft with Sebi during the ongoing week as the government wants to float the LIC IPO as soon as possible.