LIC IPO: You need demat account to participate; How to open it

While a portion of the issue would be reserved for anchor investors, up to 10 per cent of the LIC's IPO issue size would be reserved for policyholders, according to a PTI report.

The Draft Red Herring Prospectus (DRHP) for the much-awaited initial public offering (IPO) of LIC is likely to be filed with the market regulator Sebi this week.

Tuhin Kanta Pandey, Secretary to the Department of Investment and Public Asset Management (DIPAM), has already said that the size of the issue would be mentioned in the DRHP.

While a portion of the issue would be reserved for anchor investors, up to 10 per cent of the LIC's IPO issue size would be reserved for policyholders, according to a PTI report.

Once the draft papers are filed, the Sebi will go through it and give its approval if everything mentioned in the DRHP is fine. Subsequently, the subscription process of LIC's IPO will begin and there will be a share allotment process too.

DEMAT ACCOUNT

Those who are willing to participate in the subscription process of LIC's IPO must have a demat account.

Demat account or Dematerialisation account is essential for anyone who is interested in making an investment in stocks.