INSUBCONTINENT EXCLUSIVE:
LIC has said Pradhan Mantri Jeevan Jyoti Bima scheme holders are not entitled to IPO's benefitsNew Delhi: Life Insurance Corporation of
India (LIC) on Tuesday issued a clarification saying that Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) subscribers are not eligible to
avail the benefits offered to policyholders in its proposed initial public offering (IPO)."This is to clarify on the story which if floating
around that states "PMJJBY Policy Holders" can apply in the category reserved for policyholders in IPO, is incorrect
Please note it has been inadvertently mentioned
R Kumar said at a virtual media interaction that PMJJBY subscribers are also eligible for the benefits available for policyholders.However,
LIC said in the statement that it was "inadvertently mentioned".As per the draft red herring prospectus (DRHP) submitted by LIC with the
market regulator SEBI, 10 per cent of the total LIC share offer will be kept reserved for the LIC policyholders
There are also speculations about discounts
However, the LIC has not yet announced any plan for offering discounts to the policyholders in the proposed IPO.Referring to the DRHP
document, LIC said subscribers of group insurance products, including PMJJBY, cannot apply in the policyholder category in the upcoming
IPO."Policyholders (excluding such other persons not eligible under applicable laws, rules, regulations and non-Individual policyholders) of
our corporation having one or more policies of our corporation as on the date of the DRHP and bid or offer opening date and are residents of
India would be eligible to apply in this offer under the policyholder reservation portion," LIC said in the DRHP documents.A policyholder of
A policyholder who has not updated his or her PAN details with our corporation before the expiry of two weeks from the date of the filing of
this draft red herring prospectus with SEBI (i.e., by February 28, 2022) shall not be considered as an eligible policyholder, LIC said.
