The subscription for LIC’s IPO has closed on Monday, 9th May 2022. The eyes of the investors who have put money in the IPO of the insurance company are now fixed on the announcement of share allotment. LIC may allot shares on Thursday, 12 May 2022. Meanwhile, the premium for LIC’s IPO has been declining steadily in the gray market for the past few days. According to market watchers, LIC shares are at a discount of Rs 8 in the gray market on Wednesday.
LIC’s gray market premium came in red zone
Market watchers say that due to weak sentiment in the secondary markets, the gray market premium of LIC’s IPO has come down in the last about 1 week and it has now gone into the red zone. The gray market premium of LIC’s IPO reached minus Rs 8 (Rs -8) on Wednesday. On Wednesday, the gray market premium of LIC’s IPO has decreased by Rs 33. The premium for LIC’s IPO in the gray market on Tuesday was Rs 25.
Also read- Which IPO gave big returns this year on Listing Day, will the investors of LIC IPO get rich?
From Rs 92, now the premium reached minus
Before the subscription opened for LIC’s IPO, its premium in the gray market was Rs 92. However, the gray market premium of IPOs has been declining steadily after the sentiment turned negative in the global markets. Gray market discount means that the shares of the insurance company may be listed below the allotment price. If LIC shares are allotted on the upper band of Rs 949, then according to today’s discount, the listing of LIC shares on the exchange can be around Rs 941. LIC’s IPO was subscribed 2.95 times. Its retail portion was subscribed 1.99 times. At the same time, the quota of LIC policyholders was subscribed 6.12 times. While the quota of employees was subscribed 4.40 times.
Also read- The share of Baba Ramdev’s company Ruchi Soya came under Rs 1000, has given a return of 14204% in 3 years