Govt to sell up to 6.5% in LIC at ₹382/share; to add ₹31k crore to disinvestment kitty

The government will sell up to a 6.5% stake in Life Insurance Corporation (LIC) at a floor price of ₹382/share through a two-day offer for sale (OFS) beginning on Tuesday (August 4, 2026).

The issue opens for non-retail investors on Tuesday (August 4) and for retail investors on Wednesday (August 5).

If fully subscribed, the sale of over 82.22 crore shares or a 6.5% stake at the given floor price will fetch about ₹31,000 crore to the disinvestment kitty.

"Government offers to disinvest 2.5% equity with an additional 4% as a green shoe option," Department of Investment and Public Asset Management (DIPAM) Secretary Arunish Chawla said in a post on X.

The stake sale will help LIC achieve the minimum public shareholding requirement mandated by market regulator Sebi ahead of schedule.