The Corporation also announced the launch of its new product on June 14. The new product, LIC's Dhan Sanchay, is a non-linked, non-participating, individual savings, and life insurance plan, which will cater to the domestic market.

Besides, the LIC stock has today surged 3.27% or 22.05 points to ₹696.75. It has shown some resistance for the past two days after witnessing a continuous fall for 10 days before that, amid weak market sentiments globally. The stock, which was listed on the bourses about a month back on May 17, 2022, has shed 20.33% of its value from its initial public offering (IPO) price of ₹949.

The 10-session correction eroded investors’ wealth by ₹1.7 lakh crore as market capitalisation dropped to ₹4.38 lakh crore as compared to the valuation of around ₹6 lakh crore during the market debut on May 17. Meanwhile, the BSE benchmark Sensex and Nifty 50 both are in positive territory today, with the former up 0.15% to 52,771.15 and the latter rising 0.14% to 15,753.95 points.

Traders fear the LIC stock may see further correction as anchor investors might sell their shares in the insurance major as the lock-in period on all its allotted shares has ended on Monday i.e. June 13. The state-owned insurer had raised around ₹5,627 crore from anchor investors ahead of its mega initial public offering (IPO), with more than 70% coming from domestic mutual funds.

The LIC IPO had received a tremendous response from investors, with the issue oversubscribing 2.95 times. The issue raised a ₹43,933 crore demand against the intended offer size of ₹21,000 crore. However, the stock listing coincided with the global sell-off that led to a sharp fall in the stock price. At the time of listing, LIC was the 5th biggest listed firm in terms of market capitalisation but due to its dismal performance, its ranking has slipped to the seventh position.

LIC's Dhan Sanchay

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