LIC approves 1:1 bonus issue

The Board of Directors of Life Insurance Corporation of India ("LIC") in their meeting held today, considered and approved the issuance of bonus equity shares in the proportion of 1:1, to the existing shareholders as on record date, which shall be announced subsequently. The issuance of bonus equity shares shall be subject to the approval of shareholders.

The existing Authorised equity share capital of LIC is Rs. 25,000 crores and the paid up equity share capital is Rs. 6,324.99 crores. Post proposed bonus issuance of 1:1, the paid up equity share capital shall increase to Rs. 12,649.99 crores. The Reserves & Surplus (In India) stood at Rs. 1,46,440.58 crores as at 31st December 2025 and the Profit After Tax for nine monthperiod ended 31st December, 2025 was Rs. 33,998 crores.

The Board decided that the proposed issuance of bonus shares in the ratio of 1:1 is an appropriate way to reward the members for their continued support and trust in LIC and helps in bringing a balance between paid-up capital and accumulated reserves of LIC and also enhance liquidity and marketability by making the share more affordable and attractive to a broader range of investors.

Further it is clarified that the proposal of issue of bonus shares shall not impact the solvency margin and any other financial parameters of LIC.

Shri R Doraiswamy, CEO & MD, LIC said :- "Since listing in May 2022, LIC has been paying dividends consistently and also increasing the dividend per share over a period of time from Rs. 1.50 per share to Rs. 12/- per share. We have been continuously evaluating various mechanisms for rewarding our shareholders and we believe this proposed bonus issue is a significant step taken by us in that direction. We are thankful to our shareholders for their support, patience and belief in our strategy and execution. We are confident that our entire transformation initiatives are leading to tangible results and will continue to yield better outcomes for all."

Shares of Life Insurance Corporation Of India was last trading in BSE at Rs. 804.25 as compared to the previous close of Rs. 798.55. The total number of shares traded during the day was 169438 in over 6156 trades.

The stock hit an intraday high of Rs. 809.00 and intraday low of 782.00. The net turnover during the day was Rs. 134437432.00.

Source : Equity Bulls

Keywords

LIC LifeInsuranceCorporationofIndia INE0J1Y01017 BonusIssue 1For1