New Delhi Feb 21 PTI Subscribers of Pradhan Mantri Jeevan Jyoti Bima Yojana PMJJBY are eligible for LIC initial public offering at a discount Chairman of insurance company M R Kumar said on Monday PMJJBY is part of that and reservation will be there for the policyholders Kumar said in an interaction with the media Launched in 2015 PMJJBY offers a renewable one year life cover of Rs 2 lakh to all savings bank account holders in the age group of 18-50 years covering death due to any reason for a premium of Rs 330 per annum per subscriber This government scheme is offered or administered through LIC As per the Draft Red Herring Prospectus DRHP filed last week the maximum bid amount under the Policyholder Reservation Portion by an eligible policyholder would not exceed Rs 200000 net of policyholder discount It further said policyholders having one or more policies of LIC as on the date of DRHP and bidoffer opening date and who are residents of India would be eligible to apply in this offer under the Policyholder Reservation Portion The aggregate of reservation for eligible policyholders shall not exceed 10 per cent of the total offer size The portion of the offer available for allocation to eligible policyholders on a proportionate basis is subject to the receipt of necessary approvals from the government LIC issued approximately 21 million individual policies in FY 2021 accounting for nearly 75 per cent of new individual policy issuances The IPO is offer for sale OFS by Government of India There is no fresh issue of shares by LIC The government holds 100 per cent stake or over 63249 crore shares in LIC The face value of shares is Rs 10 apiece The LIC public issue would be the biggest IPO in the history of the Indian stock market Once listed LICs market valuation would be comparable to top companies like RIL and TCS The IPO of LIC is expected by March and the proceeds would be crucial to meet the revised disinvestment target of Rs 78000 crore in the current fiscal year LICs share capital was raised from Rs 100 crore to Rs 6325 crore during September last year to help facilitate the IPO Last month LIC reported a profit after tax of Rs 1437 crore for the first half of financial year 2021-22 as compared with Rs 614 crore in the year-ago period PTI DP ANU ANU