Life Insurance Corporation of India on Monday approved a 1:1 bonus share issue, by capitalising its reserves and surplus.
In a filing to the exchanges, the state-owned insurer said its board has cleared the issuance of one fully paid-up share of ₹10 each for every existing share held by investors as of the record date.
The bonus issue will involve the creation of over 632 crore shares, amounting to approximately ₹6,325 crore, through the capitalisation of reserves and surplus available as of December 31, 2025.
Following the issue, LIC’s paid-up share capital will double from about ₹6,325 crore to ₹12,650 crore, with the total number of shares increasing to over 1,264 crore.
The company said the bonus shares will be issued out of its reserves, which stood at over ₹14.64 lakh crore at the end of December 2025. The issuance remains subject to shareholder approval.
LIC added that the bonus shares are expected to be credited or dispatched within two months from the board approval, tentatively by June 12, 2026.
The move is seen as a step to enhance retail participation and improve trading liquidity in the stock, which has been closely watched since the insurer’s market debut in May 2022.
The shares listed at ₹875.45 on the NSE, a discount of nearly 8 per cent to the issue price.
Published on April 13, 2026