LIC Approves 1:1 Bonus Shares for Investors; Every Investor Should Know Details

Life Insurance Corporation of India (LIC) has approved the issuance of bonus equity shares in the ratio of 1:1 in its board meeting on April 13, 2026. According to the exchange filing given by the company, this decision has been taken with the aim of providing additional benefits to the shareholders.

A 1:1 bonus issue means that the company will offer each shareholder one additional fully paid-up equity share free of cost for every one equity share he holds. For example, if an investor holds 100 shares, he will receive 100 additional shares, taking his total number of shares to 200. However, in this process there is no immediate increase in the total investment value, as the market value of the shares gets adjusted proportionately.

Key details related to the bonus issue

1. Number of shares to be issued:

The company will issue approximately 632,497,701 equity shares, the face value of which will be Rs 10 per share. Their total amount will be approximately Rs 6,324.99 crore.

2. Source of Bonus Share:

These bonus shares will be issued from the reserves & surplus of the company available till December 31, 2025.

3. Change in share capital

A- Pre-Bonus Paid-up Capital:

Rs 6,324.99 crore, which includes 632,49,97,701 equity shares.

B- Post-Bonus Paid-up Capital:

Rs 12,649.99 crore, which will include 1,264,99,95,402 equity shares.

C- Authorised Share Capital:

Rs 25,000 crore, which is divided into 2,500,000,000 equity shares of Rs 10 face value.

On April 13, 2026, LIC shares closed at Rs 803.65 per share on the National Stock Exchange (NSE), registering a rise of 0.66%. The company announced the bonus issue after the market closed.

Briefly about the company

Life Insurance Corporation of India is India’s largest insurance company and is a major public sector undertaking. The company was established on 1 September 1956 under the Life Insurance Corporation Act. The total assets under management (AUM) of the company are more than Rs 57 lakh crore by the year 2025-26. LIC launched its initial public offering (IPO) in May 2022, and its shares were listed on the stock exchange on 17 May 2022.

The company offers a variety of financial and insurance services, including insurance plans, pension plans, unit-linked plans (ULIP), micro-insurance, and health insurance plans.

Through a 1:1 bonus issue, LIC is offering additional shares to its shareholders, which will increase their holding. However, this change is mainly limited to an increase in the number of shares and does not initially have a direct impact on the total investment value.