LIC Share Price in Focus; Announces Issuance of 1:1 Bonus Equity Shares

The Life Insurance Corporation of India (LIC) has announced the issuance of bonus equity shares in a 1:1 ratio, subject to shareholder approval. This move is aimed at rewarding shareholders and enhancing share liquidity. 

Details of the Bonus Equity Shares 

On April 13, 2026, LIC's Board of Directors approved the issuance of bonus equity shares in a 1:1 ratio to existing shareholders. The record date for this issuance will be announced later.  

The current authorised equity share capital of LIC is ₹25,000 crore, with a paid-up equity share capital of ₹6,324.99 crore. Following the bonus issuance, the paid-up equity share capital will increase to ₹12,649.99 crore. 

Financial Performance and Rationale 

As of December 31, 2025, LIC's Reserves & Surplus stood at ₹1,46,440.58 crore, and the Profit After Tax for the 9-month period ended December 31, 2025, was ₹33,998 crore.  

The Board believes that the bonus issuance is a suitable way to reward shareholders and balance the paid-up capital with accumulated reserves. It also aims to make the shares more affordable and attractive to a wider range of investors. 

Impact on Financial Parameters 

LIC has clarified that the issuance of bonus shares will not affect its solvency margin or any other financial parameters.  

The company has been consistently paying and increasing dividends since its listing in May 2022, with dividends rising from ₹1.50 per share to ₹12 per share. 

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CEO's Statement 

As per exchange filings, 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 ₹1.50 per share to ₹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.” 

Life Insurance of India Share Price Performance 

As of April 13, 2026, at 3:30 PM, Life Insurance of India share price on NSE was closed at ₹803.65 up by 0.66% from the previous closing price. 

Conclusion 

LIC's decision to issue 1:1 bonus equity shares reflects its commitment to shareholder value and market presence. This strategic move aims to enhance share liquidity and attract a broader investor base, while maintaining financial stability. 

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