1:1 LIC Bonus Issue: Last Day To Buy LIC Shares For Bonus Eligibility Tomorrow; Check Record Date

Tomorrow is the last day for investors to buy LC shares to be eligible for the first-ever 1:1 Bonus issue announced by the company.

Shares of Life Insurance Corporation of India, popularly known as LIC, are likely to remain in focus on Wednesday May 26. LIC recently announced a 1:1 bonus share issue, meaning shareholders will receive one additional free share for every one LIC share they currently hold.

The LIC bonus issue has generated massive interest among retail investors and long-term shareholders, especially because this is the maiden bonus issue by LIC since its stock market listing. According to reports, nearly 22 lakh shareholders are expected to benefit from the bonus announcement.

LIC 1:1 Bonus Issue Explained

Under the 1:1 bonus ratio, investors holding LIC shares will receive one free bonus share for every one existing share held in their demat account. This means if an investor owns 100 LIC shares, the total holding will become 200 shares after the bonus shares are credited.

However, while the number of shares held increases, the overall value of the investment remains unchanged initially because the stock price adjusts proportionately after the bonus issue.

LIC Bonus Issue Key Dates

Those who are looking to qualify for the LIC bonus shares must know these important dates announced by the company.

May 27, Wednesday, is the last day to buy LIC shares for bonus eligibility. Since Indian stock markets follow the T+1 settlement cycle, shares purchased on May 27 are expected to be credited to investors' demat accounts by the record date.

May 28, Thursday, will remain a stock market holiday on account of Bakrid (Eid al-Adha).
May 29, 2026, Friday, has been fixed as the official record date for the LIC bonus issue. Shareholders whose names appear in company records and whose LIC shares are available in demat accounts on this date will become eligible for bonus shares.

LIC is expected to credit bonus shares to eligible shareholders' demat accounts on or before June 12, 2026.

Who Is Eligible For LIC Bonus Shares?

Only LIC shareholders are eligible for the bonus issue. This benefit is not available to LIC insurance policyholders unless they also own LIC shares.

To receive bonus shares, investors must ensure LIC shares are present in their demat account by the record date of May 29, 2026. Investors purchasing LIC shares on May 28 or later will not qualify for the bonus issue.

LIC Bonus Issue Financial Impact

After the 1:1 bonus issue, LIC's share capital will double from Rs. 6,324.99 crore to Rs. 12,649.99 crore. The total number of fully paid-up equity shares of face value Rs. 10 each will also double from around 632.5 crore shares to nearly 1,265 crore shares.

The company clarified that the bonus shares will be issued from reserves and surplus worth around Rs. 6,325 crore.

LIC Shares Today

At the end of Trading today LIC Shares closed with 2.19% gains at Rs. 855.70 apiece on the NSE.