Govt cuts LIC IPO size to 35 issue to hit markets in May 1st week
New Delhi Apr 23 PTI The government is likely to cut the size of the initial public offering of LIC to 35 per cent to raise around Rs 21000 crore from the issue which would hit the capital markets in the first week of the next month The government in February had planned to sell a 5 per cent stake in Life Insurance Corporation LIC However the ongoing market volatility due to the Russia-Ukraine war has made it lower the IPO size At this price LIC which is 100 per cent government-owned is valued at Rs 6 lakh crore LIC is likely to file the red herring prospectus with market regulator Sebi by Wednesday LIC IPO is likely to come to the market in May first week 35 per cent stake dilution subject to regulatory approval an official said Reservations for policyholders and employees and discounts issue dates and issue price will be known by Wednesday the official added In February LIC had filed draft papers with Sebi wherein it had said that the government will sell 5 per cent stake or 316 crore shares in the state-run insurer LICs embedded value which is a measure of the consolidated shareholders value in an insurance company was pegged at about Rs 54 lakh crore as of September 30 2021 by international actuarial firm Milliman Advisors LIC IPO would contribute a major chunk to the budgeted disinvestment proceeds in the current fiscal The government has pegged disinvestment receipts at Rs 65000 crore in the current fiscal up from Rs 13531 crore raised in the last fiscal PTI JD ANZ MR MR
New Delhi Apr 23 PTI The government is likely to cut the size of the initial public offering of LIC to 35 per cent to raise around Rs 21000 crore from the issue which would hit the capital markets in the first week of the next month The government in February had planned to sell a 5 per cent stake in Life Insurance Corporation LIC However the ongoing market volatility due to the Russia-Ukraine war has made it lower the IPO size At this price LIC which is 100 per cent government-owned is valued at Rs 6 lakh crore LIC is likely to file the red herring prospectus with market regulator Sebi by Wednesday LIC IPO is likely to come to the market in May first week 35 per cent stake dilution subject to regulatory approval an official said Reservations for policyholders and employees and discounts issue dates and issue price will be known by Wednesday the official added In February LIC had filed draft papers with Sebi wherein it had said that the government will sell 5 per cent stake or 316 crore shares in the state-run insurer LICs embedded value which is a measure of the consolidated shareholders value in an insurance company was pegged at about Rs 54 lakh crore as of September 30 2021 by international actuarial firm Milliman Advisors LIC IPO would contribute a major chunk to the budgeted disinvestment proceeds in the current fiscal The government has pegged disinvestment receipts at Rs 65000 crore in the current fiscal up from Rs 13531 crore raised in the last fiscal PTI JD ANZ MR MR
