Life Insurance Corporation (LIC) has priced its Initial Public Offering (IPO) at the top end of the indicated range: 949, as reported by Bloomberg. Trading of LIC shares on the stock exchanges is scheduled to begin from Tuesday, May 17, 2022.
LIC’s mega public offering closed at the end of the six-day bidding period with nearly 3x subscriptions, mainly by domestic retail and institutional buyers, but participation from foreign investors remained muted. anchor part LIC IPO More than 70% were subscribed by domestic institutions, including mutual fund insurance companies.
The government has reduced the 3.5% stake in the insurance giant through an offer for sale (OFS). Due to prevailing market conditions, the government has reduced the issue size from 5% to 3.5% as decided earlier.
Despite the reduced size of approx. 20,557 crore, the share sale is the biggest ever in the country. LIC was formed on September 1, 1956 by merging and nationalizing 245 private life insurance companies with an initial capital of Rs. 50 million.