LIC IPO price band at Rs.902-949, issue size Rs 21,000 Cr, Details inside

The price band for the Rs 21,000 crore public offer, which is expected to commence on May 4, has been set at Rs 902-949 per share, according to sources. Policyholders would receive a Rs 60 discount, while retail investors and employees will receive a Rs 40 reduction. The issue is planned to open for subscription on May 4 and close on May 9, with a bid lot of 15 shares.

On May 2, anchor investors can subscribe to the insurance company's shares. By selling 22.13 crore shares in this IPO, the government will shed a 3.5 percent interest in the insurance behemoth. According to reports, LIC has set aside 2.21 crore shares, or 10 percent of the offer size, for policyholders and 15 lakh shares for employees. Following the reservations of policyholders and share holders, the remaining shares will be allotted in the following proportions: 50 percent for qualified institutional buyers (QIB), 35 percent for retail investors, and 15 percent for non-institutional investors. According to sources, anchor investors will receive 60 percent of the QIB portion.

The government had submitted draught papers with Sebi in February, intending to sell a 5 percent interest in the insurance behemoth, or 31.6 crore shares. The ongoing market volatility caused by the Russia-Ukraine conflict, however, hampered the IPO plans. The government decided last week to reduce the issue size to 3.5 percent.

Rupee recovers to 76.60 against US dollar amid fall in Crude oil

Crude Oil prices extend losses amid extended COVID lockdowns in Shanghai

Sensex up 776-pts with gains in energy, banking and auto stocks

- Sponsored Advert -

Most Popular

- Sponsored Advert -