Lagatar24 Desk
New Delhi, April 26: The much-anticipated initial public offering (IPO) of the Life Insurance Corporation of India is expected to begin on May 4, according to the news agency ANI.
According to sources, the government, which controls 100% of the insurance behemoth, proposes to sell a 3.5% stock instead of the 5% announced in the previous Draft Red Herring Prospectus (DRHP).
Due to the current market conditions, LIC has reduced the size of its IPO from 5% to 3.50%. At a board meeting on Saturday, a proposal to cut the size of LIC’s IPO to 3.5 percent from the intended 5% in its draught red herring prospectus (DRHP) was tabled and agreed.
The Securities and Exchange Board of India (SEBI) approved the Life Insurance Corporation of India’s initial public offering application last month (LIC). The company has filed a Draft Red Herring Prospectus with the Securities and Exchange Board of India, the country’s market regulator (SEBI).
It has until May 12 to conduct its initial public offering. If it is not completed by May 12, the company will have to file new documents with the market regulator. The government had planned to float LIC in the previous fiscal year, which ended March 31, but had to postpone the sale because the Russia-Ukraine conflict caused a market meltdown.
