LIC IPO to likely to open on May 4: Report – Times of India

NEW DELHI: The a lot awaited preliminary public providing (IPO) of Life Insurance Corporation (LIC) of India is more likely to open on Could 4, information company Reuters reported quoting sources.
The problem is anticipated to be open for 4 days until Could 9.
Valued at Rs 6 lakh crore, the IPO has been broadly anticipated by buyers.
The Centre can be more likely to minimize the dimensions of the IPO to three.5 per cent to lift round Rs 21,000 crore from the difficulty.
In February, the federal government had deliberate to promote 5 per cent stake in LIC. Nonetheless, the continuing market volatility as a result of Russia-Ukraine warfare has made it decrease the IPO dimension.
The draft papers filed then had talked about that the federal government will promote 5 per cent stake or 31.6 crore shares within the state-run insurer.
As per norms set by the Securities and Change Board of India (Sebi), corporations with valuation over Rs 1 lakh crore need to promote 5 per cent stake in IPO.
LIC’s embedded worth, which is a measure of the consolidated shareholders worth in an insurance coverage firm, was pegged at about Rs 5.4 lakh crore as of September 30, 2021, by worldwide actuarial agency Milliman Advisors.
Primarily based on investor suggestions, the market worth of government-owned LIC has been pegged at 1.1 occasions its embedded worth or Rs 6 lakh crore.
(With inputs from businesses)

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