LIC did not expect a big listing as markets volatile, says Chairman: Report

Shares of the much-awaited Life Insurance Corporation of India (LIC) made a weak listing on the stock exchanges on Tuesday.

FPJ Web DeskUpdated: Tuesday, May 17, 2022, 12:45 PM IST
article-image
LIC listed on the stock exchanges at a discount of 8.62 percent at Rs 867, from its Initial Public Offering (IPO) issue price of Rs 949. |

Life Insurance Corporation of India (LIC) Chairman MR Kumar on Tuesday said a big listing was not expected for shares of the life insurer as the markets have been volatile, according to news reports.

".I'm sure a lot of people, including policyholders, would have missed out on the allotment. They will also pick up the shares. So I don’t see any reason why it should be tepid for too long,” he said, in an interview to The Hindu.

Shares of the much-awaited Life Insurance Corporation of India (LIC) made a weak listing on the stock exchanges on Tuesday.

The Indian insurance major listed on the stock exchanges at a discount of 8.62 percent at Rs 867, from its Initial Public Offering (IPO) issue price of Rs 949.

The initial public offering of LIC had, however, received robust response from investors as the insurance major's offer has been subscribed 2.89 times.

It received bids for 46.77 crore equity shares against IPO size of 16.2 crore equity shares.

The portion set aside for policyholders has been subscribed 5.97 times, employees bid 4.31 times the allotted quota and retail investors 1.94 times, while the reserved portion of qualified institutional buyers has booked 2.83 times and that of non-institutional investors 2.8 times.

The long-awaited IPO for the LIC was open for subscription till May 9.

The government has brought down the issue size from 5 per cent to 3.5 per cent -- Rs 21,000 crore.

It will be a landmark public issue in the history of the Indian capital market and is poised to be India's biggest IPO till date.

The IPO values LIC at Rs 6 lakh crore.

The issue offer of the LIC was in the price band of Rs 902 to Rs 949.

Also, the policyholders were offered a Rs 60 discount, while for retail investors, the discount was at Rs 45.

(To receive our E-paper on whatsapp daily, please click here. To receive it on Telegram, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)

RECENT STORIES

CBI court refuses to extend judicial custody of Delhi Minister Satyendar Jain

CBI court refuses to extend judicial custody of Delhi Minister Satyendar Jain

Maharashtra: SC begins hearing Shinde & rebel MLAs' plea against disqualification

Maharashtra: SC begins hearing Shinde & rebel MLAs' plea against disqualification

Karnataka High Court acquits woman accused of killing her epileptic baby

Karnataka High Court acquits woman accused of killing her epileptic baby

Navi Mumbai: No water supply in Ulwe node since Friday

Navi Mumbai: No water supply in Ulwe node since Friday

Alia Bhatt announces 'pregnancy' with Ranbir Kapoor: 'Our baby coming soon'

Alia Bhatt announces 'pregnancy' with Ranbir Kapoor: 'Our baby coming soon'