LIC, one of the biggest insurer companies of the country with more than 68% of the market share, is planning to file the draft IPO papers next month.
“We target to bring the IPO within this fiscal and we have set strict timelines. The DRHP would be filed by November,” a finance minister said.
LIC IPO Details
- The planning to file for IPO started last month. Where the government has even appointed 10 merchant bonkers who would be managing the LIC IPO.
- The list of bankers include – Goldman Sachs (India) Securities Pvt Ltd, Citigroup Global Markets India Pvt Ltd, Nomura Financial Advisory and Securities (India) Pvt Ltd, SBI Capital Market Ltd, JM Financial Ltd, Axis Capital Ltd, BofA Securities, J P Morgan India Pvt Ltd, ICICI Securities Ltd, and Kotak Mahindra Capital Co Ltd.
- Once the draft red herring prospectus (DRHP) is filed, merchant bankers will hold global and domestic road shows for investors by January, the official said.
- The legal advisor appointed for the IPO is none other than Cyril Amarchand Mangaldas.
- The government has appointed Milliman Advisors LLP India to determine the value of LIC.
- Once the value of LIC is determined. The amount of government stake that would be divested through IPO will be calculated.
- The Cabinet Committee on Economic Affairs which was held in July had already cleared the public offering of LIC.
- The LIC listing will help the government in the disinvestment plan of Rs 1.75 Lakh crore for 2021-22 financial year.