The Life Insurance Corporation earned a net profit of Rs 235 crore in the October-December quarter, according to latest financials. From April to December 2021, the net profit grew to Rs 1,671.57 crore, up from Rs 7.08 crore the previous year.
New Delhi: On Wednesday, April 13, 2022, the government is said to file an updated draft red herring prospectus (UDRHP) for Life Insurance Corporation of India’s (LIC) Initial Public Offering (IPO) with market regulator Securities and Exchange Board of India (SEBI).
The government may sell 5-6.5 percent of its share in LIC to raise Rs 50,000-60,000 crore through the stock market. The IPO was originally intended to open in March, but it was postponed due to the sluggish market caused by the Russia-Ukraine situation.
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The government has agreed to launch the largest initial public offering (IPO) of LIC by the end of April, between April 25 and 29.
Previously, the government planned to make its initial public offering (IPO) in March 2022. The government was unable to meet the earlier deadline due to market volatility caused by the Russia-Ukraine war.
For the red herring prospectus, the government is in contact with bankers and financial advisors (RHP). A firm files a RHP, also known as an offer document, with the capital markets regulator Securities and Exchange Board of India (SEBI) prior to going public.
In the LIC IPO, the government may offer to sell more than 5% of its
On February 13, in the run-up to the massive IPO, the government filed a draft red herring prospectus (DRHP) with the SEC, detailing financial results up to September. The DRHP was approved by the Sebi in March 2022.
“Updated DRHP of LIC with December financials has been filed,” a company official told PTI, adding that it was mandated by Sebi.
The Life Insurance Corporation earned a net profit of Rs 235 crore in the October-December quarter, according to latest financials. From April to December 2021, the net profit grew to Rs 1,671.57 crore, up from Rs 7.08 crore the previous year.
To fulfill the limited disinvestment target of Rs 78,000 crore in the current fiscal, the government expects to raise over Rs 60,000 crore by selling roughly 31.6 crore or 5% of the life insurance firm.
