Center raises around Rs 21,000 crore by selling 3.5 per cent stake in LIC
Shares of Life Insurance Corporation of India (LIC) made a sluggish start on the Indian stock exchanges today. The Center last week priced LIC’s record-breaking initial public offering (IPO) at Rs 949, which is on top of the indicated range. It has raised around Rs 21,000 crore by selling 3.5 per cent stake in the state-owned insurance company.
Here are the live updates on LIC listing:
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As of 10:01 am, LIC shares were trading at 902.95, down 4.85 per cent on the BSE. The stock was down 3.61 per cent at Rs 914.75 on the NSE.
lukewarm debut
On BSE, LIC shares were listed at a discount of 8.62 per cent – at Rs 867.20 – to the issue price of Rs 949. The stock got listed on the NSE platform at a discount of 8.11 per cent to Rs 872.
BSE data shows that till 9:43 am, LIC shares were seen trading at a discount of 12.64 per cent at Rs 829.
The proceeds from the LIC issue are about a third of the Rs 65,000 crore disinvestment target set for the current fiscal.
The IPO closed with almost 3x subscriptions. LIC had last month reduced the size of its IPO to 3.5 per cent from the earlier fixed 5 per cent due to prevailing market conditions.
LIC received good response from domestic investors in its initial share sale. The IPO closed on May 9 and shares were allotted to the bidders on May 12. The shares will be listed on BSE and NSE.