The initial public offering (IPO) of the state-owned Life Insurance Corporation of India (LIC) got full subscription on Friday for the third day in the retail category. According to the data available in the stock exchanges till 7 pm, the public sector company received 22,36,98,915 bids for 16,20,78,067 shares. This is 1.38 times as compared to the total issue.
As per the data available on BSE, the portion comprising of Qualified Institutional Buyers (QIBs) and Non-Institutional Buyers is yet to be fully subscribed. On the third day, the QIB segment was subscribed 56 per cent and the non-institutional buyers category 76 per cent.
On the other hand, the company’s IPO for 6.9 crore shares reserved for retail investors received 1.23 times subscription i.e. 8.53 crore bids on the third day. The policyholders’ share was subscribed a little over four times, while the employees’ share got over three times the subscription.
The government expects to raise Rs 21,000 crore from LIC’s IPO. It is selling its 3.5 per cent stake in LIC. The price range for the IPO has been fixed at Rs 902 to 949 per share. The company’s IPO opened for retail and institutional investors on Wednesday and will close on May 9.
This IPO is in the form of Offer for Sale (OFS) and through this the government wants to sell 22.13 crore shares. The company’s shares are likely to be listed on May 17.