There is good news for the people waiting for the Initial Public Offering (IPO) of Life Insurance Corporation (LIC). Actually, the launch date of the company’s IPO has been revealed.
When is the launching date: The launch of the IPO will take place on May 4, which is expected to close on May 9. Through the IPO, the government will sell its 3.5 per cent stake in the public sector company. With this, the government will get Rs 21,000 crore. Based on the IPO, the valuation of LIC works out to Rs 6 lakh crore.
When will the price band be announced? Reuters quoted sources as saying that the price band per equity share of LIC is likely to be announced on Wednesday. However, it is being speculated that the issue price could be Rs 950-1000.
Reuters sources said the LIC management and investment bankers will launch roadshows in six cities across India, including Mumbai, New Delhi, Bengaluru, Ahmedabad, Rajkot, Kolkata, where they will meet potential investors and analysts from Wednesday. The roadshow is likely to end by the end of this week.
How long listing: The listing of LIC is expected to be done by May 15. Earlier, on the date of allotment, investors would be able to know whether they got the IPO or not. If the IPO is not allotted, the money will be refunded.