Life Insurance Corporation (LIC) lists on BSE at a discount of ₹867.20 per share, 8.62 per cent or ₹81.80 from the initial public offering (IPO) allocation price of ₹949.
Shares of the insurance giant were last trading at ₹912, up 5 percent from its listed price of ₹867.20 and nearly 4 percent below its issue price of ₹949 per share.
On NSE, the insurance giant’s listing price stood at ₹872, indicating a discount of 8.11 per cent from the issue price of ₹949 per share. According to NSE, the stock was last down 3.61 per cent at ₹914.75.
Despite the huge volatility in the global financial markets, LIC’s IPO received an overwhelming response. The offer was nearly three times oversubscribed, led by policyholders who bid for more than six times the shares on offer.
Indeed, LIC IPO (India’s biggest ever) closed with nearly 3x subscriptions, mainly by retail and institutional buyers, but participation from foreign investors remained muted.
LIC had fixed the issue price of its shares at ₹949 after a successful initial public offering, fetching ₹20,557 crore to the government.
Taking into account the discounts given to LIC policyholders and retail investors, shares have been received at a price of ₹ 889 and ₹ 904 respectively. The shares listed on Tuesday on BSE and NSE at a discount of ₹81.80 and ₹77, respectively, to its issue price of ₹949 per share.
The government sold 22.13 crore shares or 3.5 per cent stake in LIC through IPO. The issue price band was ₹ 902-949 per share. However, shares were allotted to investors at the upper end of the price band on May 12.