Life Insurance Corporation, which is expected to list on the stock exchanges soon, could see its IPO get slashed by 40 percent versus previous estimates because of the Ukraine war, Bloomberg reported on Friday citing people with knowledge of the matter.
In April, the government said it was looking to raise Rs 50,000 crore by selling nearly 7 percent stake in the country’s largest private insurance operator. The current stake sale estimates stand at 5 percent, which will value LIC at some Rs 6 lakh crore, the report added.
The total IPO size may be around Rs 21 crore, with a greenshoe option of Rs 9,000 crore, Business Standard reported, citing sources. Bloomberg’s report also says the IPO could now be valued at Rs 30,000 crore.
Officials want to complete the listing in the next two weeks, with the IPO likely to hit the market on May 2.
LIC’s IPO would be the biggest ever in India, surpassing Paytm’s.
