Four law firms, such as Crawford Bayley and Cyril Amarchand Mangaldas, are in the race to act as adviser for the mega listing of Life Insurance Corporation (LIC) in the March quarter. The other two firms are Link Legal and Shardul Amarchand Mangaldas.
Following insufficient demand received in the 1st request for proposal (RFP), the division of investment and public asset management (DIPAM) had not too long ago floated a fresh RFP to pick a legal adviser for the IPO of the insurance coverage behemoth.
To get adequate interest from possible bidders, DIPAM relaxed specific norms to on payment of costs, wherein the chosen legal adviser can now get half of its costs immediately after filing of the Draft Red Herring Prospectus and the balance immediately after the listing of LIC.
Earlier, the chosen bidder was supposed to get the advisory charge only immediately after productive completion of the transaction. The 4 shortlisted legal firms will make their presentations to DIPAM on Friday.
The mega IPO of LIC is anticipated to be completed in the existing monetary year. According to analysts, a 10% stake sale in LIC could fetch the government something involving Rs 80,000-one hundred,000 crore, which is critical to attain the disinvestment target for FY22.