LIC IPO DRHP with SEBI: LIC is expected to file draft IPO papers with the market regulator today.
LIC (Life Insurance Corporation of India) IPO DRHP: Life Insurance Corporation (LIC) IPO may now just be around the corner with the state-owned company expected to file its Draft Red Herring Prospectus (DRHP) today, according to market chatter. The much-awaited LIC IPO is expected to be the biggest ever witnessed by the country. Earlier this week, department of investment and public asset management secretary Tuhin Kanta Pandey told FE that LIC could file the draft IPO papers by “Thursday or Friday”. Preparations for the public issue have been in full swing after the embedded value (EV) was finalized at over Rs 5 lakh crore. The IPO is expected to hit the street in March.
LIC’s IPO may help the government reach its revised divestment target of Rs 78,000 crore, down from the initial target of Rs 1.75 lakh crore. So far this financial year the government has managed to raise Rs 12,000 crore from divestment receipts. Assuming the government raises the remaining Rs 66,000 crore from the LIC IPO with a 5% stake sale, that would value LIC entirely at Rs 13 lakh crore.