BNP Paribas Cardif is planning to sell up to 2.5cr shares, representing a 2.5% stake in SBI Life Insurance
for at least Rs1,625cr through an offer for sale (OFS) mechanism.
The sale price of the OFS shares has been fixed at Rs650 apiece, an 8.5% discount to Monday’s closing.
The offer will open on June 25 for non-retail investors and on June 26 for retail investors. BNP has reserved 10% of the OFS shares for retail investors.
BNP Paribas Cardif (the “Seller”), one of the promoters of SBI Life Insurance Company Limited (the “Company”), proposes to sell up to 25,000,000 shares of face value of Rs10 each representing 2.5% of the equity share capital of the Company (on a non-diluted basis), on the separate windows provided by BSE Limited (the “BSE”) and the National Stock Exchange of India Limited (“NSE”, and together with the BSE, the “Stock Exchanges”) (such offer for sale hereinafter referred to as the “Offer”), SBI Life said in the press note.
The Offer shall take place during trading hours on a separate window of the Stock Exchanges on T day i.e. June 25, 2019, commencing at 9:15 a.m. and shall close at 3:30 p.m. Indian Standard Time on the same date, the insurance company said.
On the T day, Non-Retail Investors may indicate their willingness to carry forward their unallotted bids to T+1 day (defined below) for allocation to them in the unsubscribed portion of Retail Category (defined below).
In March, BNP Paribas Cardif sold 5cr shares of SBI Life through a block deal for Rs2,889cr at an average price of Rs577.93 a share. Following the deal, BNP Paribas Cardiff ’s stake in SBI Life came down to 7.7% from 12.7%.