LIC gets SEBI approval for mega IPO: Reports

9 Mar 2022 , 12:55 PM

Country’s largest insurance company, Life Insurance Corporation of India (LIC) has received SEBI’s approval to float its mega public issue, media reports stated on Wednesday. State-owned LIC is set for its mega IPO and has completed all its planned roadshows with investors, said report.

The insurance company had filed the Draft Red Herring Prospectus (DRHP) for its IPO with the capital markets regulator earlier on February 12 to sell a 5% stake in the firm.

Although SEBI has given its green light to the LIC IPO, the government is still in the process to finalize the date of the launch of IPO owing to current geopolitical situation where foreign investors have reduced their appetite for Indian equities. Also, the final call on the timing of the IPO will be taken by the government only, the source said, as per the media report.

Originally, the government aimed for the mid-March week to launch the IPO. However, the market turbulence due to ongoing Russia-Ukraine war put the government on dilemma over the launching of IPO as it may get pushed to next fiscal amid high market volatility environment.

Also, during a recent interview, Finance Minister Nirmala Sitharaman has stated, “if global considerations warrant that I need to look at it, I wouldn’t mind looking at it again”.