LIC IPO only after govt disinvests 3 other PSUs- Avaneesh Parasar
The mega initial public offering (IPO) of LIC will be rolled out only after the government disinvests three other PSUs. Here is all you need to know, by Avaneesh Parasar
The much-awaited initial public offering (IPO) of Life Insurance Corporation (LIC) will be rolled out only after the government completes the process of disinvesting at least three other public sector units.
The National Fertilisers Ltd, Mishra Dhatu Nigam Ltd and Rashtriya Chemical and Fertilisers Ltd will be divested through an offer for sale (OFS) within the next quarter before the LIC IPO, reported The Economic Times after speaking with a senior finance ministry official.
Read- Cryptocurrency Price Daily update
He told the publication that LIC’s IPO will hit the markets early next year, adding that the other issues will be completed before as all necessary applications are in place. It may be noted that the LIC had got in-principle approval from the cabinet committee on economic affairs (CCEA) for the mega public issue.
As per estimates, a 10 percent stake sale in LIC would generate approximately Rs 1 to 1.5 lakh crore. Along with the LIC IPO, the government is also wThe person quoted in the ET report said the government will disinvest a 20 per cent stake in National Fertilizers where it holds 74 per cent stake, and it will also sell a 10 per cent stake each in Rashtriya Chemical and Fertilisers and Mishra Dhatu Nigam.
Read- Biggest Crypto Scam in History
Earlier in the week, the government sold an eight per cent stake in Housing and Urban Development Corporation Ltd (Hudco) through an offer for sale. The issue was subscribed nearly 2 times by non-retail investors working towards strategic disinvestment in companies such as Air India and BPCL.
Source- https://www.indiatoday.in/business/story/lic-ipo-only-after-govt-disinvests-3-other-psus-report-1834275-2021-07-29
