LIC IPO: The government has filed an updated draft paper with Q3 Financial


New Delhi: The government has filed an updated draft paper with market regulator SEBI for an initial public offering. LICIncluding the financial affairs of Insurance Behemoth’s December quarter, an official said Monday.
In the run-up to the mega IPO, on February 13, the government filed a draft red herring prospectus (DRHP) with the regulator detailing its financial results for September. DRHP received SEBI approval earlier this month.
“LIC’s updated DRHP has been filed with December Financial,” an official said, adding that it was necessary to do so as per Sebi’s observations.
According to the updated financial report, Life Insurance Corporation reported Rs. 235 crore net profit. In April-December, 2021, net profit was Rs. 7.08 crore to Rs. 1,671.57 crore.
The government has allocated Rs. To meet the disinvestment target of Rs 78,000 crore, it sold about 31.6 crore or 5 per cent stake in the life insurance company to raise Rs. Expects revenue of over Rs 60,000 crore.
The IPO was originally planned to launch in March, but the Russia-Ukraine crisis has derailed the plan because stock markets are extremely volatile.
The government has till May 12 to launch an IPO without filing new papers with the Securities and Exchange Board of India.
The embedded value of LIC, which is a measure of the value of unified shareholders in an insurance company, is estimated to be approximately Rs. 5.4 lakh crore was fixed.
Although DRHP does not disclose the market value of LIC, by industry standards it will be about 3 times the embedded value.
In a 5 per cent reduction, the LIC IPO It will be the largest ever in the history of the Indian stock market and once its market valuation will be compared with the top companies like RIL and TCS.
So far, the amount raised from Paytm’s IPO in 2021 is the largest ever. 18,300 crore, followed by Coal India (2010) at around Rs. 15,500 crore and Reliance Power (2008) Rs. 11,700 crore.
So far during the current financial year, Rs. 12,423.67 crore has been collected. The target for the entire financial year is Rs. 78,000 crore.
The disinvestment target for the next financial year is Rs. 65,000 crore.

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