Private Equity

PE Fund Investments

LIC's Rs.21,000-Cr IPO oversubscribed nearly 3X

PTI  

Life Insurance Corporation of India's mega IPO - the country's largest - was oversubscribed nearly 3X. The QIB (Qualified Institutional Buyers) portion was subscribed 2.83 times, policyholder 6X, and employees 4.36X. Retail investors' interest was nearly 2X than the number of shares reserved. The Union government is expected to rake in INR 21,000 crore via the sale of its 3.5% stake via the completely “offer for sale” issue. As of December 2021, LIC had a market share of 61.6% in terms of premiums or gross written premium, 61.4% in terms of new business premium, 71.8% in terms of the number of individual policies issued and 88.8% in terms of the number of group policies issued. Prior to LIC's IPO, the largest issues were the IPOs of Paytm in 2021 (INR 18,300 crore), followed by Coal India (2010) at nearly INR15,500 crore and Reliance Power (2008) at INR 11,700 crore.