New Delhi: The price band for the much-awaited initial public offering of India’s largest insurance company, the Life Insurance Corporation of India, has been set at Rs 902-Rs 949 per share, according to an official. LIC has reserved 10 per cent of the issue size for policyholders, who will get a discount of Rs 60 per share.
The IPO is likely to open for bidding on May 4 and close on May 9, according to sources in the know of the matter. Moreover, the government is aiming to file Red Herring Prospectus (RHP) for LIC IPO this week. Through the public offering, the Centre is aiming to sell a 3.5 per cent stake in the insurance behemoth.
LIC has reserved 10 per cent of the issue size for policyholders and 5 per cent for employees. The IPO will have Rs 60 per share discount for its policyholders. LIC has reserved up to 35 per cent of its total IPO size for retail investors.