A total of 10,86,45,360 shares received the bids as against the offered 16,20,78,067 equity shares, excluding shares offered to anchor investors, by 7:00 pm on the stock exchanges.
The blockbuster IPO of Life Insurance Corporation of India (LIC) got 67 percent subscription on day one of the opening of the offer, with strong demand coming from the policyholders, employees and retail investors.
LIC policyholders led the bout as they lapped up twice (1.99 times) their portion of the offer. The portion allocated to the employees also got fully subscribed (1.17 times) on day one itself while the retail investors closed on 60 percent of their allocated portion.
The portion set aside for non-institutional investors was subscribed 0.27 times while qualified institutional buyers lapped up 33 percent of their allocated portion on day one.
A total of 10,86,45,360 shares received the bids as against the offered 16,20,78,067 equity shares (excluding shares offered to anchor investors), by 7:00 pm on the stock exchanges. The IPO is an offer-for-sale of up to 221,374,920 equity shares of face value of Rs 10 each wherein the Government of India is aiming to garner Rs 21,000 crore against the sale of 3.5 percent of its stake.
The corporation had already raised Rs 5,627 crore from anchor investors on May 2, who were allotted 5,92,96,853 equity shares at the upper price band of Rs 949 per share.
The brokerages have given a thumbs-up to the IPO recommending investors to ‘subscribe’ to the issue. They believe that LIC’s dominance in the market is well-positioned to capture India’s underpenetrated life insurance market.
