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On March 11 LIC is expected to undertake an initial public offering (IPO)

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Three sources with direct knowledge of the subject told Reuters that India’s state-run Life Insurance Corp (LIC) will begin a public offering of shares on March 11 for anchor investors, which is expected to be the country’s largest yet at $8 billion.

Other investors would be able to bid on the book after a few days, according to the sources.

BAND OF LIC IPO PRICES

The LIC IPO is anticipated to receive regulatory approval by the first week of March, after which an indicative marketing price band would be created, according to the sources, who declined to be identified since the deal discussions are confidential.

LIC did not respond to a request for comment. A Reuters request for comment was not immediately returned by a representative for the finance ministry.

INDIA’S MAJOR INITIAL PUBLIC OFFERING

The IPO of the insurer will be a test of the depth of India’s financial markets, where equity deals for more than a few billion dollars are uncommon. Last year, payments company Paytm had the largest IPO to date, valued at $2.5 billion.

Investor demand for new stock offerings has been dampened by LIC’s offering, with several Indian businesses that floated last year trading below offer prices due to concerns about high valuations and impending interest rate hikes by central banks.

According to the sources, the IPO debut date may vary, but the issuer is currently trying to meet those deadlines.

DETAILS OF THE LIC INITIAL PUBLIC OFFERING

On Sunday, LIC, India’s largest insurance business, submitted a draught IPO prospectus with the stock exchange regulator, proposing to sell 5% of the Indian government’s holding to raise roughly $8 billion.

LIC could begin offering public shares by mid-March, according to sources who spoke to Reuters last month. They didn’t go into detail.

The government is rushing to complete the IPO by the end of March to achieve its 6.4 per cent of GDP budget deficit target for 2021/22, which is predicated on generating roughly 600 billion Indian rupees ($8.03 billion) from the offering.

New Delhi cut its divestment and privatisation ambitions for the fiscal year ending March 31 from 1.75 trillion rupees to 780 billion rupees.

It has only raised 120 billion rupees so far by selling stakes in state-run enterprises such as Bharat Petroleum Corp Ltd and two banks.

Investor roadshows for the sale, which is expected to be the world’s third-largest insurance IPO at $8 billion, began earlier this week, according to two sources.

The deal’s book-running lead managers include SBI Caps, Citigroup, Nomura, JPMorgan, Goldman Sachs, and five additional domestic and foreign investment banks.

According to fund managers and experts, LIC’s imminent initial public offering has hammered shares in other listed Indian insurers as investors decrease their holdings to make place for the state-owned giant.

With over 280 million policies, the 66-year-old firm leads India’s insurance sector. In 2020, the most recent year for which statistics are available, it was the fifth-largest worldwide insurer in terms of insurance premium collection.

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MPSC Sets August 31 Deadline to Resolve Student Doubts on Online Examinations

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Commission plans complete clarity on score normalization and server security ahead of digital transition.

The Deadline

The Maharashtra Public Service Commission (MPSC) has established an August 31 deadline to address candidate concerns regarding the transition to online computer-based examinations.

The initiative follows a meeting at MPSC’s CBD Belapur office with student representatives, competitive exam tutors, and youth delegation leaders. Candidates raised critical queries regarding technical infrastructure, server security, and the score normalization formula used across multi-shift examinations.

MPSC officials assured representatives that the commission is taking a constructive approach to student feedback to ensure maximum transparency and fairness. Addressing concerns over scheduling, officials clarified that exam calendars are being structured carefully to prevent overlapping dates across different competitive tests.

To ensure technical integrity, MPSC aims to establish a fully robust, independent in-house digital examination framework by 2027. The commission reiterated that exams will not be outsourced to private contractors. Third-party agencies will only function as technology partners, while C-DAC performs comprehensive technical audits.

Officials affirmed that online examinations will only be conducted once all safety measures and technical readiness are fully achieved.

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NMMC Issues Public Advisory on Illegal Constructions Following High Court Directives

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Civic body intensifies citywide crackdown, orders mandatory hearings, and cautions prospective homebuyers.

Illegal Constructions

Following strict directives from the Bombay High Court in ongoing Public Interest Litigation (PIL) proceedings, the Navi Mumbai Municipal Corporation (NMMC) has issued a comprehensive public advisory against unauthorized constructions across the city.

A citywide survey conducted by the civic body identified 12,687 unauthorized or irregular constructions. Alarmingly, 4,946 of these structures were found to have been erected without any municipal building permissions.

In compliance with judicial orders, NMMC ward offices are conducting a minimum of 150 hearings per week (50 per day, three days weekly) to give property owners an opportunity to present their cases. While owners of eligible structures can apply for regularization through the town planning department, active demolition drives are already underway against non-compliant properties across municipal wards.

The municipal corporation warned that offenders will face legal prosecution under the Maharashtra Regional and Town Planning (MRTP) Act, with demolition costs directly recovered from property owners.

NMMC also issued a strong warning to prospective homebuyers, urging them to verify building permissions, Commencement Certificates (CC), and Occupation Certificates (OC) on the official civic portal before making any property purchases. The authority reiterated that unauthorized buildings will be denied municipal water and sewerage connections.

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Bombay High Court Restores Navi Mumbai Hotel License, Calls for Practical Enforcement

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Court sets aside FDA suspension of four-star hotel’s food license over minor infraction, orders statewide audit of government canteens.

The Food License

The Bombay High Court has set aside an order by the Food and Drug Administration (FDA) that suspended the food safety license of Park Inn by Radisson in Navi Mumbai. Directing authorities to adopt a “realistic approach,” the court ordered the immediate restoration of the hotel’s Food Safety and Standards Authority of India (FSSAI) license.

The FDA had suspended the four-star hotel’s license following a surprise inspection where officials reported hygiene lapses after spotting two insects in the kitchen area. However, a bench comprising Acting Chief Justice Ravindra Ghuge and Justice Gautam Ankhad observed that the hotel had maintained an overall compliance score of 95 percent on hygiene and food safety standards.

The court ruled that shutting down operations based on a single, minor finding was disproportionate. “We are in India. We have to take a realistic stand,” the bench remarked while quashing the suspension.

Addressing potential bias in regulatory actions, the High Court expanded the scope of the matter. It ordered the FDA to conduct comprehensive inspections of all government and semi-government eating establishments state-wide including canteens at the Mantralaya and the High Court and present status reports along with video documentation.

While FDA legal representatives denied selective enforcement noting that several public canteens and prominent Mumbai clubs have also faced action the court’s ruling sends a clear message on balancing regulatory enforcement with practical considerations.

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