India
On March 11 LIC is expected to undertake an initial public offering (IPO)
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.
Latest News
Two Children Drown in Vashi Pond While Collecting Immersion Coins
The boys, aged 10 and 12, reportedly entered the water to collect coins thrown during post-Navratri immersion rituals, raising concerns over safety measures.
The Case
Two children drowned in a pond at Kopri village in Vashi while reportedly trying to collect coins thrown into the water during immersion rituals following Navratri celebrations.
The victims were identified as Golu Mansuri, 10, and Ganesh Gupta, 12. According to preliminary information, the boys entered the pond with their friends to retrieve coins offered during the immersion of Goddess Durga idols and ceremonial pots.
The children reportedly misjudged the depth of the water and drowned. After receiving information about the incident, police and fire brigade personnel reached the spot and launched a rescue operation. The boys were recovered from the pond and taken to a civic hospital in Vashi.
The tragic incident has raised concerns about safety arrangements at the pond, particularly during festival-related immersion activities when people gather in the area.
Local residents have reportedly expressed concern over children entering the water despite the risks. They have also called for security guards to be deployed at the site to prevent people, especially minors, from entering the pond unsupervised.
Residents have urged the authorities to strengthen safety measures and ensure better supervision around the water body to prevent similar tragedies.
The incident highlights the dangers of entering ponds to retrieve coins or other objects without knowing the water’s depth. Authorities are being urged to take preventive steps to protect children and other visitors, especially during festivals and immersion ceremonies.
Latest News
NMMC Launches 59 Urban Health Centres Across Navi Mumbai
New facilities to offer free primary healthcare, vaccinations, medical tests and screening for diabetes and hypertension.
The Centres
The Navi Mumbai Municipal Corporation (NMMC) has launched 59 Urban Ayushman Arogya Mandirs to improve access to primary healthcare and provide essential medical services closer to residents’ homes.
The centres were virtually inaugurated by Maharashtra Forest Minister Ganesh Naik on the occasion of Dussehra during a programme held at NMMC’s CBSE School No. 94 in Kopar Khairane. Established under the National Urban Health Mission and the 15th Finance Commission, the centres aim to strengthen healthcare services, particularly for people who may find it difficult to access larger hospitals for routine medical needs.
The facilities will provide free treatment for minor illnesses, including common ailments such as fever and cough. Services will also include maternal and child healthcare, antenatal check-ups, vaccinations and postnatal care. Residents will be able to undergo blood tests and screening for non-communicable diseases such as diabetes and hypertension. These services are expected to help identify health conditions at an early stage and encourage timely treatment. The centres will be staffed by healthcare professionals, including medical officers, nurses and multipurpose health workers. Free medicines will also be provided as required.
During the inauguration, Naik expressed confidence that the new facilities would make reliable healthcare more accessible to residents near their homes. The initiative is part of NMMC’s efforts to strengthen primary healthcare and reduce the need for residents to visit major civic hospitals for basic medical services.
Latest News
Maharashtra Government Lifts Stay on Five Navi Mumbai Cluster Redevelopment Projects
Decision sparks political tensions between Eknath Shinde and Ganesh Naik over redevelopment and civic infrastructure concerns.
The Projects
The Maharashtra government’s Urban Development Department, headed by Deputy Chief Minister Eknath Shinde, has lifted the stay on five cluster redevelopment projects in Vashi and Ghansoli, intensifying political differences with Forest Minister Ganesh Naik.
The Navi Mumbai Municipal Corporation (NMMC) had earlier decided to halt approvals for cluster redevelopment projects until a detailed study was conducted on their impact on the city’s infrastructure. Concerns were raised about the additional pressure redevelopment could place on roads and other civic facilities.
However, the state government has now cleared the way for five projects to move forward. According to reports, three projects had already received approval from a high-level committee headed by NMMC Commissioner Dr Kailas Shinde, while the remaining proposals were being processed.
The projects cover more than 1.25 lakh square metres across Vashi and Ghansoli. Ganesh Naik criticised the decision and indicated that he would approach the court. He maintained that concerns regarding infrastructure and the city’s future development needed to be addressed before redevelopment approvals were granted.
Meanwhile, Shiv Sena district chief Kishor Patkar criticised Naik and his supporters for allegedly delaying the projects. He also raised concerns about the safety of residents living in old and dilapidated buildings.
The decision has brought the differences between Shinde and Naik into focus, despite their parties being political allies in Maharashtra. The dispute centres on balancing the redevelopment of ageing buildings with the need to protect Navi Mumbai’s infrastructure and residents’ safety.
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