The government’s offer for sale (OFS) in insurance behemoth Life Insurance Corporation of India (LIC) opens for retail investors today, with analysts listing reasons why investors should consider participating.LIC announced on Monday that the government plans to sell a 2.5% equity stake in the company as part of the base offer, with an additional 4% available as a green shoe option.
The floor price was fixed at Rs 382 apiece, taking the total OFS size to nearly Rs 31,410 crore.
The floor price implies a discount of 3% from the stock’s previous closing price of Rs 391.3 apiece on NSE.The OFS opened for non-retail investors on August 4, and saw strong participation.
The offer was oversubscribed more than 3 times its offer size.
It now opens for retail investors today.Investors can participate between 9.15 am and 3.30 pm using the separate OFS window on NSE and BSE.
