The Indian government plans to sell up to a 5 per cent stake in General Insurance Corporation (GIC) via an offer for sale (OFS), the state-run insurer said on Monday.
Here are more details:
* The OFS includes a base offer of up to a 2 per cent equity stake in GIC, with an option to sell an additional 3 per cent if the issue is oversubscribed.
* The floor price is set at ₹352 per share ($3.72), implying a discount of about 9.1 per cent to the company’s last close on Monday.
* The OFS opens for non-retail investors on June 16 and for retail investors on June 17.
* India plans to offload 10 per cent of its stake in the insurer in tranches to meet the market regulator’s minimum public shareholding norm, Reuters reported in 2024. Of this, the government already sold a 3.4 per cent shareholding in September 2024.
* The government holds 82.4 per cent in the insurer as of March 31, according to data compiled by LSEG.