Committee of Ministers will take all decisions related to IPO
The central government is preparing to launch LIC’s IPO in March 2022. According to information received from sources by CNBC-TV18, the panel of ministers will decide the pricing of LIC. Along with this, the panel will also decide how much share will be sold in LIC. This committee will decide how many shares will be brought in the market. At present LIC is working towards increasing its value. Apart from this, emphasis is also being laid on internal efficiency and product restructuring. The Center has selected SBI Capital Markets and Deloitte as advisors ahead of the IPO. It is believed that this will be the biggest IPO of the country so far.
read this also – 7th Pay Commission: Dearness Allowance will increase only in July 2021! PM Narendra Modi can give approval to increase DA
LIC will invest in a private company for the first time
In the current financial year, the central government has set a target of raising Rs 1.75 lakh crore through disinvestment and privatization. According to the annual report released by LIC, its total assets at the end of the financial year 2019-20 are Rs 32 lakh crore. LIC’s market share in the home insurance sector is close to 70 percent. The government currently holds 100 per cent stake in the company. Let us tell you that LIC also invests in different government companies. For the first time, LIC can invest in Zomato, a private company listed on the stock market. Zomato is coming with an IPO of 9,375 crores. Its subscription will be open from 14 to 16 July.