What happened: LIC stake sale via OFS at a 10% discount
The Government of India sold a 6.5% stake in Life Insurance Corporation (LIC) through an Offer for Sale (OFS) and priced the OFS with a 10% discount.
The reported trading outcome on the Bombay Stock Exchange (BSE) was a sharp fall in LIC shares after the OFS. Reported details are: LIC stake sold in the OFS: 6.5% equity stake.OFS price discount: 10%.LIC shares decline: nearly 8% on the BSE.LIC closing share price: just above ₹391 per share.Reported closing-level context: lowest level in more than two months.In-session price movement: shares fell from around ₹400 and slid steadily to the close.OFS structure: initial offer of up to 2% equity stake, with an option for investors to sell an additional 4.5% stake.
Background and earlier position: LIC IPO and stake dilution timeline
The latest Government stake sale in LIC came about four years after LIC’s Initial Public Offering (IPO). LIC’s IPO raised about ₹21,000 crore for a 3.5% stake.