The government will go ahead with the upcoming initial public offering (IPO) of the state-run insurance giant LIC, Finance Minister Nirmala Sitharaman said on February 22, amid concerns raised over the potential fallout of the escalating tensions between Russia and Ukraine.
“There is a buzz in the market and there is interest for LIC IPO. We are going ahead with it,” Sitharaman said. She, however, added that “we are equally worried if the market situation is conducive”.
The draft red-herring prospectus for the LIC IPO was released on February 13. The offer is for the sale of up to 316.25 million shares or around 5 percent held in the Life Insurance Corporation of India by the Centre.
According to Sitharaman, the release of DRHP has fuelled interest in the LIC IPO. “I think the way it is crafted, it has generated a lot of interest,” she added.
Sitharaman, who is in Mumbai on a two-day visit, has been meeting industry, trade and financial market stakeholders since February 21. The discussions were held over the recently passed Union Budget for financial year 2022-23.
