Government Cuts LIC IPO Size To 3.5% To Raise Rs 21,000 Crore

Touted as India’s biggest IPO, the government was earlier planning to raise Rs 63,000 crore via LIC IPO. The LIC IPO was earlier supposed to be taken place on March 11, to meet the disinvestment target of Rs 78,000 crore for FY2022. However, the Russian invasion of Ukraine derailed the LIC IPO. LIC is also likely to file the red herring prospectus with market regulator Sebi by Wednesday. 

LIC's embedded value, which is a measure of the consolidated shareholder’s value in an insurance company, was pegged at about Rs 5.4 lakh crore as of September 30, 2021, by international actuarial firm Milliman Advisors.