LIC IPO gets SEBI green light, say reports

Although SEBI has given its green light to the IPO, the government may delay the process owing to the current geopolitical situation where foreign investors have reduced their appetite for Indian equities

Life Insurance Corporation of India (LIC) has received SEBI’s approval to float its mega public issue, CNBC-TV18 and ET NOW reported citing sources. State-owned LIC had filed the Draft Red Herring Prospectus (DRHP) for its IPO with the capital markets regulator earlier in February to sell a 5% stake in the firm. Although SEBI has given its green light to the IPO, the government may delay the process owing to the current geopolitical situation where foreign investors have reduced their appetite for Indian equities. Earlier, Finance Minister Nirmala Sitharaman in an interview to Businessline had said she “wouldn’t mind” relooking at the LIC IPO timeline if “global considerations warrant that”. Financial Express had also reported, citing sources that government may reconsider LIC IPO date amid choppy market environment.

(inputs from Bloomberg)