New Delhi: The Centre will offload a 6.78 per cent stake in GIC, or the General Insurance Corp of India, in an offer for sale which opens on September 4, 2024. This is the second major government-owned insurer in which investors are being encouraged to buy a stake after government behemoth Life Insurance Corp of India.
GIC OFS price and key dates
GIC’s offer for sale has been priced at Rs 395 apiece and comprises 11.90 crore shares equalling a 6.78 per cent stake in the insurer. The OFS will open for institutional investors on September 4, 2024, and from September 5, 2024, for retail investors.
GIC’s shares will be offloaded in 2 tranches with bids first invited for a 3.39 per cent stake. Once this is (over)subscribed the government may exercise the option to offload another 3.39 per cent stake in the insurer, according to details shared by Tuhin K Pandey, secretary at the department of investment and public asset management (DIPAM), under the finance ministry.
Offer for sale in General Insurance Corporation of India (GIC) opens tomorrow for Non-Retail investors. Retail investors and Employees of GIC can bid on Thursday. Government will divest 3.39% equity with an additional 3.39% as green shoe option. pic.twitter.com/MAsW1J8oWb
— Secretary, DIPAM (@SecyDIPAM) September 3, 2024
GIC share price history
GIC’s offer for sale has been priced at a 6.23 per cent discount to its Tuesday closing price of Rs 420.80 apiece. GIC’s share price was down 0.33 per cent on Tuesday but up 0.94 per cent in the past 5 days. The company’s stock value gained 9.04 per cent in the past month, 5.38 per cent in the past 6 months and 86.15 per cent in the past year.
The government, which owns an 85.78 per cent stake in the insurance company, brought GIC’s IPO in 2017 in which it raised Rs 9,685 crore.
LIC share price history
LIC’s shares listed at an 8 per cent discount to its IPO price in May 2022. The company’s shares listed at Rs 867.20 apiece, on May 17, 2022, while its IPO price was Rs 949 apiece. LIC’s share price was up 0.34 per cent at market closing on Tuesday. The company’s stock was down 1.55 per cent in the past 5 days and 4.11 per cent in the past month. LIC’s share price has gained 2.44 per cent in the past 6 months and 61.27 per cent in the past year.
The Centre will offload a 6.78 per cent stake in GIC Re via offer for sale route on Wednesday, September 4, 2024. Here’s how to apply Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
