New Delhi: From adjusting the rules of capital markets to send telephone messages and publish newspaper advertisements, authorities and executives will not leave the stone missed in trying to ensure the life insurance company (LIC) a record of public offering (IPO) is success.
The government has an IPO – which can raise between Rs 40,000 Crores ($ 5.4 billion) and RS 1 Lakh Crore this quarter – as the main item in its economic agenda, with the results of an insurance company managed by an important state to achieve budget deficits.
“Size is really amazing,” Abhay Agarwal said, the fund manager at Piper Serica Advisors Pvt based in Mumbai.
Although it may be easy for the government to make the regulatory amendments needed for the IPO, “it will require significant marketing efforts to cross the RS 50,000 Crore line,” he added.
The authorities will review and change the rules of direct foreign investment (FDI) to facilitate attracting investors from abroad, an official says this month without determining the time frame.
Equity bets among foreigners are permitted for most insurance companies, but not in LIC, which is a special entity created by parliamentary actions.
Licenses for foreign bets in MEGA offer not only allow global funds to participate, but also allow them to buy more after the exchange list.
The regulator made another movement late last month, including the tightening rules that govern the sale of shares by an investor anchor.
‘Blamon.
It set the stage for offers, LIC has sent an SMS to the policyholder, and last month began publishing newspaper ads with the title, “It’s best to be a lifetime to be prepared.” The company asked customers to update some of their personal details and accounts that allow them to participate in this problem.
The effects and Exchange Board of India (SEBI) plan to recruit 120 senior executives throughout the Law Department, Information, Research and General and Official Technology, representing around 14% of their employees.
More than 110 companies sold shares for the first time in India last year to collect nearly $ 18 billion, a four-fold increase from 2020.
While the average performance was due to its positive debut, the largest IPO in the country was a failure.
Giant Paytm Digital payments have fallen more than 45% since the $ 2.4 billion list in November, with analysts pointing at their expensive assessment.
Paytm IPO sums up old recordings held by Coal India Ltd, which offers 2010 see the government selling 10% of the shares in the company.
While stock jumped in his trading debut, now it dropped around a third of the price list.
“The government also needs to learn from past mistakes with the price of public sector which is too high,” said Piper Serica Agarwal.
“The assessment must leave enough on the table for investors to attract them to IPO.”
Tweaking rules, send MSG: what the government does for LIC IPO
