GoI officials hard-sell LIC to global investors

Officials from the ministry of finance's disinvestment department, along with Life Insurance Corporation (LIC) of India management, are on a two-week-long investor roadshow exercise across various countries, including the United States.

The team comprises the Department of Investment and Public Asset Management (DIPAM), Department of Financial Services (DFS), and LIC management. They are also scheduled to visit Singapore, Hong Kong, and the UK in the coming days to meet investors.

"LIC is an important company, and we are meeting investors to discuss the March quarter performance and also to discuss certain other metrics. We are concerned that the stock price of LIC is going down," an official said.

The overseas investor meetings are focused on discussing the company's financial strength and earnings performance.

"We have been sharing key information and developments as a part of the roadshows. Its embedded value was $71 billion as of March 2023," the official added.

Centre is not keen on a follow-on offer at present, but may consider it after the Lok Sabha elections next year.

"There is no proposal right now, but whenever we do it, we may look at small tranches," the official added.

The LIC IPO was the largest ever public issue in India, with an issue size of Rs 21,000 crore. LIC stock was listed with an 8 per cent discount at Rs 865 on May 17, 2022. The scrip closed nearly 2% higher at Rs 630 on Tuesday.