new Delhi: LIC's IPO could come within the second half of FY 2020-21. Yes, the insurance coverage big Life Insurance Corporation (LIC) might be listed within the second half of the following monetary yr. Finance Secretary Rajiv Kumar gave this data on Sunday. Finance Minister Nirmala Sitharaman, whereas presenting the funds for 2020-21 on Saturday, introduced that the preliminary public providing (IPO) of LIC shall be introduced within the subsequent monetary yr. Kumar, nonetheless, mentioned that a number of procedures would must be accomplished for enlistment. Some legislative adjustments may even be required to checklist LIC.
Target to lift 90 thousand crores
Rajiv Kumar mentioned that they may comply with the process of enlistment. <! –
Necessary legislative adjustments shall be made in session with the Ministry of Law. He has already began this course of. Listing within the second half of the following monetary yr appears logical. He mentioned that LIC's itemizing will carry extra transparency and enhance public participation. Regarding how a lot stake of LIC shall be offered, Kumar mentioned it may very well be ten per cent. However, no choice has been taken on this but. The authorities has set a goal of elevating Rs 2.10 lakh crore from disinvestment within the subsequent monetary yr. The authorities intends to lift Rs 90,000 crore from stake sale in LIC and IDBI Bank.
LIC, the nation's largest life insurance coverage firm
During the Budget 2020 speech, Finance Minister Nirmala Sitharaman made it clear that the federal government will promote its stake in LIC by an IPO. That is, now the way in which of itemizing of LIC within the inventory market is obvious. However, the approval of Parliament must be taken for this. Let us know that the dialogue of LIC's IPO has been occurring for a very long time, however final yr itself denied it to LIC. LIC is the biggest life insurance coverage firm within the nation. Private insurance coverage firms have been attempting to compete this for almost 2 a long time.