GIC Re IPO subscribed 95% so far on last day

GIC Re IPO subscribed 95% so far on last day
By: Ritika shree
13 Oct 2017

New Delhi: General Insurance Corp. of India Ltd’s (GIC Re) initial public offering (IPO) received 95% subscription so far on Friday, the last day of the share sale.

As of 12.30pm, the IPO received bids for 118,882,848 shares against the total issue size of 124,700,000 shares, according to data available with stock exchanges.

On the second day of share sale on Thursday, the IPO was subscribed 90%. The portion of shares reserved for institutional investors in the GIC Re IPO saw a subscription of 1.67 times. The portion of shares reserved for retail investors and non-institutional investors witnessed weak response. They were subscribed 16% and 2%, respectively.

On Thursday, Mint reported that Life Insurance Corp. of India (LIC) has put in a major bid for shares in GIC Re IPO, citing two people aware of the development. LIC has bid for shares worth Rs7,000-8,000 crore, Mint reported, leading to an oversubscription in the institutional category on the first day of the offering.

GIC Re’s Rs11,372 crore IPO is the largest in India in seven years. It is the third largest IPO till date after state-owned Coal India Ltd’s Rs15,200 crore initial share sale in 2010, which remains the largest public offering till date by an Indian entity and Reliance Power’s Rs11,700 crore initial share sale in 2008.