In a series of disclosures, ICICI Prudential Life Insurance is all set to open its Initial Public Offering (IPO) on September 19, 2016, for worth Rs. 5,000 crores. With ICICI entering the financial market, this particular IPO will be the first of its kind and biggest in India, for nearly 6 years.
The respective company had filed the prospectus with Securities and Exchange Board of India (SEBI) on 18th July thus seeking it further on 2nd September. It is a venture between India’s ICICI Band UK’s Prudential Corporation Holdings along with PremjiInvest as well as Singapore’s Temasek.
The IPO will hold almost 1,81,34,105 equity shares in its proposed reservations which are mere 10% of the total offering from the shareholders. Prudential won’t dilute its shares in the IPO wherein the Bank is ready to sell 12.65% stakes in the insurer. Most probably the IPO would be Rs. 5000 crores worth and earlier it had hit the capital market so as to generate Rs. 15,000 crores in 2010 through State-run firms.
In November 2015, the insurance company sold its 6% shares to Temasek and PremjiInvest thus receiving an offloaded share price at Rs. 1,950 crores having a valuation of Rs. 32,500 crores on behalf of the insurer. As of now, ICICI Bank possesses 68% shares in the Insurance company in comparison to Prudential which holds 28% shares, in total. The public offering would be compromised up to 18,13,41,058 equity shares that of ICICI Prudential, subsequently representing 12.65% equity share capital for cash with the help of an offer by the Bank.
ICICI Bank during a BSE filing revealed that the offer will open for subscription on September 19 and shall close on September 21. We wish to inform you that the price band has been fixed between Rs. 300 to Rs. 334 per equity share. The stakes in ICICI Prudential have been distributed as such, the Bank holds 68% stakes, Prudential holds 26%, PremjiInvest holds 4%, and Temasek holds 2% stakes, all in all. By the end of March this year, total assets under the management of ICICI Prudential stood at Rs. 1,039.39 billion. The company started its operations in 2001 thus
By the end of March this year, total assets under the management of ICICI Prudential stood at Rs. 1,039.39 billion. The company started its operations in 2001 thus to become one of the biggest financial institutions in the nation.