Government launches GIC Re OFS to sell up to 5% stake; floor price fixed at ₹352 per share

Government launches GIC Re OFS to sell up to 5% stake; floor price fixed at ₹352 per share


The Government of India, on Monday (June 15), has launched an Offer for Sale (OFS) in General Insurance Corporation of India (GIC Re) to dilute up to a 5% stake in the company.

The OFS has a total issue size of up to ₹3,088 crore (about $326 million). The base offer comprises a 2% stake sale worth up to ₹1,235 crore, with an option to sell an additional 3% stake through a greenshoe option, taking the total size to ₹3,088 crore.

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The floor price for the OFS has been fixed at ₹352 per share, representing a 9.1% discount to the stock’s last closing price. The OFS will open for non-retail investors on June 16, while retail investors can participate on June 17.

Through the transaction, the government aims to reduce its holding in GIC Re by up to 5%, subject to demand under the offer.

Shares of General Insurance Corporation of India ended at ₹387.15, up by ₹8.45, or 2.23%, on the BSE.

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