Is India on target with the LIC IPO for this financial year and what is the progress?
Answer
Answer
Government of India has already finalized Deloitte and SBI Caps to help prepare for the LIC IPO after Edelweiss had dropped citing conflict of interest in the arrangement. Life Insurance Corporation is supposed to contribute Rs.110,000 crore to the divestment target this year.
The role of these two advisors will be to evaluate the capital structure of LIC and rework the financial statements of LIC. However, there are bigger question of whether the current market will have the kind of appetite for such a large issue?