shares State Bank of India (SBI), Bank of Baroda (BOB), General Insurance Corporation of India (GIC RE) and New India Assurance Company Ltd on Thursday after draft papers filed by the National Stock Exchange (NSE) with market regulator SEBI showed that they are among 10 selling shareholders in the stock exchange’s proposed initial public offering (IPO). Today’s focus will also be on IFCI, which owns a 52.86 percent stake in the Indian Stockholding Corporation, the shareholder in the sale.
shares Life Insurance Company of India (LIC) is also expected to remain of interest, although LIC is not among the selling shareholders in the proposed offer. LIC is the largest shareholder in NSE, holding 10.72 per cent, or 26,52,75,000 shares, and the IPO is seen as opening up an opportunity to unlock value for the insurer in the future.
SBI is looking to sell 2,47,50,000 equity shares, while BOB intends to sell up to 1,09,86,250 shares. GIC RE plans to offload up to 1,06,58,000 shares, while New India Assurance Company Ltd is looking to offload up to 1,05,00,000 shares. Stock Holding Corporation of India Limited will sell up to 10,890,000 shares.
SBI owns 7,98,47,050 shares or 3.23 per cent of NSE shares so far, the data showed. Moreover, SBI Capital Markets Limited, an associate company of SBI, holds 10,72,50,000 shares or 4.33 per cent stake in NSE. On the other hand, New India Assurance Company Ltd holds 3,52,00,000 shares or 1.42 per cent stake in the largest stock exchange. According to draft papers, the NSE IPO will be an offer for sale (OFS) of up to 14.89 crore shares with a face value of Rs 1 each, representing nearly 6 per cent of the paid-up share capital of NSE.
Other selling shareholders include MS Strategy (Mauritius) Ltd, Canada Pension Plan Investment Board, Aranda Investments (Mauritius) Pte Ltd, National Insurance Limited and United India Insurance Company Limited.
The Offer will be made through a bookbuilding process, whereby no more than 50% of the Net Offer will be allocated to Qualified Institutional Buyers (QIBs), and no less than 15% and 35% of the Net Offer will be allocated to Non-Institutional Bidders and Individual Bidders, respectively.
Among the listed companies, HDFC Life Insurance Company Limited holds a 0.5 per cent stake, Indian Bank holds a 0.34 per cent stake, and SBI Life Insurance Co Ltd holds a 0.33 per cent stake. TATA INVESTMENTS LIMITED Balkrishna Industries has a 0.20 per cent stake, Balkrishna Industries has a 0.13 per cent stake and Punjab National Bank has a 0.11 per cent stake.
Kotak Mahindra Capital, JM Financial Limited, Morgan Stanley India Company Private Limited, Citi Global Markets India Private Limited, HSBC Securities and Capital Markets India Private Limited, JPMorgan India Private Limited, SBI Capital Markets Limited, Anand Rathi Advisors Limited, Avendus Capital Private Limited, Axis Capital Limited, DAM Capital Advisors Limited, Equiros Capital Limited, HDFC Bank Limited, ICICC Securities Limited, IDBI Capital Markets and Securities Limited. Limited, IIFL Capital Services Limited, Motilal Oswal Investment Advisors Limited, Nuvama Wealth Management Limited, Pantomath Capital Advisors Private Limited and 360 ONE WAM.
MUFG Intime India Private Limited is the registry of this issue.
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