Reliance Life plans to file for IPO in Jan-March quarter of FY
Private sector insurer Reliance Life Insurance today said it is planning to file draft prospectus for initial public offer with the market regulator SEBI in the last quarter of the current fiscal subject to regulatory approval.
By PTI |
NEW DELHI: Private sector insurer Reliance Life Insurance today said it is planning to file draft prospectus for initial public offer with the market regulator SEBI in the last quarter of the current fiscal subject to regulatory approval.
The company is awaiting guideline on IPO for the sector, a senior company official said, adding that it has applied to the finance ministry for a waiver in the listing norms and awaiting reply.
At the same time, Reliance Life has requested the finance ministry to allow it to launch the IPO before completion of the 10-year operation clause.
The 6AA provision of the Insurance Act, specifies that Indian promoters having more than 26 per cent shareholding shall after 10 years reduce it in some appropriate manner or within such period the central government may decide.
The firm also plans to initiate the process of scouting for strategic partner, official said.
Insurance sector regulator IRDA is working out guideline on IPO with the Securities and Exchange Board of India. IRDA is expected to come out with the guidelines during the month.
Reliance Life plans to divest up to 20 per cent of the company post approval. Of the total, 10 per cent is expected to go to strategic investor through pre-IPO placement.
The company would also consider strategic sale of up to 20 per cent to raise funds as an alternate to the IPO, official said.
The company is awaiting guideline on IPO for the sector, a senior company official said, adding that it has applied to the finance ministry for a waiver in the listing norms and awaiting reply.
At the same time, Reliance Life has requested the finance ministry to allow it to launch the IPO before completion of the 10-year operation clause.
The 6AA provision of the Insurance Act, specifies that Indian promoters having more than 26 per cent shareholding shall after 10 years reduce it in some appropriate manner or within such period the central government may decide.
The firm also plans to initiate the process of scouting for strategic partner, official said.
Insurance sector regulator IRDA is working out guideline on IPO with the Securities and Exchange Board of India. IRDA is expected to come out with the guidelines during the month.
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Reliance Life plans to divest up to 20 per cent of the company post approval. Of the total, 10 per cent is expected to go to strategic investor through pre-IPO placement.
The company would also consider strategic sale of up to 20 per cent to raise funds as an alternate to the IPO, official said.
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