Bank of Baroda promoted
IndiaFirst Life Insurance Company (IndiaFirst Life) has received capital markets regulator Sebi's approval to float Initial Public Offering (IPO). The IPO comprises a fresh issue of up to Rs 500 crore along with an offer for sale (OFS) of up to 14,12,99,422 equity shares by the promoters and existing shareholders of the company.
Bank of Baroda will sell 8,90,15,734 equity shares, whereas
Union Bank of
India will sell 1,30,56,415 equity shares in the OFS. Carmel Point Investments India would offload 3,92,27,273 equity shares during the primary stake sale.
Bank of Baroda, India's third largest public sector lender, holds a 65 per cent stake in the company, followed by Warburg Pincus affiliate Carmel Point Investments India which holds 26 per cent and Union Bank of India with 9 per cent stake.
The firm may consider a private placement on a preferential basis or a rights issue aggregating up to Rs 100 crore. If such a placement is completed, the fresh issue size will be reduced.
The net proceeds from the fresh issuance worth Rs 500 crore will be used towards augmentation of its capital base to support solvency levels.
The company, which filed preliminary IPO papers with Sebi in October last year, obtained it's observation letter on March 15, an update with the Securities and Exchange Board of India (Sebi) showed on Tuesday.
In Sebi's parlance, obtaining an observation letter means its go-ahead to float the IPO.
IndiaFirst Life is supported by an extensive bancassurance network provided by Bank of Baroda and Union Bank, two of India's biggest public sector banks.
ICICI Securities, Ambit, BNP Paribas, BOB Capital Markets, HSBC Securities and Capital Markets (India), Jefferies India and JM Financial are the book-running lead managers to the issue.
The equity shares will be listed on the BSE and NSE.
SEE ALSO:
Just 24% Indian companies ready to defend cybersecurity threats: Cisco study
Noida, Navi Mumbai Airports to get operational by next year 
Next Story
I quit McKinsey after 1.5 years. I was making over $200k but my mental health was shattered.
Some Tesla factory workers realized they were laid off when security scanned their badges and sent them back on shuttles, sources say
I tutor the children of some of Dubai's richest people. One of them paid me $3,000 to do his homework.
Why are so many elite coaches moving to Western countries?
Global GDP to face a 19% decline by 2050 due to climate change, study projects
5 things to keep in mind before taking a personal loan
Markets face heavy fluctuations; settle lower taking downtrend to 4th day
Move over Bollywood, audio shows are starting to enter the coveted ‘100 Crores Club’
