General Insurance Corporation of India tumbled 5.59% to end at Rs 397.70 after the President of India announced its proposal to sell 3.39% stake in the company through an offer for sale (OFS) on 04th and 05th September 2024.
Through the OFS, the Government of India proposes to sell 5,95,12,000 shares, representing a 3.39% stake, with an option to sell an additional 3.39% stake or 5,95,12,000 equity shares in case of oversubscription.
The floor price of the offer has been set at Rs 395 apiece, a 6.23% discount to the stock's closing price of Rs 421.25 recorded on Wednesday, 03 September 2024.
The Government of India held 85.78% stake in General Insurance Corporation of India as of 30 September 2024.
A minimum of 25% of the offer has been reserved for mutual funds and insurance companies, while 10% for retail investors.
The OFS opened on 04 September 2024, which is the T-day, where only non-retail investors can bid for the shares. On 05 September 2024, which is the T+1 day, the OFS will be accessible for retail investors and those non-retail investors, who choose to carry forward their un-allotted bids from T day.
On Day 1 (T-day), as of 15:30 IST, the OFS received subscription for 5,81,05,684 shares. It was subscribed 108.49% on the base non-retail offer size of 5,35,60,800 shares.
General Insurance Corporation of India is engaged in the activities of assuming all or part of the risk associated with existing insurance policies originally underwritten by other insurance carriers.