Prudential Corp. Holdings Ltd will sell a 3.7% stake in ICICI Prudential Life Insurance Co. Ltd, a joint venture with ICICI Bank Ltd, through an offer for sale (OFS) on 26 and 27 March, Prudential said in a filing to the stock exchanges on Monday.
Prudential, which holds a 28.82% stake in the life insurance company, has set a floor price of ₹300 for the OFS to fetch at least ₹1,598 crore.
“Prudential Corp. Holdings Ltd (the seller) of ICICI Prudential Life Insurance Co. Ltd (the “Company”) has submitted to BSE a copy of Notice of Offer for sale up to an aggregate of 37.33 million equity shares (representing 2.6% of the equity share capital of the company) with an option to additionally sell up to 15.93 million equity shares (representing 1.11% of the equity share capital),” the exchange filing said.
The OFS will open for subscription to institutional investors on 26 March and for retail investors on 27 March. The stake sale will also help bring down promoter shareholding in ICICI Prudential Life to 75%, in adherence with norms of the Securities and Exchange Board of India on minimum public shareholding in listed companies.
On Monday, ICICI Prudential shares fell 2.33% to ₹322 apiece on the BSE while the benchmark Sensex shed 0.93% to end the day at 37,808.91 points.
Source: Mint