- Coldplay ticket scalping fiasco sparks backlash in India
- Droughts drive Spanish boom in pistachio farming
- Tokyo recovers some losses to lead Asian markets higher
- Rural schools empty in North Macedonia due to exodus
- US dockworkers launch strike after labor contract expires
- Thousands evacuated as Super Typhoon Krathon approaches Taiwan
- Kenya airport whistleblower fears for his life
- Sheinbaum to take office as Mexico's first woman president
- Scientists fear underfunded Argentina research on verge of collapse
- US port officials gird for strike despite last-minute bargaining
- With 118 dead from Hurricane Helene, Biden defends US government response
- Breeder who tried to create enormous trophy sheep jailed in US
- Qatar Airways seeking 25% stake in Virgin Australia
- US port officials gird for strike as labor talks stay stuck
- As toll crosses 100, Trump puts Hurricane Helene at election center stage
- US Fed Chair sees 'further disinflation' in economy
- Epic Games sues Google and Samsung over app store
- Officials see no shortages from likely US port strike
- UK families of Gaza hostages warn Lebanon attack 'takes focus away'
- Shares in Stellantis, Aston Martin skid on profit warnings
- Dali prints found in London garage sold at auction
- ECB chief backs bank mergers amid UniCredit, Commerzbank talk
- China stocks soar on stimulus, but US and Europe retreat
- 100 dead in storm Helene damage, flooding across US southeast
- China stocks soar on stimulus, Europe slides on automaker woes
- German antitrust watchdog steps up monitoring of Microsoft
- Nepal's urban poor count cost of 'nightmare' floods
- E.Guinea, Gabon clash at ICJ over oil-rich islands
- New blow for UK's Starmer as growth data disappoints
- China's top banks to tweak mortgage rates to boost housing market
- Muslim women break taboos navigating east London's waterways
- Nepal dam-building spree powers electric vehicle boom
- More than 60 dead from storm Helene as rescue, cleanup efforts grow
- Dozens missing, 9 dead in migrant boat wreck off Spanish Canaries
- Death toll from Hurricane John hits eight in Mexico
- Storm Helene's toll rises as rescue and cleanup efforts gain pace
- SpaceX launches mission to return stranded astronauts
- Storm Helene kills 44, threatens more 'catastrophic' flooding as cleanup begins
- SpaceX set to launch mission to return stranded astronauts
- Storm Helene kills 44, threatens more 'catastrophic' flooding
- Boeing strike grinds on as latest talks fail to reach agreement
- Iran 'news' sites, hackers target Trump ahead of US election
- US ports brace for potential dockworkers strike
- Japan's speedy, spotless Shinkansen bullet trains turn 60
- US hurricane deaths rise to 44, fears of more 'catastrophic' flooding
- Global stocks mostly rise, cheering Beijing stimulus
- Europe en route for Moon with new simulator, says astronaut Pesquet
- Fireworks forecast if comet survives risky Sun flypast
- Argentina judge orders dictionary to delete pejorative definition of 'Jewish'
- Global stocks rise on rate hopes, Beijing stimulus
India slashes size of biggest IPO
India has slashed the size of an initial public offering by insurance giant LIC but the share issue will still be the country's largest to date, with a targeted windfall of $2.7 billion, regulatory filings showed Wednesday.
Prime Minister Narendra Modi's government is desperate for proceeds from the IPO by Life Insurance Corporation of India and the sale of other state assets to help fix tattered public finances.
The long-awaited IPO -- originally slated for March -- will open next week, after the government chose to wait out recent market volatility triggered by the Russian invasion of Ukraine, the filing seen by AFP showed.
But the adverse market conditions did force the government to substantially cut its stake sale from an earlier five percent to 3.5 percent.
The government will sell 221 million shares within a price band of 902 to 949 rupees, the prospectus showed.
This implies an IPO size of between 200 and 210 billion rupees ($2.61 billion to $2.74 billion), overtaking that of payments firm Paytm, which raised $2.5 billion in November in India's largest public share sale to date.
The offer values LIC at six trillion rupees ($78 billion), and follows a years-long exercise by bankers and bureaucrats to appraise the mammoth insurer and ready it for listing.
Founded in 1956 by nationalising and combining 245 insurers, LIC was for decades synonymous with life insurance in post-independence India, until the entry of private companies in 2000.
It continues to lead the pack with a 61 percent share of the life insurance market in a country of 1.4 billion people, with its army of 1.3 million "LIC agents" giving it huge reach, especially in rural India.
LIC's market share has, however, declined steadily in the face of competition from net-savvy private insurers offering specialised products.
The firm warned in its regulatory filing that "there can be no assurance that our corporation will not lose further market share" to private companies.
The insurer is also India's largest asset manager, with 39.55 trillion rupees under management as of September 30, including significant stakes in Indian blue chips like Reliance and Infosys.
The government hopes LIC's IPO will attract legions of first-time investors to the stock market, in a country where less than five percent of people have trading accounts.
It will be a crucial step in Modi's policy to "monetise and modernise" state-run companies and plug an estimated 16.6 trillion rupee fiscal deficit this financial year.
In the last financial year, ending March 31, the government missed its privatisation goal for the third straight year, raising 135.61 billion rupees -- only eight percent of its original divestment target.
X.Wong--CPN