The joint venture partner in ICICI Prudential Life Insurance, Prudential Corporation is looking to sell its 3.71 per cent equity or 53.21 million shares in the life insurance firm for a floor price of Rs.300 per share. This act may fetch the company Rs. 1,598 crore and will help bring down promoter shareholding in ICICI Prudential Life to 75 per cent.
The floor price of Rs. 300 has been set at a discount of 6.8 per cent to the last closing price of Rs. 322, on Monday. ICICI shares fell 2.33% to Rs. 322 apiece on the BSE while Sensex shed 0.93% to end the day at 37,808.91 points.
The exchange filing said, “Prudential Corp. Holdings Ltd of ICICI Prudential Life Insurance Co. Ltd 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)”
As per the Securities Exchange Board of India’s regulation, all listed companies must achieve Minimum Public Shareholding (MPS) of 25 per cent within three years of listing, as a result of which stake sale has been done to reach the 25 per cent.