SBI Life Insurance has won the distinction of being the first company in the financial sector to raise funds of over US$1 billion in an IPO. The insurer plans to collect INR84 billion (US$1.3 billion) through the share sale, which opened yesterday.
SBI Life has already raised INR22.26 billion from anchor investors. BlackRock, Canada Pension Fund, Government of Singapore, Abu Dhabi Investment Authority, HSBC, HDFC MF, ICICI Prudential MF, Kotak MF, Reliance MF, Axis MF and UTI MF are among the 69 anchor investors.
The leading insurer will allot 31.8 million shares to the anchor investors at an average price of INR700, SBI Life said in an exchange filing.
SBI Life Insurance is a joint venture between India’s largest lender State Bank of India (SBI) and France's BNP Paribas Cardif.
The IPO, which will close tomorrow, will sell a total of 120 million shares by the promoters. The bank will sell 8% of its holdings in the insurer while BNP Paribas Cardif will divest 4%.
SBI Life is the second life insurer to be listed. In 2016, ICICI Prudential Life Insurance became the country’s first listed insurer.