The Indian government plans to sell at least a 2.5% stake in Life Insurance of India (NSE:LICI, BOM:543526) through an offer for sale to meet the minimum public shareholding requirement, according to an exchange filing on Monday.
The sale opens for non-retail investors on Tuesday, with retail investors and eligible employees able to bid on Wednesday.
The government has the option to sell an additional 4% stake, taking the total offer size to 6.5%.
The floor price has been set at 382 rupees per share, representing a discount of about 11% to Monday's closing price of 428.5 rupees. Retail investors and eligible employees will receive a further 10-rupee discount.