New Delhi: The government has announced in the budget that it plans to sell its stake in LIC to the central government through a public offering.
But when LIC is a good for-profit company, why should it allow public offering to go public. Protests erupted in various ways as LIC provided a substantial amount of government investment.
And goes in search of LIC whenever the government needs funding. The LIC employees’ unions said that they are also funding infrastructure development, social services and housing.
Meanwhile, in a Business Today report released today, LIC’s share sale is not up this year. It is also said that it may be next year.
This is because work on the LIC public offering is underway in four phases. In addition, the government plans to make some amendments to this public offering.
ALIC’s share sale is essential to achieve the government’s target of Rs 2.1 lakh crore by March 31, 2021. However, decisions on IPOs will be taken only after the completion of the work to be done prior to the IPO.
The percentage of shares in the public offering will then be determined. SBI Caps has been appointed as a consultant prior to the Deloitte IPO. They are also working with LIC.
The stock is expected to go public next year.
Due to Corona, which is spreading very fast in the country, this stock issue may have been postponed. So far in the current financial year, the government has not been able to hold its holdings in any public sector undertaking as planned.
