Finance minister Nirmala Sitharaman said the government will sell a part of its stake in Life Insurance Corporation (LIC) through an Initial Public Offering (IPO). The insurance behemoth will be listed as part of the government's disinvestment initiative, the Finance Minister Nirmala Sitharaman said during her Budget speech on Saturday.
"The government proposes to sell a part of its holding in LIC through the initial public offer," the finance minister said, without specifying any further details.
The government currently owns the entire 100 per cent stake in Life Insurance Corporation of India, which was established in the year 1956.
The government has set a divestment target of Rs 2.1 lakh crore for FY21 compared with Rs 1.05 lakh crore target for the ongoing financial year. It has already invited bids from potential buyers for a 100 per cent stake sale in Air India and is going ahead with divestment in BPCL, Shipping Corporation and Container Corporation.