Stocks

New India Assurance IPO subscribed 1.05 times so far on Day 2

BL Internet Desk Chennai | Updated on January 09, 2018 Published on November 02, 2017

The initial public offering (IPO) of state-owned general insurance firm The New India Assurance Co Ltd was subscribed 1.05 times so far on the second day of the share sale on Thursday.

As of 1pm, the IPO received bids for 1,25,982,972 shares against the total issue size of 120 million shares, according to NSE data. The IPO will close on November 3.

On Wednesday, the IPO had received bids for just over 12 crore shares, which was 1.03 times the total issue size.

The country's largest general insurance company in terms of net worth, domestic gross direct premium, profit after tax and number of branches, has fixed the price range at Rs. 770-800 for its IPO, a move that would enable it to raise Rs. 9,700 crore at the upper band of the offer.

The general insurer is selling 12 crores shares with a face value of Rs. 5 each of which 2.4 crore shares are fresh issue and 9.6 crore shares are an offer for sale (OFS).

The total issue will constitute 14.56 per cent of the post offer paid-up share capital of the company. Retail individual investors and qualified employees will get a price discount of Rs. 30 per share each.

Kotak Investment Banking, Axis Capital, IDFC Bank, Nomura and Yes Securities are the banks managing New India Assurance’s IPO.

For New India Assurance, the largest general insurance company in India and a leader across segments, growing business over the next couple of years will not be a challenge.

The company’s diverse product portfolio, wide distribution network and strong relationship with large corporates are key positives that will help it benefit from the growing opportunities in the general insurance space.

Published on November 02, 2017

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.