Reliance General Insurance Company, part of Anil Ambani-led Reliance Group, today approached capital markets watchdog Sebi with its IPO papers.
The company is expected to garner Rs 1,500-2,500 crore through its initial public offer (IPO), sources said.
It is expected to list in the ongoing financial year.
The IPO comprises fresh issue of up to 16,769,995 equity shares by the company and an offer for sale by Reliance Capital of up to 50,309,984 equity shares, according to draft papers filed with Sebi.
Proceeds from the issue will be utilised for augmenting the solvency margin and consequently increase the solvency ratio, besides, the funds will be used to meet future capital requirements which are expected to arise out of growth.
Motilal Oswal Investment Advisors, Credit Suisse Securities, Edelweiss Financial Services and UBS Securities are the Global Co-ordinators and book running lead managers to the issue. Haitong Securities and IDBI Capital Markets & Securities are the book running lead managers.
Last month, the company received approval from the Insurance Regulatory and Development Authority of India (IRDAI) to float its initial share sale offering.
The group’s another firm Reliance Nippon Life Asset Management has already already approached with Sebi to launch IPO and is currently awaiting the markets watchdog’s nod.
Presently, ICICI Prudential Life Insurance and SBI Life Insurance are the only listed insurer in India. Moreover, state-owned General Insurance Corporation of India’s IPO will open on October 11. Further, HDFC Life and New India Assurance Company have also lined up their respective public issues.