ICICI Lombard to issue IPO

ICICI Lombard, the joint venture between ICICI Bank and Fairfax Financial Holdings is set to debut on the bourses shortly. It has set final issue price at INR661 per share, the higher end of price band of an INR5700 crore issue.

Analysts don’t expect strong listing gains as the initial share sale offer that ended last week was oversubscribed three times. In addition, equity markets have been subdued from last week, they said, according to a report on , according to a report on Money Control.

The reserved portion of qualified institutional investors has oversubscribed 8.17 times while the retail category showed a subscription of 1.22 times and non-institutional investors 0.82 times.

The initial public offering of up to 8,62,47,187 equity shares comprised of an offer for sale of up to 3,17,61,478 shares by ICICI Bank and up to 5,44,85,709 shares by FAL Corporation (a nominee of Fairfax), constituting 19 percent of post-offer paid-up equity share capital.

Post issue, the holding of ICICI Bank and FAL, the selling shareholders, reduced to 55.92 percent from 62.92 percent and to 9.91 percent from 21.91 percent, respectively.