Cabinet approves listing of public sector general insurance companies

The Cabinet of the Narendra Modi government approved on Wednesday listing of public sector general insurance companies through fresh equity, or through offer of sale or a mix of both. The news came in the middle of a market that remained in the green throughout the day. 

The public sector general insurance companies whose listings have been cleared by the Cabinet are: New India Insurance, United India Insurance, Oriental Insurance, National Insurance Company and General Insurance

"Since it is a major decision, which covers the five PSU general insurance companies, under the listing requirements, one of the conditions is that government holding has to come down from 100 percent to 75 percent." the Finance Minister, Arun Jaitley said.

The market accepted the news positively. ICICI Prudential Life Insurance Company soared more than 2 per cent with huge volume of 7.49 lakh shares on Wednesday as compared to the two-week average volume of 2.52 lakh shares.