General Insurance Corporation lists at 6 per cent discount

General Insurance Corporation of India debuted at Rs. 857.50 on the National Stock Exchange, at a 6 per cent discount to its issue price of Rs 912 per share.

The reinsurance company had fixed its IPO price band at Rs. 855-912. The Rs. 11,370-crore initial public offer of the company was open for subscription between October 11-13, 2017. The IPO received bids for 17,06,99,808 shares against the total issue size of 12,47,00,000 shares, oversubscribing by 1.38 times.

The company will be utilizing the proceeds of the issue for general corporate purposes, augmenting the capital base to support its business growth and to maintain current solvency levels.

GIC is the largest reinsurance company in India in terms of gross premiums accepted in fiscal 2017. The company accounted for about 60 per cent of the premiums ceded by the Indian insurers to reinsurers during FY17.

At 10:42 am, the stock of General Insurance Corporation of India was trading at Rs. 802.15, down by Rs. 109.85 or 12.02 per cent from its issue price of Rs. 912. The scrip opened at Rs. 850.00 and touched a high and low of Rs. 867 and Rs. 780, respectively on NSE.