LIC IPO: Search for anchor investors begins, govt may seek higher valuation

Govt asks I-bankers to approach big investors

Merchant bankers appointed by the Union government have been asked to draw up a list of large investors that may act as anchor investors in the initial public offering (IPO) of Life Insurance Corporation of India (LIC), according to officials privy to the matter. The IPO, touted to be India’s largest, may need heavy lifting from anchor investors as the government is likely to seek a higher valuation for the insurer.

With LIC all set to file its draft red herring prospectus (DRHP), government-appointed merchant bankers have been asked to approach large investors. In some cases, engagement with such investors has