Mumbai: Shares of state-owned General Insurance Corp. of India Ltd’s (GIC Re) debuted 6.8% lower on the bourses on Wednesday, even as the country’s second-largest initial public offer (IPO), which raised Rs11,372 crore, was subscribed 1.38 times earlier this month.
GIC Re shares opened 6.8% lower on the BSE at Rs850 apiece compared to the issue price of Rs912 which was the upper end of the price band of Rs855-912 per share.
At 10.05am, GIC Re shares were down 5.04% at Rs866, while benchmark 30-share Sensex traded 0.86% higher at 32,888.59 points. Earlier in the day, the shares touched a high of Rs866.10 and a low of Rs849.35.
The largest IPO in India remains state-owned Coal India Ltd’s Rs15,200 crore share sale in 2010.
GIC Re is the largest reinsurance company in India in terms of gross premiums received in fiscal year 2017 and accounts for around 60% of the premiums ceded by Indian insurers to reinsurers during the fiscal year.
The company offers reinsurance services in key businesses such as fire (property), marine, motor, engineering, agriculture, aviation, health, liability, credit and financial liability and life insurance.