Mumbai:
PNB MetLife Insurance has filed the draft red herring prospectus (DRHP) for its initial public offering (IPO) with the Securities and Exchange Board of India (SEBI).
Subject to regulatory approvals, it is likely that the IPO will be launched by mid-September.
The company looks to dilute up to 25 percent stake through the issue and the IPO size could be around Rs 2,800 crore valuing the company at Rs 11,000 crore..
Kotak Investment Banking, DSP Merrill Lynch, Citigroup Global Markets India and PNB Investment Services are the book running lead managers to the issue.
This will be the fourth life insurer after ICICI Prudential Life Insurance, HDFC Life Insurance and SBI Life Insurance and eighth insurance companies to be listed on the exchanges.
PNB MetLife is a joint venture between Punjab National Bank (30 percent stake), MetLife (26 percent), Elpro International (21 percent), M Pallonji & Company (18 percent), and Jammu and Kashmir Bank (5 percent).
PNB is the largest shareholder in the life insurance company, expects to dilute about 4 percent stake, while MetLife will dilute 6.4 percent. Other shareholders including M Pallonji, Elpro, IGE India and J&K Bank are also diluting their stake.
In May 2018, Electrical equipment manufacturer Elpro International had announced plans to sell 1.33 percent stake in PNB MetLife Insurance for Rs 134.22 crore. The deal had valued the life insurance company at Rs 10,091 crore.