MUMBAI: India’s largest ever public offering drew anchor investors, including Norway’s sovereign wealth fund and the Singaporean government, raising 56.3 billion rupees (US$736mil or RM3.2bil) ahead of its full initial public offering (IPO).

       The 123 anchor investors joining Life Insurance Corp of India’s (LIC) IPO committed to purchase shares at the top end of a marketed range, according to a stock exchange statement.

       They include the Norwegian fund and the Singapore government, confirming an earlier report by Bloomberg News, as well as 15 domestic mutual funds accounting for 71% of the anchor allocation. Orders from retail investors for the listing will be taken starting today.

       LIC’s IPO, which had previously been touted as India’s Aramco moment, is testing the depth of India’s capital market. While India’s government has pared back its original fundraising goal by about 60% – as the war in Ukraine eroded investor appetite – the offering will still be the nation’s biggest.

       Founded in the late 1950s, LIC is the country’s oldest insurer, and had the market to itself until the government opened it up to private competition in 2000. It remains India’s largest insurer with a sales agent in almost every neighbourhood across the country of about 1.4 billion people.

       The listing is seen to lure small-town retail investors and policyholders. — Bloomberg