SBI Life IPO subscribed 58% on Day 2

New Delhi: The initial share sale offer of SBI Life Insurance Company was subscribed 58 per cent on the second day of bidding on Thursday, stock exchanges data showed.

The initial public offer (IPO), which aims to raise Rs 8,400 crore, received bids for 5,08,79,178 shares against the total issue size of 8,82,00,000 shares, according to data available with NSE.

The portion set aside for qualified institutional buyers (QIBs) was oversubscribed 1.58 times, non institutional investors 8 per cent and retail investors 37 per cent.

SBI Life Insurance Company has raised Rs 2,226 crore from anchor investors.

SBI Life is a joint venture between India's largest lender State Bank of India (SBI) and BNP Paribas Cardif (BNPPC) -- the insurance holding company of France.

The company's IPO involves promoters offloading up to 12 crore shares of face value of Rs 10 each through the offer of sale route. SBI will dilute up to 8 crore shares while BNP Paribas Cardif SA will offload up to 4 crore shares.

The insurer is looking to raise about Rs 8,400 crore at the higher end of the price band which is fixed at Rs 685-700 per share.

The initial share sale offer will close on Friday.

JM Financial Institutional Securities, Axis Capital, BNP Paribas, Citigroup Global Markets India, Deutsche Equities India, ICICI Securities, Kotak Mahindra Capital Company, SBI Capital Markets are the book running lead managers to the offer.