Canada Pension Board to sell 2 per cent stake in SBI Life
SBI Life Share News: The Canada Pension Plan Investment Board (CPPIB) will sell a 2 per cent stake in SBI Life Insurance Company. The shares will be offered through the stock exchange platform.
CPPIB will sell SBI Life shares in the range between Rs 1,159 and Rs 1,220 apiece. CPPIB had picked up 2.24 million shares of SBI Life at Rs 700 apiece in September 2017 through an anchor allotment ahead of the IPO.
The company will make approximately 111 per cent returns from its investment in SBI Life in 2.5 years. As of June 30, CPPIB held a 2.86 per cent stake in the company.
In March 2019, CPPIB purchased 20 million shares through the open market. It bought SBI Life shares at an average price of Rs 577.50 apiece when BNP Paribas Cardiff, the foreign partner of SBI Life Insurance, sold 50 million shares.
CPPIB may increase the deal size in case of oversubscription, according to reports.
Earlier in August, American private equity fund CA Emerald Investments, an affiliate of Carlyle Asia Partners, sold its entire 1.9 per cent stake in SBI Life worth Rs 2,147 crore at Rs 1,130 per share.
On Wednesday, SBI Life share’s closing price was Rs 1,218 on the NSE and Rs 1219.90 in the BSE.
