Reliance General Insurance, a part of Anil Ambani led Reliance Group filed a Initial Public Offering (IPO) for the sale of around 79.2 million shares, worth 200 Crore rupees.
The private sector insurer has appointed CLSA India Pvt Ltd, Motilal Oswal Investment Advisors Ltd and Credit Suisse Securities (India) Pvt Ltd as the global coordinators and book running lead managers to the issue. Edelweiss group has been removed from the list of IPO managers.
The removal was quite expected as few days ago some entities of Edelweiss Group invoked the pledged shares of the Reliance Group. Reliance Group opposed this selling of the share and called this “illegal” and “motivated”. The Indian conglomerate is now planning to move to court against Edelweiss as its action led to steep fall in its share values.
Also read. Anil Ambani led Reliance Group may seek legal recourse against L&T Finance
Earlier too, Reliance filed draft papers for IPO, which were approved by Securities and Exchange Board of India (SEBI). But Reliance failed to hit the primary market within the granted time, which expired in November 2018. After filing for IPO, companies get 1 year period to tap the primary market but Reliance failed to do so because of less appetite among investors for IPO. So now the company had to file IPO again and get new approval by the regulator.