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SBI Life Insurance Company Ltd shares hit a record high of Rs 1,174, up 3 per cent on the Bombay Stock Exchange (BSE) in intra-day trade on Thursday after US private equity fund CA Emerald Investments, an affiliate of Carlyle Asia Partners, offloaded its entire 1.9 per cent stake in the company via multiple block deals. The stock of the life insurer surpassed its previous high of Rs 1,147.95 touched on July 29, 2021.
In the morning trade, SBI Life traded 1.2 per cent higher at Rs 1,150.45 on the BSE, as compared to a 0.14 per cent decline in the S&P BSE Sensex. Around 19.24 million equity shares, representing 1.92 per cent of the total equity of SBI Life, changed hands on the BSE, the exchange data shows. The stock also hit a low of Rs 1,126.60 in intra-day trade today.
The price range for the share sale had been set at Rs 1,130-Rs 1,136.85, according to a term sheet. The upper end is SBI Life’s closing price on the BSE on Wednesday. At the lower back, Carlyle will be able to raise Rs 2,147 crore. BofA Securities India is the investment bank handling the share sale, Business Standard reported.
In 2019, Carlyle had bought a 9 per cent stake in SBI Life from BNP Paribas for about Rs 5,500 crore. Later in November 2019, Carlyle offloaded a 3 per cent stake at Rs 938 per share to raise Rs 2,814 crore. Then in May this year, Carlyle had sold a 4.2 per cent stake in SBI Life at Rs 960 per share to raise Rs 4,061 crore.
Currently, the State Bank of India (SBI), the promoter, holds a 55.5 per cent stake in SBI Life and BNP Paribas Cardiff holds a 0.2 per cent stake.
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