LIC OFS Postponed to Next Fiscal Year Amid Poor Market Conditions

• LIC's Offer for Sale (OFS) has been postponed and is now expected in the next financial year, according to sources.
• The government aims for better investor demand and a good price for the stake sale, which is unlikely in current poor market conditions.
• The government planned to sell a 2.5-3 percent stake in LIC through the OFS, reducing its current 96.5 percent holding.
• LIC needs to increase its public shareholding to 10% by May 2027, as mandated by SEBI.
• Government's current priority is the disinvestment of IDBI Bank, believing its success will positively impact LIC's OFS.

Why It Matters: LIC's OFS is delayed to the next fiscal year, prioritizing better market conditions and IDBI Bank disinvestment.