Shares of General Insurance Corporation of India Ltd (GIC) hit a low of Rs 346.50 apiece on Wednesday, below the floor price of Rs 252 apiece for the ongoing offer for sale (OFS). The scrip fell 3.38 per cent, even as the issue received a strong 371.69 per cent demand from non-retail investors and opened for retail investors today.

Data showed GIC RE OFS received non-retail bids of 11,73,76,058 shares  against the quota of 3,15,79,200 shares, at an indicative price of Rs 352.92 apiece. Following the strong demand, GIC RE informed NSE and BSE about promoter's intention to exercise over-subscription option for 5,26,32,000 equity shares.

"Accordingly, the total offer size will be up to 8,77,20,000 Equity shares (representing 5 per cent of the total paid up equity share capital of the Company) of which 8,772,000 i.e. 10 per cent of the Offer, would be available for Retail Category on T+1 day, i.e. June 17, 2026, subject to receipt of valid bids, as part of the Offer," GIC RE informed stock exchanges.

Bids for 12,899 shares were received from retail investors, comprising 0.37 per cent of the quota size of 35,08,800 shares so far.

The two-day OFS will conclude today. The government is looking to raise Rs 3,087.74 crore from GIC RE. This was at 8.63 per cent discount to GIC RE's Monday closing price of Rs 385.25 on NSE. 

A total of 10 per cent of the OFS is reserved for allocation to retail investors, who will be allowed to bid on Wednesday. In the case of non-retail bids, a minimum of 25 per cent of the offer shares were reserved for mutual funds and insurance companies, subject to receipt of valid bids at or above the floor price. 

The government held 1,44,55,67,615 shares or 82.40 per cent stake in GIC RE at the end of March quarter. Its OFS was aimed at meeting 25 per cent minimum public shareholding (MPS).  

Overall, the government is looking to raise Rs 3,087.74 crore from GIC RE. GIC RE has offered up to 20,000 shares to the eligible employees, in accordance with the terms and conditions provided in the OFS guidelines, or any other limit as may be approved by the competent authority. 

"Those non-Retail Investors who have placed their bids on T day and have chosen to carry forward their unallotted bids to T+1 day, shall be allowed to carry forward and also revise their bids on T+1 day as per the OFS Guidelines. For Retail Investors, Employees and for non-Retail Investors who choose to carry forward their un-allotted bids to T+1 Day," GIC RE said earlier in an exchange filing.