LIC Housing Finance Event Update - Imminent Equity Raise To Be Approved: Centrum Broking
Residential buildings stand at the housing complex in Noida, Uttar Pradesh, India. (Photographer: Anindito Mukherjee/Bloomberg)

LIC Housing Finance Event Update - Imminent Equity Raise To Be Approved: Centrum Broking

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Centrum Broking Report

LIC Housing Finance Ltd. will consider an equity fund raise via preferential allotment at its ensuing board meeting on June 15, 2021.

Our estimates suggest that this equity infusion could be priced at Rs 420 per share and may range from Rs 40-45 billion which would shore up tier-I ratio to 15% (currently 13%).

Pre-money dilution might be 22% (in previous raise, dilution was 19%).

At this price, pre/post money valuation would be 1.45 times/1.1 times FY21 adjusted book value.

Click on the attachment to read the full report:

Centrum Broking LIC Housing Finance - Event Update .pdf

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