New India Assurance Co. Ltd. plans to sell 15% of its shares to raise as much as 80 billion Indian rupees through an IPO, The Economic Times reported June 5, citing "two sources in the know of the development."

The insurer has already applied to the Insurance Regulatory and Development Authority for an in-principle approval for the listing. The IPO is expected to happen in the next six to eight months.

The company is valued at around 600 billion rupees to 700 billion rupees and is eyeing a valuation of up to 700 billion rupees for the IPO, one of the sources said.

Meanwhile, New India Assurance chairman G Srinivasan said no decision has been taken yet on the IPO.

The Indian government has been looking to raise more than 100 billion rupees by selling shares in five public sector general insurance companies, including New India Assurance, through IPOs.

As of June 5, US$1 was equivalent to 64.38 Indian rupees.