Korea Life may raise around $2 bln in IPO -sources

HONG KONG, Nov 6 (Reuters) - Korea Life Insurance Co., the No. 2 life insurer in South Korea, may raise around $2 billion through its planned initial public offering, sources with direct knowledge of the matter said on Friday.

If Korea Life raises that much, it would be the biggest IPO in South Korea since Lotte Shopping's (023530.KS) $3.8 billion listing in 2006.

"Internally, nothing has been decided on the IPO size," a Korea Life Insurance spokesman said. "We have just started the preparation process."

But the sources said that the value of the private company is roughly $10 billion, and the expectation is to float 20 percent of the business.

(Reporting by Michael Flaherty and Narayanan Somasundaram; Editing by Jonathan Hopfner)