MUMBAI:
Sebi
has extended LIC’s
deadline
to achieve a 10%
public shareholding
by three years. The decision, which was communicated through a letter dated May 14, 2024, grants
LIC
until May 16, 2027 to fulfill this requirement.LIC was listed on the
stock exchanges
on May 17, 2022 after a Rs 21,000 crore
IPO
, which resulted in govt’s stake being diluted to 95%.
Rule 19(2)(b)(iv) of the Securities Contracts (Regulation) Rules, 1957 requires that companies dilute at least 5% of their shares to the public initially. Additionally, the public shareholding must increase to at least 10% within two years and 25% within five years from the listing date. Shares of LIC jumped more than 6% on Wednesday after the news.
Meanwhile, LIC Housing Finance on Wednesday reported a profit of Rs 1,091 crore in the quarter ended March – a 7.5% decline from a year ago.
