Life Insurance Corporation (LIC) on Wednesday said markets regulator SEBI has granted an additional 3 years time till May 16, 2027 to comply with the 10% public shareholding norm.
Currently, Government holding in LIC is 96.50%, while public holding is 3.50%.
“Securities and Exchange Board of India vide its letter dated May 14, 2024 has conveyed its decision, to grant additional time of 3 years to Life Insurance Corporation of India to achieve 10% public shareholding… i.e., within a period of 5 years from the date of listing,” LIC said in a regulatory filing.
Accordingly, the revised timeline for the Corporation to achieve 10 per cent public shareholding is on or before May 16, 2027, LIC said.
Public sector behemoth LIC listed itself on the bourses on May 17, 2022. As per SEBI norms, LIC was required to achieve 10% public shareholding within 2 years of listing in the capital market. The government sold over 22.13 crore shares or a 3.5 per cent stake in LIC through an Initial Public Offering (IPO) which fetched the government ₹20,557 crore. The price band of the issue was ₹902-949 a share.
Shares of LIC jumped 3.96% to ₹967.90 a piece in afternoon trade on the BSE.