RBI approval for LIC HDFC Bank stake | Image:HDFC Bank
RBI nod for LIC HDFC Bank stake: The Reserve Bank of India (RBI) has given the green light for Life Insurance Corp. of India (LIC) to acquire a substantial 9.99 per cent stake in HDFC Bank, as revealed by the country’s largest private lender on January 25 in a filing to stock exchanges.
HDFC Bank disclosed, “LIC has been advised by RBI to acquire the aforesaid major shareholding in the Bank within a period of one year i.e. by January 24, 2025.” The bank emphasised that LIC must ensure that its aggregate holding in HDFC Bank does not surpass 9.99 per cent of the paid-up share capital or voting rights at any given time.
As of December 31, LIC holds a 5.19 per cent stake in HDFC Bank, according to the lender’s shareholding pattern.
The RBI communicated its decision to LIC through a letter dated January 25, granting the insurance giant the authority to acquire an aggregate holding of up to 9.99 per cent of the paid-up share capital or…