LIC has increased its stake in HDFC Bank. The Reserve Bank of India (RBI) has granted approval to Life Insurance Corporation of India (LIC) to acquire an aggregate stake of up to 9.99% in the bank’s paid-up share capital or voting rights. Earlier, LIC held a 4.11% stake in HDFC Bank’s total share capital. Now LIC will purchase an additional stake, and the total stake will be increased up to 9.99%.
The Life Insurance Corporation of India (LIC) is the nation’s largest institutional investor, managing a massive equity portfolio that features significant stakes in over 90 listed companies. Its single largest equity holding is in Reliance Industries Limited, with a position valued at over ₹1.3 lakh crore. Beyond energy and retail conglomerates, LIC maintains immense exposure to the fast-moving consumer goods sector through a stake in ITC Limited worth more than ₹80,000 crore.
The state-backed insurer also acts as a foundational anchor for the Indian financial sector, holding major equity positions in banking giants like the public sector State Bank of India and the private lender HDFC Bank. Additionally, LIC channels significant capital into national infrastructure and technology, holding multi-billion-dollar investments in engineering leader Larsen & Toubro alongside top-tier information technology firms like TCS and Infosys.
The shareholding pattern of LIC is as follows:
| Category of Shareholders | Number of Shares | % of Total Shares |
|---|---|---|
| Promoter | 224359660 | 52.37 |
| Individuals (includes HUFs) | 32166344 | 7.51 |
| FIIs/QFIs/FPIs | 104761042 | 24.45 |
| Mutual Funds | 36170718 | 8.44 |
| Insurance Companies | 12340402 | 2.88 |
| Pension Funds | 12348620 | 2.88 |
| Financial institutions/Banks | 241735 | 0.06 |
| Bodies corporate | 2852531 | 0.67 |
| NRIs/foreign nationals | 1571834 | 0.37 |
| Directors & their Relatives | 848280 | 0.20 |
| Clearing members | 7133 | 0.00 |
| Alternative Investment Funds | 703111 | 0.16 |
| NBFC | 2384 | 0.00 |
| Trusts | 26387 | 0.01 |
| Total | 428400181 | 100.00 |
