NEW DELHI: State-owned Life Insurance Corporation (LIC) has increased its stake in Bank of Maharashtra from 4.05% to 7.10% after the life insurer acquired 25,96,86,663 equity shares through the bank’s qualified institutional placement (QIP).
Bank of Maharashtra raised Rs 3,499 crore through issuance of 61,01,81,311 equity shares of face value Rs 10 each to eligible qualified institutional buyers at the issue price of Rs 57.36 per share against the floor price of Rs 60.37 per equity share. LIC acquires 42.56% of the total shares issued through the QIP. Other major buyers included ICICI Prudential Life Insurance (8.51%) and Aditya Birla Sunlife Insurance (5.67%).
The Issue opened on 30 September 2024 and closed on 4 October 2024. After the QIP offer, the paid-up equity share capital of the Bank of Maharashtra now stands increased to Rs 7,692 crore from Rs 7,081 crore.
LIC holds more than 10% stake in ITC (15.19% stake), Stock Holding corporation of India (14.95%), Sidbi (13.33%) and Golster Ltd (12.73%).
The state-owned insurer is also categorised as promoters in around dozen companies through its stake holding.
These include Axis Bank, in which the compnay holds around 8%, Stock Holding corporation of India (14.95%) and J&K Development Finance Corporation Ltd (12.5%) and Clearing Corporation of India (10%). Other banks where LIC holds substantial stake include IDBI Bank (49.24%), Axis Bank (8%), State Bank of India (8.83%) and Punjab National Bank (8.34%).