InvestorQ : Is it true that LIC proposes to increase its stake in Kotak Mahindra Bank?
Mitali Bhutta made post

Is it true that LIC proposes to increase its stake in Kotak Mahindra Bank?

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6 months ago
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The RBI has just accorded approval to the Life Insurance Corporation to enhance its stake in Kotak Mahindra Bank to 9.99%. Currently, LIC holds 4.96% stake in Kotak Mahindra Bank. LIC needs the approval of RBI to increase its stake in any Indian bank beyond 5%. This approval given by the RBI is valid for a period of one year, during which period, LIC can increase its stake in Kotak Mahindra Bank up to 9.99%. Post that, fresh approval is needed.

LIC currently is already a significant investors in most of the leading banks in India. Actually, LIC has stakes in a total of 24 scheduled commercial banks. It may be recollected that LIC had also been roped in to take a 49.24% stake in IDBI Bank. The other predominant holdings of LIC in Indian banks include an 8.8% in Canara Bank, 8.3% in PNB, 8.3% in SBI, 8.2% in Axis Bank and 7.6% in ICICI Bank.

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