LIC’s stake in Axis Bank crosses 10%

The stake of country’s largest life insurer Life Insurance Corporation of India (LIC) in Axis Bank crossed 10% after it picked up the private lender’s shares through open market transactions.

• LIC is one of the promoters in Axis Bank, bought 52.07 lakh shares or over 1 % of paid-up capital worth Rs 625.64 crore between September 2013 and January 21, 2014.
• With this acquisition, LIC’s stake in the private lender rose to 10.44% from 9.33 %. The total number of shares of Axis Bank with LIC have risen to 4.9 crore.
• Shares of Axis Bank trading at Rs 1,184.85 per unit down 0.36 % over their previous close on the BSE.
• Specified Undertaking of UTI (SUUTI), one of the promoters of Axis Bank, has appointed three merchant bankers for sale of its stake in the bank.
• The merchant bankers selected for the stake sale: J P Morgan, Citigroup Global Markets and JM Financial Consultants.
• The promoters of the Axis bank: SUUTI, General Insurance Corporation, New India Assurance and National Insurance Company.

Note: SUUTI, formed in 2003 is an offshoot of former UTI, holds 23.58% in the country’s third largest private sector lender Axis Bank.