LIC share price jumps nearly 4% after five-fold jump in net profit

Updated : May 25, 2023 14:45
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Editorji News Desk

Shares of LIC on Thursday climbed nearly 4 per cent in early trade, after the company posted more than five-fold jump in consolidated net profit at Rs 13,191 crore for the fourth quarter ended March 2023.

The jump in LIC shares also comes at a time when the market value of investments made by state-owned Life Insurance Corporation of India (LIC) in seven companies of the Adani group has swelled to Rs 44,670 crore as stock prices rose from the lows seen in the aftermath of the Hindenburg report.

The country's largest insurer and leading institutional investor in the Adani group has seen the market value of its holdings in Adani stocks increase by around Rs 5,500 crore since April, stock exchange data showed.

LIC's biggest bet is Adani Ports & SEZ Ltd where it holds 9.12 per cent stake. At Wednesday's closing price of Rs 717.95 on the BSE, that holding is worth Rs 14,145 crore.

The rout in Adani stocks happened after Hindenburg in late January alleged fraud, stock manipulation, and money laundering by the group. 

While Adani Group denied all allegations and likened the US investment firm's report to an attack on India, the stock price fall impacted LIC's investment and there was fear that it could book losses.

LIC

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