NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  

Rediff News  All News  » Business » LIC is the saviour again, buys 86% shares in IOC stake sale

LIC is the saviour again, buys 86% shares in IOC stake sale

August 26, 2015 11:27 IST

State-owned Life Insurance Corporation of India, the country's largest investor, bought just under 86 per cent of shares sold by the government earlier this week in state-run refiner and fuel retailer Indian Oil Corp, a regulatory filing showed.

New Delhi is seeking to raise as much as $11 billion by selling stakes in state-run firms this year.

While LIC is a frequent back up for government sales, the sum it bought on Monday, amid a stock market rout, is likely to raise questions over the future of the sell-off programme.

The Indian government sold 10 percent of Indian Oil, raising around $1.4 billion.

Officials at LIC, whose stake has risen to 11.11 per cent in Indian Oil from 2.52 per cent according to Tuesday's filing after market hours to the Bombay Stock Exchange, did not immediately respond to requests for comment. 

Himank Sharma and Clara Ferreira Marques
© Copyright 2018 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.