Life Insurance Corporation (LIC) on February 9 said the company will soon contact the Adani group's top management to understand issues surrounding the conglomerate and how they are planning to work around the situation.
"We will call the top management to understand the issues and future plans for the situation," M.R. Kumar, Chairman, LIC said to Moneycontrol after announcing its third quarter results. LIC's investment department has already reached out to the group, he added.
In a press conference after announcing its results, the state-owned insurance behemoth said its exposure to the Adani group is 0.97 percent of its total assets under management (AUM). LIC’s total AUM stood at Rs 44.34 lakh crore as on December 31, 2022.
Union Minister of State for Finance Bhagwat Kisanrao Karad had informed the Parliament on February 7 2023, LIC has invested Rs 30,127 crore over the last many years to purchase equity stakes in various Adani group companies.
In a reply to a question in Rajya Sabha, Karad said LIC’s total holding in Adani group companies which includes both equity and debt is at Rs 35,917 crore as on December 31, 2022.
“Total purchase value of equity, purchased over the last many years, under all the Adani group companies is Rs 30,127 crore and the market value for the same as at close of market hours on 27.01.2023 was Rs 56,142 crore,” the minister said.
The embattled Adani group has lost more than $66 billion in stock value since Hindenburg Research's scathing report on it, including fraudulent transactions and share price manipulation.
The market capitalisation of the Adani Group has halved from January 24, falling below the Rs 10 lakh crore mark.
LIC Q3 results
LIC on February 9 reported a net profit of Rs 6,334.19 crore for the December quarter of the financial year 2022-23, a multifold year-on-year increase on the back of strong growth.
The net profit for the corresponding quarter of the previous year was Rs 234.91 crore.
The life insurance behemoth’s net premium income grew by 14.5 percent to Rs 1.11 lakh crore from Rs 97,620 crore in the same quarter of the previous year.
The first-year premium or new business premium grew to Rs 9,724.71 crore from Rs 8,748.55 crore in the December quarter of the previous financial year.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
