Centre Prepares for Another Stake Sale in LIC

The Government of India is preparing for another stake sale in Life Insurance Corporation of India (LIC), with plans likely to be executed next month. According to sources, the government is considering selling around 2% equity stake in LIC, aiming to raise approximately ₹10,000 crore. The stake is expected to be offered primarily to institutional investors, with the transaction likely to take place either in late June or early July.

Major financial institutions including Goldman Sachs, Motilal Oswal, BNP Paribas, and IIFL Capital Services are reportedly assisting the finance ministry in the process. This move comes after LIC’s IPO in May 2022, when 3.5% stake was sold, raising nearly ₹21,000 crore. As per SEBI norms, listed companies must achieve at least 25% public shareholding within 10 years of listing. Currently, the government holds a 96.5% stake in LIC. Neither the government nor LIC has officially commented on the proposed sale.