Life Insurance Corporation (LIC) is making further investments in the flagship firm of the Adani Group. The insurance company is profitable despite a sharp fall in the shares of the group companies following allegations of fraud. This information was obtained from the data of the stock market. LIC holds nine per cent shares in Adani Ports and Special Economic Zone, 3.7 per cent in Adani Transmission, 1.3 per cent in Adani Green Energy and six per cent in Adani Total Gas Limited.
20,000 crore investment in FPO
Adani Enterprises Limited (AEL) told the stock market that India’s largest insurer LIC has bought 9,15,748 shares by investing Rs 300 crore as an anchor investor in AEL’s Rs 20,000 crore FPO. LIC bought five percent of the shares reserved for anchor investors. A total of 33 institutional investors invested Rs 5,985 crore in AEL as anchor investors. LIC already holds 4.23 per cent stake in AEL.
double the return despite the fall
According to the information given to the stock market, LIC has invested Rs 28,400 crore in the shares of Adani in the last few years. These shares were worth Rs 72,000 crore before the report of American investment company Hindenburg came out. The value of LIC’s existing shares in Adani Group companies has come down to Rs 55,700 crore, but is still Rs 27,300 crore more than the actual investment.
