LIC raises IOB stake to 9.96 per cent

Life Insurance Corporation of India (LIC), the country's biggest insurance service provider, has raised its stake in state-run Indian Overseas Bank (IOB) to 9.96 per cent purchasing additional shares worth Rs57.65 crore in open-market transactions.

Public sector LIC, which already held 7.09 per cent stake in IOB, bought over 15.6 million additional shares, representing 2.86 per cent stake in the bank, between 19 February and 3 March 2009, IOB said in filing with the Bombay Stock Exchange (BSE).

LIC now holds 69.6 million shares, representing 9.96 per cent stake in public sector IOB.

LIC had earlier raised its stake in public sector major State Bank of India to 9.16 per cent by acquiring additional 13.4 million shares or 2.11 per cent of its share capital for Rs1,484.12 crore.

The acquisition of equities was made between November last year and 2 March 2009, SBI said in its filing.

LIC also raised its stake in engine maker Cummins India Ltd by 2.18 per cent via open market purchases, the insurance major said.

LIC acquired 4.3 million Cummins India shares between 29 January and 3 March, it said in the filing. LIC's holding in the company now stands at  7.6 per cent, up from 5.42 per cent before the transactions.