RBI Approves LIC to Acquire Up to 9.99% Stake in ICICI Bank Within One Year

The Reserve Bank of India has approved Life Insurance Corporation of India to acquire an aggregate holding of up to 9.99% in private-sector lender ICICI Bank. The approval covers up to 9.99% of ICICI Bank's paid-up share capital or voting rights, as per a regulatory filing by the bank.

LIC has been given a one-year window to complete the acquisition. If the stake purchase is not completed within this period, the RBI approval will lapse. Any actual stake purchase remains subject to applicable statutory provisions, regulatory requirements, and conditions specified by the central bank.

The clearance follows a similar RBI approval last month allowing LIC to acquire up to 9.99% of HDFC Bank. LIC held a 4.11% stake in HDFC Bank as of August 14. On Friday, LIC shares closed 1% lower at Rs 415.25, while ICICI Bank shares ended 0.14% lower at Rs 1,423.