The country’s largest life insurance company LIC has been exploring the possibility of entering the health insurance sector for some time now. In a conversation with the media, the head of LIC said, “Joining the health insurance business is a natural choice for LIC and the discussions are in the final stages.”
The country’s largest life insurance company LIC is soon going to enter the health insurance sector. The giant government company of the insurance sector is going to buy stake in a health insurance company. LIC’s Chief Executive Siddharth Mohanty said on Tuesday that the ongoing talks with the health insurance company are in the final stage and it is expected that the deal will be finalized before March 31. Siddharth Mohanty, however, did not reveal the name of the health insurance company in which LIC is going to buy stake.
Getting into the health insurance business is a natural choice for LIC
Let us tell you that the country’s largest life insurance company LIC has been exploring the possibilities of entering the health insurance sector for some time. The head of LIC said in a conversation with the media, “Getting into the health insurance business is a natural choice for LIC and the discussion is in the final stage.”
LIC can buy stake in this company for Rs 4000 crore
Siddhartha Mohanty said that LIC will not buy a controlling stake of 51 percent or more in the health insurance company. The exact amount of stake to be bought will depend on factors such as the decision of the board of directors of LIC and valuation. According to some reports in the media, LIC is considering buying stake in Manipal Cigna company in a deal of Rs 4000 crore.
The company’s shares closed with a gain on Tuesday
On Tuesday, LIC’s shares closed at Rs 757.65 on BSE with a gain of Rs 12.65 (1.70%). However, the company’s shares are still trading well below its 52 week high and close to its 52 week low. The 52 week high of LIC shares is Rs 1221.50 and 52 week low is Rs 715.35. According to BSE data, the current market cap of the company is Rs 4,79,213.45 crore.
