LIC Increases Stake in SBI Cards & Payments Services Limited

Life Insurance Corporation of India (LIC) has augmented its shareholding in SBI Cards & Payments Services Limited from 4.99% to 5.02% of the paid-up capital through open market purchases. This acquisition, completed on February 9, 2024, marks LIC’s increased ownership in the non-banking financial company.

LIC’s Investment Details

• Recent Acquisition:
  LIC, as an investor, purchased over three lakh shares of SBI Cards and Payments Services at an average cost per share of ₹716.
• Increase in Shareholding:
  This purchase elevates LIC’s shareholding in SBI Cards from 47,410,710 to 47,711,794 equity shares, constituting a rise from 4.99% to 5.02%.

About SBI Cards and Payments Services

• Overview:
  SBI Cards and Payment Services is a significant non-banking financial company regulated by the RBI, specializing in providing credit cards to consumers across India.

Market Reaction

• LIC’s Share Performance:
  Following the acquisition, LIC’s shares on the Bombay Stock Exchange (BSE) witnessed a 5.42% decrease, closing at ₹1,022.30 each.

• SBI Cards’ Share Performance:
  In contrast, SBI Cards’ shares experienced a marginal decrease of less than 1%, ending at ₹712.50 apiece.