The Life Insurance Corporation of India has acquired 6.660 per cent stake in Jio Financial Services owing to the de-merger action by Reliance Industries, the insurer notified the exchanges.
Jio Financial de-merged from Reliance Industries on July 13, as a part of which shareholders of RIL were allotted one share of Jio Financial for every share held.
Also read: Jio Financial hits lower circuit for second straight day
LIC said the cost of acquisition is equivalent to 4.68 per cent of the pre de-merged cost of Reliance Industries. The country’s largest insurer held 6.49 per cent stake in RIL at the end of June 2023.
Shares of Jio Financial listed on the bourses on August 21. The NBFC has a market capitalisation of ₹1.6-lakh crore.
The stock opened at ₹262 on the NSE on Monday, marginally higher than the floor price of ₹261.85. However, it fell 5 per cent to hit the lower circuit of ₹248.90 due to selling pressure from mutual funds and other institutional investors. On Tuesday, too, the shares slipped 5 per cent to close at the lower band of ₹236.45 on the NSE.