LIC Housing Finance To Raise Over Rs 2,334 Crore In Housing Finance Subsidiary

The firm announced that LIC Housing Finance has decided to raise over Rs 2,334 crore from LIC as equity capital. As a result of the above, the firm’s share price jumped 1.43 per cent during the early trading hours of the day.  LIC Housing Finance (LIC HFL) will issue shares at Rs 514.25 apiece to its promoter Life Insurance Corporation of India (LIC) on a preferential basis.

The board of directors of the company in its meeting last week had approved preferential shares up to 4,54,00,000 through a private placement to LIC. The firm’s shareholding in the housing financier post the allotment of shares will go up to 45.24 per cent from over 40.31 per cent currently.

The company will seek shareholders for the preference issue to LIC in its extraordinary general meeting next month on July 19.