LIC extends gains for fourth straight session, shares jump over 4%

Shares of Life Insurance Corporation of India (LIC) jumped over 4% in the early trade on Wednesday, extending its gains for the fourth straight session. LIC shares jumped 4.39 per cent to trade at Rs 690.00 apiece on the National Stock Exchange (NSE) at around 10:35 am.

According to the BSE website, the shares of LIC have yielded a positive return of 14.14 per cent in the last three months as against a 4.56 per cent rise in the benchmark Sensex and a 3.63 per cent increase in the S&P BSE Financial Services index.

On the National Stock Exchange, around 37 lakh shares traded hands at the time of filing this story. 

In the last six months, the scrip has made investors wealthier by around 11.50 per cent. However, it has yielded a negative return of 3.88 per cent so far this year.

Meanwhile, the state-run insurance company has decided to cut its stake in Welspun Corp. In an exchange filing, LIC said that its shareholding in Welspun Corp has diluted from 1,89,68,840 to 1,36,06,752 equity shares, decreasing its shareholding from 7.252 per cent to 5.202 per cent of the paid-up capital of the company.

Welspun Corp Ltd. is a leading manufacturer of large-diameter pipes globally, offering a one-stop solution for all line pipe-related requirements with its wide range of high-grade line pipes. 

Meanwhile, the state-run insurance company has also informed that it infused an incremental capital in LIC Mutual Fund Asset Management Ltd in Rights Issue pursuant to the scheme of merger transaction of IDBI Mutual Fund with LIC Mutual Fund Asset Management Ltd.

LIC infused Rs 24.75 crore for 956 rights shares in LIC Mutual Fund Asset Management Ltd at a price of ₹2,58,851 each.