As shares of Gautam Adani-led group companies rose for the third consecutive session, insurance behemoth Life Insurance Corporation of India (LIC) has recouped losses on its investment in the energy-to-airport conglomerate.

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LIC holds shares in seven out of the 10 listed companies of the Adani Group. The shareholding ranges from 1.28 per cent in Adani Green Energy Ltd to 9.14 per cent in Adani Ports & SEZ Ltd, according to information available on stock exchanges.

The rout in the Adani Group shares that followed US short-seller Hindenburg Research releasing a damning report on January 24 led to LIC's investments turning negative a week back.

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Against a purchase price of Rs 30,127 crore, the value of shares LIC held in the Adani Group dropped to Rs 29,893.13 crore on February 24.

But the Adani Group stocks rally after investors poured in money has reversed the situation.

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The market value for the investment at the closing of market hours on January 27, 2023, was Rs 56,142 crore, in excess of its investments over time, making the investments profitable.

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Shares of LIC witnessed hammering since Hindenburg released a research report alleging Adani Group of fraud and stock manipulation. However, the recent rise in the Adani group stocks has supported the LIC in its share price as it grew by over 2 per cent in the last one month.

On the contrary, LIC shares since its listing in May 2022 have cracked nearly 30 per cent and it closed over 2 per cent higher to Rs 614.5 per share on the NSE. 

With PTI Inputs