LIC clarifies reports on ManipalCigna stake acquisition, reassures investors of updates

Life Insurance Corporation of India (LIC) issued a clarification on November 28, 2024, addressing recent media reports about its potential acquisition of a 50% stake in ManipalCigna Health Insurance. The clarification came in response to a report by The Economic Times, which stated that LIC was in talks to acquire nearly half of ManipalCigna's shares, as part of its strategy to enter the growing medical expenses coverage market.

The report also mentioned that the two companies had signed a non-disclosure agreement and were in discussions to finalize a deal, which could value the health insurer at approximately ₹4,000 crore.

In its statement, LIC confirmed that it regularly explores various strategic opportunities across sectors, including health insurance, to support business growth and diversification. However, the insurer emphasized that no material information had emerged at this stage that required disclosure under the relevant listing regulations.

LIC reassured investors that it would provide further updates in compliance with applicable laws, should any significant developments occur.

Despite broader market declines, LIC's stock saw a notable surge, rising nearly 4% to ₹952.50 on the Bombay Stock Exchange (BSE). By mid-afternoon, the share price remained 2% higher, at ₹933.50.