ICICI Lombard Boosts Stake in State Bank of India

On April 8, 2024, ICICI Lombard General Insurance Company Limited informed the stock exchanges about the acquisition of shares in the State Bank of India.

Details of the Acquisition

On Monday, ICICI Lombard General Insurance Company Limited announced that the company has increased its stake in the giant of the banking industry, State Bank of India. The company acquired an additional 0.01% shareholding in the State Bank of India, increasing its total ownership to 0.06% by the acquisition date.

The acquisition involved cash consideration, with the cost of acquisition amounting to ₹2.69 billion prior to the acquisition date and ₹2.86 billion cumulatively up to that date.

In the stock exchange filing, ICICI Lombard General Insurance Company stated that investment in the State Bank of India does not constitute a related party transaction. ICICI Lombard’s promoter and promoter group entities may have investment and other business-related transactions/arrangements with the State Bank of India at arm’s length.

ICICI Lombard General Insurance Company further added that the acquisition of shares is being made in the ordinary course of the company’s business. The time period of the acquisition was stated as April 8, 2024, during market hours.

About State Bank of India

State Bank of India (SBI) is the largest bank in India, with 1/4th market share. The bank serves more than 48 crore customers through its vast network of more than 22,405 branches, 76,089 Customer Service Points (CSP) and 65,627 ATMs/ADWMs as of March 31, 2023.

SBI reported a turnover of ₹3,508.44 billion in FY 2023, ₹2,899.73 billion in FY 2022 and ₹2,781.15 billion in FY 2021.

On April 9, 2024, the SBI share price opened at ₹768.45, touching the day’s high at ₹769.90, as of 9:52 AM on the NSE.

About ICICI Lombard General Insurance Company

ICICI Lombard General Insurance Company is one of the prominent private sector general insurance companies in India. On April 9, 2024, the share price of ICICI Lombard General Insurance Company opened at ₹1,725.00, touching the day’s high at ₹1,728.00, as of 9:53 AM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.