ICICI Bank Share Price in Focus; LIC Gets RBI Approval to Acquire Up to 9.99% Stake

Life Insurance Corporation of India has received approval from the Reserve Bank of India to acquire up to 9.99% of ICICI Bank.  

LIC can make the acquisition during the next one year. The approval covers the insurer's aggregate holding in the bank's paid-up share capital or voting rights and remains subject to the applicable regulatory and statutory provisions. 

LIC Gets RBI Clearance 

The RBI's approval gives LIC the required regulatory clearance to increase its holding in ICICI Bank up to the permitted limit. 

There is a deadline attached to the permission. LIC has to complete the acquisition within one year from the date of the RBI letter. If it does not, the approval will be cancelled. 

The communication is an approval to acquire the stake, so it should not be read as confirmation that LIC has already purchased 9.99% of ICICI Bank. 

₹21,032 Crore Gain From Three IT Stocks 

The ICICI Bank approval comes against the backdrop of a sharp rise in the value of LIC's investments in TCS, Infosys and HCL Technologies. 

The value of LIC's holdings in the three companies rose from ₹1.05 lakh crore at the end of June to ₹1.26 lakh crore on August 4, according to an August 6 report. That worked out to a mark-to-market gain of ₹21,032 crore in 35 days. 

This gain is linked to LIC's existing investments in the three IT companies and has no connection with the proposed ICICI Bank acquisition. 

Acquisition To Take Place Within One Year 

LIC now has the RBI's permission to proceed with the proposed purchase. The actual acquisition will determine how much of the 9.99% limit the insurer eventually uses. 

For ICICI Bank, the immediate development is the RBI clearance for LIC's proposed stake purchase. The acquisition itself is still to be completed. 

Read More: Tata Motors Share Price in Focus; Launches Tender Offer to Acquire Iveco Group! 

ICICI Bank Share Price Performance  

As of 04 September 2026, ICICI Bank share price closed at ₹1,423.70 per share, reflecting a decline of 0.44% from the previous trading session. 

Conclusion 

LIC has secured RBI approval to acquire up to 9.99% of ICICI Bank. The insurer has one year from September 4, 2026, to complete the purchase under the approval. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.