LIC board gives approval to acquire 51% stake in debt-ridden IDBI Bank

The government owned 85.96 per cent in IDBI Bank at the end of June

Life Insurance Corporation of India (LIC) came a step closer in acquiring a majority stake in the government-owned IDBI Bank as its board gave an approval to the deal on Monday.

LIC’s shareholding in IDBI Bank will stand at 51 per cent after it takes a series of approvals from the Reserve Bank of India, the Securities and Exchange Board of India (Sebi), the government and the bank’s board, Department of Economic Affairs Secretary Subhash Chandra Garg said. Garg is a director on the board of LIC, which owned around 7.98 per cent in IDBI Bank at the end of June.