LIC may seek Sebi exemption for open offer to IDBI Bank shareholders

As per the Sebi's takeover code, an acquisition of more than 25 per cent in a listed entity is termed as control and requires an open offer

The government hinted on Tuesday that Life Insurance Corporation might seek an exemption from the Securities and Exchange Board of India (Sebi) from making an open offer to the minority shareholders of state-owned IDBI Bank, in which the insurer is set to buy a 51 per cent stake.

“They (LIC) are exploring an open offer. It will either be exemption, otherwise an open offer,” Subhash Chandra Garg, secretary, Department of Economic Affairs, who is also a member on the LIC board, told reporters.

A meeting of the LIC board was held in the national capital on Tuesday to “take necessary