Insurers are considered long-term investors in the market, as they have a longer mandate to invest policyholders’ money.
Among them is
, where insurance companies held 17.11 per cent stake as of March 31, up 13.67 percentage points from over 3.44 per cent as of December 31, 2020. That stake increase happened because of a private placement of shares by the lender to raise Rs 239.99 crore from Kotak Mahindra Life Insurance, Insurance and Insurance. The scrip is down 13.33 per cent on a year-to-date basis.
In the state-run Rail Vikas Nigam, insurers now own 8.77 per cent stake against nil holding at the end of December quarter. Data showed LIC bought 8.72 per cent stake in the company during the quarter that saw RVNL offer a 10 per cent stake in an offer for sale (OFS), with the option to sell another 5 per cent, if oversubscribed. The base issue was oversubscribed marginally, with the company selling 0.53 per cent of the oversubscribed base issue. The scrip is up 10 per cent YTD.
In Max Financial, 16 insurance companies held a total of 3.16 per cent stake as of March 31. This included HDFC Life Insurance’s 1.47 per cent stake. HDFC Life had held 1.37 per cent as of December 31, but it was a part of ‘any other (specify)’ category then. The scrip is up 28 per cent so far in 2021.
In the case of Bajaj Auto, 23 insurance companies held a total 8.74 per cent stake as of March 31. This included a 7.95 per cent stake held by LIC. Five insurance companies owned a total of 6.03 per cent stake in the two-wheeler maker as of December 31, out of which LIC held 1.55 per cent. The stock is up 7 per cent year to date.
In Alembic Pharma, LIC owned 3.04 per cent while HDFC Life held 2.55 per cent as of March 31. Taking into account the stakes held by eight other investors, the insurers together held 6.55 per cent in Alembic as of March end. This was 230 basis points higher than 4.25 per cent held by 10 insurers as of December 31, 2020. This scrip is down 3 per cent so far this year.
In Can Fin Homes, insurers owned a total 3.51 per cent stake as of March 31, 2021. This included Max Life’s 1.27 per cent holding. This was 216 basis points higher than 1.35 per cent that these DIIs held in the housing finance company as of December 31.
In DCB Bank, seven insurers including Aditya Birla Sun Life and Bajaj Allianz Life Insurance owned 2.88 per cent stake as of March 31, up 210 basis points over 0.78 per cent held as of December 31.
In Tata Communications, insurers held 3.02 per cent stake, which included LIC’s 2.17 per cent holding, as of March 31. This was up 207 basis points over a 0.95 per cent stake they had held in the telecom operator as of December 31.
