New Delhi: The country's largest insurance company LIC has increased its stake in the Bank of Maharashtra. Due to this, LIC's stake in this public sector bank has now increased to more than 5 percent. LIC has done this deal at the rate of Rs 57.36. This deal has been done through Qualified Institutional Placement (QIP). Last month, the public sector insurance company sold a large stake in Mahanagar Gas Limited.

In Bank of Maharashtra…

Life Insurance Corporation of India said in its exchange filing that its stake in the Bank of Maharashtra has now increased to 7.10 percent. Earlier, LIC had a 4.05 percent stake in this bank. The insurance company has bought about 3.376 percent stake in the bank. LIC has bought 25,96,86,663 equity shares of Bank of Maharashtra through QIP. This allocation was done under the rules of the market regulator SEBI.

Mahanagar Gas Limited

Bank of Maharashtra is a public sector bank. It does treasury, corporate banking, wholesale banking, retail banking, and other types of work. The market cap of the bank is currently Rs 40,859.53 crore. Earlier, LIC had decided to reduce its stake in Mahanagar Gas Limited. LIC has sold its 2.091 percent stake in Mahanagar Gas. Now LIC's stake in this company has come down from 9.030 percent to 6.939 percent. This deal was sold between 12 and 26 September.

There was a jump in LIC shares.

On Friday, LIC shares closed in the green. They saw a gain of more than Rs 3 on BSE and NSE. On the other hand, Bank of Maharashtra shares closed with a slight decline at Rs 57.65 on NSE. Market experts estimate that this deal may strengthen the shares of the Bank of Maharashtra as well as LIC.