LIC Hikes Stake in NTPC to 7.004% After Acquiring 2.002% Equity in Open Market

Institutional bellwether Life Insurance Corporation of India (LIC) has increased its holding in state-owned power generator NTPC Ltd to 7.004%, up from 5.002%, following open market share purchases amounting to a 2.002% stake.

According to a regulatory filing submitted under Regulation 29(2) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, LIC acquired 19,41,37,077 equity shares carrying voting rights. The disclosure was communicated to both the BSE and the National Stock Exchange of India (NSE).

Key Transaction Details

The accumulation took place through secondary market transactions spread across a one-year period:

• Acquiring Entity: Life Insurance Corporation of India (non-promoter institutional investor)
• Target Company: NTPC Ltd
• Pre-Acquisition Holding: 48,49,90,140 shares (5.002%)
• Shares Acquired: 19,41,37,077 shares (2.002%)
• Post-Acquisition Holding: 67,91,27,217 shares (7.004%)
• Mode of Acquisition: Open market purchases
• Acquisition Window: October 10, 2025, to October 19, 2026
• Equity Share Capital: Unchanged at ₹9,69,66,61,340

Institutional Vote of Confidence

The sustained accumulation by India’s largest domestic institutional investor (DII) comes as a strong signal of long-term confidence in the Maharatna utility’s operational trajectory. LIC crossed the 5% threshold in NTPC in October 2025, and regulations require institutional entities to formally notify stock exchanges whenever an acquisition or disposal crosses subsequent 2% thresholds.

The disclosure, signed by LIC's investment back-office division in Mumbai, confirms that the insurer's total holding now stands at nearly 67.91 crore shares.

Strategic Importance for the Power Sector

NTPC remains India's largest power utility, operating over 83 GW of installed capacity and supplying nearly a quarter of the nation's generated electricity. The company has outlined long-term plans to scale its total capacity to 150 GW by 2032 while aggressively rolling out green power assets through its renewable energy ventures.

For public market participants, heavy participation by LIC provides substantial institutional support and underscores sustained investor appetite for defensive, dividend-yielding public sector utilities amidst broader market volatility.

Tags: LIC NTPC SEBI BSE NSE Power Sector