LIC Boosts Shareholder Value with ₹10,800 Crore Transfer

LIC has transferred ₹10,800 crore from its non-participatory funds to shareholders' accounts during Q3, a move aimed at increasing investor interest and potentially issuing bonus shares. This transfer, executed according to regulatory guidelines and approved by LIC's board, is designed to enhance shareholder value. The shift reflects LIC's strategy to grow its non-participatory policy business, allowing a greater share of profits to be allocated to shareholders. While this transfer is currently a one-time event, future transfers are possible as the proportion of non-participatory policies increases. According to Mayank Mehraa, principal partner at Craving Alpha, this move will increase the shareholders' fund by 10 percent 

Source: Moneycontrol