LIC Raises Stake in Dr. Reddy’s—What It Means for Investors!

Image Source: Value Research

Life Insurance Corporation of India (LIC) has increased its shareholding in Dr. Reddy’s Laboratories to 8.216%, reinforcing its confidence in the pharmaceutical giant. The move comes amid strong earnings growth and expansion in global markets, making Dr. Reddy’s a key player in India’s healthcare sector.

Key Highlights:

- LIC’s stake rises from 7.98% to 8.216%, signaling long-term investment confidence.
- Dr. Reddy’s Q4FY25 revenue grew 12% YoY, driven by strong US and India sales.
- Stock reaction: Shares gained 2.5% intraday, closing at ₹5,420 on the NSE.
- LIC’s total holding now stands at 1.37 crore shares, valued at over ₹7,400 crore.
- Analysts bullish—expect further upside amid new drug launches and global expansion.

Dr. Reddy’s has been expanding its presence in the US generics market, with recent approvals for oncology and dermatology drugs. The company’s focus on biosimilars and specialty medicines has also strengthened its growth trajectory, making it an attractive bet for institutional investors like LIC.

With LIC’s increased stake, market watchers see renewed confidence in Dr. Reddy’s long-term prospects, reinforcing its position as a leading pharmaceutical stock.

Sources: Economic Times, CNBC TV18, Moneycontrol