How much does LIC loss in Adani stocks

How much does LIC loss in Adani stocks

How much does LIC loss in Adani stocks, Life Insurance Corporation of India (LIC), the biggest domestic institutional investor, has witnessed an enormous notional loss of Rs 49,728 crore on its investments in the Adani group stocks. The combined market value of LIC’s investments in seven Adani stocks namely Adani Enterprises, Adani Green Energy, Adani Ports and Special Economic Zone, Adani Total Gas, Adani Transmission, Ambuja Cements and ACC plunged to Rs 33,242 crore as on February 23 from Rs 82,970 crore as on December 31, 2022.

The combined market value of the 10 listed companies in the group has slumped by $146 billion, or about 60%, since the US-based short seller Hindenburg released its report a month ago, alleging accounting fraud and stock manipulation. Adani has denied the allegations. Join Our Instagram Channel

With Thursday’s fall, the value of LIC’s investments has turned negative i.e., a loss on its investments. Do note that the assumption is that LIC has not bought or sold stake in the Group companies since January 30.

Shares of 10-listed Adani group companies took a hit after the US short-seller Hindenburg Research on January 24, 2023 made serious allegations including accounting fraud and stock manipulations on the Adani group. Sharing his views on LIC investments, a senior finance ministry official said: “We cannot comment until official filing to exchanges. LIC is a diversified long-term investor in the market. The values of investments keep changing in the market.” Join Our Telegram Channel

In an interaction with Business Today TV, Sunil Damania, Chief Investment Officer, MarketsMojo said, “I don’t think LIC would have sold any Adani stocks amid the ongoing sell-off. The value of LIC has fallen due to fluctuation in the price of Adani stocks. I feel LIC could have bought more Adani stocks in this falling market. However, this data is not available in the public domain at this point in time.”

“Going with the history, it seems that the Adani group may continue to underperform in the foreseeable future,” Damania said.


How much does LIC loss in Adani stocks


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