LIC Housing Finance Limited's Board of Directors concluded a comprehensive meeting on March 25, 2026, approving several strategic initiatives that will shape the company's operations for the upcoming financial year. The meeting, which commenced at 02:30 PM and concluded at 07:30 PM, resulted in key decisions regarding funding strategies and leadership appointments.

Borrowing Budget Approval for FY 2026-27

The board approved a substantial borrowing budget following recommendations from the Audit Committee meeting held on March 24, 2026. The comprehensive funding strategy encompasses multiple financial instruments to support the company's growth objectives.

The borrowing framework includes diverse funding mechanisms:

• Loans and redeemable Non-Convertible Debentures
• Zero Coupon Bonds and Subordinate Debt
• Upper Tier II Bonds and Commercial Paper
• External Commercial Borrowing and Foreign Currency Bonds
• Securitization through private placement and public issues
• Refinance from National Housing Bank (NHB)
• Deposits from public, corporate entities, and trusts
• Direct assignment and other borrowing modes

Leadership Team Strengthening

Pursuant to Regulation 30 read with Schedule III of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, the board made two significant appointments to strengthen the company's risk management and cybersecurity capabilities based on Nomination and Remuneration Committee recommendations.

Chief Risk Officer Tenure Extension

The board extended Mr. J. Sangameswar's tenure as Chief Risk Officer, ensuring continuity in the company's risk management framework. Mr. Sangameswar brings over three decades of extensive experience across risk management, credit appraisal, business development, finance, and operations within the housing finance sector.

Chief Information Security Officer Appointment

The board appointed Mr. Jimit Narendra Shah as Chief Information Security Officer to oversee the company's cybersecurity initiatives. Mr. Shah is an experienced cyber security leader with over 15 years of expertise in Governance, Risk, and Compliance, information security, and technology risk management.

Regulatory Compliance and Documentation

The company has ensured full compliance with regulatory requirements by disclosing these decisions under Regulation 30 and 52(1) of SEBI Listing Regulations. The formal intimation was communicated to both National Stock Exchange of India Ltd and BSE Limited on March 25, 2026, with reference number LICHFL/CS/Change in SMP_5_2025-26. All relevant documents have been uploaded to the company's official website at lichousing.com, maintaining transparency with stakeholders and regulatory authorities. The comprehensive nature of these approvals positions LIC Housing Finance Limited for continued growth while maintaining strong governance standards.

LIC Housing Finance has received a Buy rating from CITI with a target price of Rs 730, as the brokerage anticipates significant growth acceleration for the housing finance company. The positive recommendation is based on multiple growth catalysts and improving operational metrics expected over the coming years.

Growth Acceleration Expected

CITI projects that LIC Housing Finance's growth trajectory will strengthen considerably, with AUM growth expected to exceed 6% by FY26 exit. This acceleration is attributed to several key factors working in the company's favor, including substantial repricing opportunities and reduced balance transfer outflows that have historically impacted growth momentum.

Key Growth Drivers

The brokerage has identified multiple drivers supporting the improved growth outlook:

Strategic Initiatives

LIC Housing Finance is implementing several new growth levers that CITI expects to contribute to the improved performance trajectory. These strategic initiatives include a comprehensive distribution network reset aimed at enhancing market reach and customer acquisition capabilities.

The company is also expanding its business model through co-lending partnerships and fintech tie-ups, which are expected to provide additional growth avenues and improve operational efficiency. These initiatives represent the company's efforts to adapt to evolving market dynamics and leverage technology for enhanced service delivery.

Valuation Assessment

CITI considers LIC Housing Finance attractively valued at the current levels, with the stock trading at 0.55x FY27 Price-to-Book ratio. This valuation multiple suggests significant upside potential to the target price of Rs 730, reflecting the brokerage's confidence in the company's ability to execute its growth strategy and deliver improved financial performance.