Life Insurance Corporation and ICICI Bank are in discussions on a board seat for LIC. The country’s insurance giant does not have any representation on the ICICI Bank board after its previous nominee, VK Sharma, retired. LIC currently owns a 10 per cent stake in ICICI Bank, and can demand a board seat as per current laws. But ICICI Bank is opposing LIC’s inclusion on the board, saying the latter is a rival business to its insurance subsidiary and holds a stake in IDBI Bank.

Relations between LIC and ICICI Bank soured after Mr Sharma demanded the resignation of former CEO and MD Chanda Kochhar at a time when the rest of the board was keeping quiet. Insiders says that once LIC is listed, it will send a formal letter to ICICI Bank seeking a board seat