Daily Brief India: LIC Housing Finance, HealthCare Global Enterprises, Divi’s Laboratories, TCI Industries and more

• LIC Housing Finance (“LICHF”) reported decent disbursement growth of 14.5% YoY in Q1FY27. Overall AUM growth was tepid at 4% YoY but this is slated to pick up in FY27.
• Asset quality has been consistently improving with Stage 3 assets at 2.14% vs 2.16% QoQ and Stage 2 assets at 2.60% vs 2.78% QoQ.
• LICHF continues to trade at cheap valuation at below 5x P/E; thus an investment in LICHF at current valuation has potential to triple.

• CVC Capital Partners fully exited Healthcare Global (HCG) in mid-2025, selling its 54% stake to KKR at ₹445 per share. Post-acquisition, KKR has pushed a pure-play oncology strategy, highlighted by the June 2026 divestment of the loss-making Milann fertility business for ₹37.64 crore equity value.
• The Supreme Court’s September 29, 2026 proposal for a 16% retail markup cap on oncology drugs is the most material near-term threat to EBITDA. Because medical oncology represents 38% of HCG’s specialty mix, a hard cap would severely compress pharmacy margins. HCG’s primary defensive levers include restructuring and bundling procedural billing packages and inflating unregulated bed, diagnostic, and radiation charges.
• Under KKR’s sole control, the governance structure has shifted entirely to professional management led by ED and CEO Dr. Manish Mattoo. While founder Dr. B.S. Ajaikumar remains as Non-Executive Chairman, day-to-day operations and capital allocation are tightly managed under KKR’s institutional framework, targeting a ramp-up to 21-22% EBITDA margins in the next two years.

• NIFTY 50 represents the 50 largest stocks listed in the National Stock Exchange (NSE) of India and the NIFTY Next 50 index tracks the next 50 largest names.
• Here we have presented our expectations for these indices for the upcoming index rebal event in March 2027.
• We see two changes for NIFTY 50 and five changes for NIFTY 100.

• TCI Industries Limited (TCIN IN) represents a specialized, asset-rich small-cap equity vehicle whose fundamental investment thesis centers on the monetization and development optionality of its prime land holding in Colaba, South Mumbai, supported by secondary investment portfolio activities.
• The company delivered an operational turnaround in FY2026 with total revenue expanding to INR 50.61M (3-year CAGR of 38.12%) and net income returning to positive territory at INR 4.87M (9.62% net margin), recovering from substantial losses in FY2024 (-INR 10.39M) and FY2025 (-INR 22.40M).
• Despite positive accounting margins in FY2026, Free Cash Flow to Equity (FCFE) remains negative at -INR 9.27M alongside zero dividend distributions (Smartkarma Dividend Score of 1/5), reflecting ongoing capital absorption, regulatory holding costs, and long-gestation asset realization cycles.

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