Max Financial Services (MFSL) has received approval from the Insurance Regulatory and Development Authority of India (IRDAI) to purchase the balance 5.17% stake held by Mitsui Sumitomo Company (MSI) in Max Life Insurance Company (Max Life). The transaction is expected to be concluded in the next fortnight. This transaction entails purchase of 9.91 crore shares of Max Life at Rs 85 per share by MFSL, the parent company of Max Life, as per the Put/Call option approved by the MFSL Board on March 03, 2020 and subsequently by its shareholders on May 27, 2020.
Earlier, MFSL held a 72.52% stake in Max Life and MSI had 25.48% stake. In December 2020, MFSL swapped 20.57% of the paid-up equity share capital in Max Life held by MSI to MFSL in exchange for 21.87% of issued and paid-up share capital of MFSL (Share Swap Transaction). In March 2021, MSI acquired 0.26% stake from Axis Bank, as a result MSI’s stake in Max Life increased to 5.17%. Subsequently, MFSL was awaiting this approval from IRDAI for the transfer of balance stake of 5.17% held by MSI. Post completion of MSI balance stake buyout of 5.17% MFSL shareholding in Max Life will increase to 87%.
Max Financial Services is a part of the Max group, an Indian multi business corporation.
Company Name | CMP |
---|---|
Max Financial | 1166.90 |
Delphi World Money | 220.20 |
Anand Rathi Wealth | 3982.30 |
Prudent Corporate | 3082.25 |
Nuvama Wealth | 6488.35 |
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