iifl-logo

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

sidebar image

Axis Bank to infuse Rs 1,612 crore in Max Life via preferential allotment

10 Aug 2023 , 10:03 AM

On August 9, the Axis Bank board approved a Rs 1,612-crore investment in Max Life Insurance Company Limited, a major subsidiary of Max Financial Services Limited. 

The bank stated that the request for the injection via preferential allotment was authorized by the Acquisitions, Divestments and Merger Committee.

The bank will now enter into a Share Subscription Agreement with Max Life for the proposed acquisition of 14,25,79,161 fully paid-up equity shares of face value of Rs 10 each at a fair market value of Rs 113.06 per share (determined in accordance with existing regulations and including a share premium of Rs 103.06 per equity share), according to Axis Bank.

According to the bank, the planned acquisition would boost its position in the life insurance business. Axis Bank said that the completion of this purchase will increase the bank’s total investment in Max Life (together with its subsidiaries such as Axis Securities Ltd. and Axis Capital Ltd.) from 12.99% to 19.02%.

The planned acquisition would be done at Fair Market Value utilizing the Discounted Cash Flow technique. The bank said that the transaction is expected to take four to six months to complete.

At around 10.00 AM, Axis Bank was trading 0.31% lower at Rs 947.05, against the previous close of Rs 950 on NSE.

For feedback and suggestions, write to us at editorial@iifl.com

explored-media

Related Tags

  • Axis Bank
  • Axis Bank acquisition
  • Axis Bank news
  • Axis bank Updates
  • Axis BankStock
  • Max Life
  • Max Life Insurance
sidebar mobile

BLOGS AND PERSONAL FINANCE

Read More

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

Knowledge Center
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Capital Services Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Loading...

Follow us on

facebooktwitterrssyoutubeinstagramlinkedintelegram

2025, IIFL Capital Services Ltd. All Rights Reserved

ATTENTION INVESTORS

RISK DISCLOSURE ON DERIVATIVES

Copyright © IIFL Capital Services Limited (Formerly known as IIFL Securities Ltd). All rights Reserved.

IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)

ISO certification icon
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.