HDFC Bank will acquire 9.94% stake in Go Digit

26 Aug 2022 , 07:50 AM

An indicative and non-binding term sheet has been signed by private sector lender HDFC Bank NSE -0.54% and Go Digit Life Insurance Ltd.

The bank announced in an exchange filing that it will spend ‘120 crore in two tranches to buy up to 9.94% of the company’s equity.

According to a regulatory filing by HDFC Bank, The company seeks to conduct life insurance business in India, subject to the approval of certificate of registration by Insurance Regulatory and Development Authority of India.

Go Digit Life is awaiting a certificate of registration from the Insurance Regulatory and Development Authority of India after applying to the insurance regulator for a license to conduct life insurance business in the nation (Irdai). The business recently submitted draft documents to the market regulator in order to raise about Rs 1250 crore through an IPO (IPO)