Question : Which one of the following statement(s) is/are true regarding HDFC Life & Exide Life deal ?
Statements —
- HDFC Life has recently(September 2021) agreed to buy Exide LIfe Insurance for Rs 6,687 crore.
- Of the total amount some of would be paid by issuing 8.7 crore shares of HDFC Life to the target company’s parent
- This makes it the third biggest insurance M&A deal in India.
Options —
a. Only 1.
b. Only 2.
c. Only 3.
d. Only 1. & 2.
Ans. d.
Related facts —
- HDFC Life has recently(September 2021) agreed to buy Exide LIfe Insurance for Rs 6,687 crore.
- The rest would be paid by issuing 8.7 crore shares of HDFC Life to the target company’s parent.
- This makes it the third biggest insurance M&A deal in India.
- On completion of the deal, Exide Industries will hold a 4.1% stake in HDFC Life and mortgage lender HDFC Ltd, which holds 49.9% stake in HDFC Life, will see its stake come down to 47.9%.
- The proposed sale is expected to be completed before June 2022.