Categories: Banking

Axis Bank Enters into Revised Pact with Max Financial Services for Acquiring Additional 7% Stake in Max Life

Private lender Axis Bank has informed the exchanges that it has entered into a revised agreement with Max Financial to acquire the remaining 7 percent stake in the latter. The parties agreed that the valuation for the right to acquire the remaining 7 percent stake of Max Life will be through fair market value using discounted cash flow instead of valuation as per Rule 11UA of the Income Tax rules, 1962. Axis Entities have earlier acquired 12.99 percent stake in Max Life at Rs 35 per share with the right to acquire an additional 7 percent stake in the company.

Bank Maha Pack includes Live Batches, Test Series, Video Lectures & eBooks

More About This Acquisition:

In October last year, the Insurance Regulatory and Development Authority (IRDAI) had imposed a penalty of Rs 3 crore on Max Life and Rs 2 crore on Axis Bank due to violations of rules in the proposed deal. The deal was first announced in 2020, under which, Axis Bank proposed to acquire a 29 percent stake in Max Life Insurance.

Significance of this deal:

It clears the way for the regulatory clearance for the deal. It also ensures that Max Financial will get more money for their stake in Max Life. This deal also means that the uncertainty over the Axis Bank Bancassurance tie-up with Max also goes away.
Piyush Shukla

Recent Posts

Weekly Current Affairs One Liners (7th September to 13th September, 2026)

Weekly Current Affairs One-Liners Current Affairs 2026 plays a very important role in competitive examinations…

13 hours ago

Elena Rybakina Beats Aryna Sabalenka to Win US Open 2026

Elena Rybakina won the US Open women’s single title in 2026 against the first-seed player…

18 hours ago

BRICS 2026: New Delhi Declaration Adopted Unanimously

The BRICS New Delhi Declaration 2026 was signed by all member countries on the first…

1 day ago

Rameswaram Temple Backdrop Steals Spotlight at BRICS Summit

The renowned Ramanathaswamy Temple located in Rameswaram turned out to be an accidental eye-catcher at…

2 days ago

Railway Station vs Junction vs Terminal: What Is the Difference?

Station, junction, terminal, and terminus are some terms which are commonly heard on India’s rail…

2 days ago

Russia Offers India Advanced Engine Upgrade for Su-30MKI

Russia has made another proposal to India on building an advanced fighter engine for upgrading…

2 days ago