India: HDFC Life to acquire Exide Life in biggest insurance deal
Source: Asia Insurance Review | Oct 2021
India’s largest private insurer HDFC Life Insurance Company recently acquired 100% of the share capital of Exide Life Insurance for INR66.87bn ($912m), making it the largest insurance deal in the country.
Of the total consideration, INR7.26bn will be payable in cash and the balance by way of issue of about 87m equity shares of HDFC Life, with a face value of INR10, issued at INR685 a piece to Exide Industries (the holding company of Exide Life), HDFC Life said in a stock exchange filing.
The deal is “core to our stated objective of wanting to have diversified distribution as well as to build our proprietary channel,” managing director and CEO Vibha Padalkar said in a media call.
The issue of shares to Exide Industries will be on a preferential allotment basis. The completion of the proposed issue is subject to shareholder approval and to receipt of all regulatory approvals. A