Axis Bank gains on stake buy in Max Life Insurance

Axis Bank has acquired 5% stake in Max Life Insurance raising its total stake to 5.99%

Shares of Axis Bank were up over 3% at Rs 388 on the Bombay Stock Exchange after the private sector bank said that it has acquired nearly 5% stake in Max Life Insurance Company Ltd (MLIC).

The Bank has purchased 9,57,48,762 shares of face value Rs 10/- each or 4.99% equity stake in MLIC from Max Financial Services Ltd formerly known as Max India Ltd, and Mitsui Sumitomo Insurance Company Ltd for a total cash consideration at par of Rs 95.75 crore, the release said.

Post the acquisition, Axis Bank's equity stake in MLIC has increased to 5.99%, the release added.
 

The stock opened at Rs 380 and touched a high of Rs 390. At 12:40pm, over 6.96 million shares were traded on both the stock exchanges.