Axis Bank to acquire nearly 10 % of Go Digit Life (*10*); here’s how much it will pay

Axis Bank, the nation’s third largest non-public sector lender, will make investments round Rs 50-70 crore to accumulate lower than a 10 per cent stake in Fairfax-backed Go Digit Life (*10*).

Max Life (*10*) Company is already promoted by the lender.

Axis Bank has signed a non-binding time period sheet with Go Digit Life (*10*) for a proposed funding of as much as Rs 70 crore in two tranches by buying fairness within the insurer.

In a regulatory submitting, the lender said that it intends to accumulate as much as 9.94 p.c of Go Digit Life (*10*).

According to Axis Bank, the stake buy is topic to the execution of definitive agreements with mutually agreed-upon phrases and circumstances, in addition to the fulfilment of different circumstances.

“The company proposes to carry out life insurance business in India, subject to the grant of certificate of registration by Insurance Regulatory and Development Authority of India,” it said.

Max Life (*10*) is owned by Axis Bank and its two subsidiaries, Axis Capital and Axis Securities. The lender intends to extend its stake to round 20 per cent within the close to future.

Axis Bank shares closed at Rs 737.30 per share on the BSE, down 0.69 p.c.

(With inputs from PTI)