HDFC Life Insurance Company announced in the stock exchanges of receiving the final approval from the Insurance Regulatory and Development Authority (IRDAI) for the acquisition of Exide Life Insurance Company Limited.
During a regulatory filing, HDFC Life said, “We further wish to inform you that the Insurance Regulatory and Development Authority of India vide its letter dated October 13, 2022, has provided its final approval to the Scheme in accordance with the Insurance Regulatory and Development Authority (Scheme of Amalgamation and Transfer of Life Insurance Business) Regulations, 2013.”
The company revealed that it got approval on the Scheme of Amalgamation from the Mumbai bench of the National Company Law Tribunal (NCLT) last month. HDFC Life’s acquisition of a hundred percent stake in Exide Life after issuing over 8.7 crore shares at an issue price of ₹ 685 per share and cash payout of ₹ 726 crores, totaling to ₹ 6,687 crores.
HDFC Life mentioned in its statement, “Exide Life’s agency-based distribution model, a strong presence in south India, and experience across tier-II and -III locations complement HDFC Life and will help expand its market and bolster its proprietary distribution.”
