Bajaj Finserv share price drops nearly 2% on acquisition of Allianz’s 26% stake in Bajaj Allianz

Bajaj Finserv share price dropped nearly 2% on Tuesday, after the company announced the acquisition of Allianz’s 26% stake in Bajaj Allianz Life & General Insurance. Bajaj Finserv shares fell as much as 1.90% to an intraday low of 1,836.15 apiece on the BSE.

Bajaj Finserv said it signed a Share Purchase Agreements (SPAs) for the acquisition of 26% interest owned by Allianz SE in its insurance businesses, viz. Bajaj Allianz General Insurance Company (BAGIC) and Bajaj Allianz Life Insurance Company (BALIC).

The acquisition of Allianz SE’s stake will increase Bajaj Group’s ownership in BAGIC and BALIC to 100% from the current 74%.

The agreed consideration for 26% stake in BAGIC and BALIC is 13,780 crore and 10,400 crore respectively, Bajaj Finserv said in a regulatory filing on March 17.

The 24-year-old joint venture agreements between the Bajaj Group and Allianz SE in respect of insurance businesses will stand terminated upon the completion of the first tranche of acquisition of at least 6.1% and reclassification of Allianz from being a Promoter to Investor, it added.

Under the terms of the Share Purchase Agreements, Bajaj Finserv will acquire approximately 1.01%, Bajaj Holdings and Investment Ltd. approximately 19.95% and Jamnalal Sons Pvt. Ltd. approximately 5.04%, aggregating to 26% in each of the insurance companies.

Post acquisition, Bajaj Finserv stake will be 75.01% in both the companies.

The acquisition is subject to regulatory approvals, including approvals from the Competition Commission of India and the Insurance Regulatory and Development Authority of India, it added. 

At 10:15 AM, Bajaj Finserv shares were trading 1.37% lower at 1,846.15 apiece on the BSE.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.

  • Aniket Pujari

    Aniket Pujari

    Aniket Pujari, a graduate in Financial Markets, is the founder of Minute To Know News, a digital platform providing daily news updates on cryptocurrencies, finance, and economics. With a passion for finance and technology, Aniket has been exploring the world of cryptocurrencies since 2015, building a deep understanding of these rapidly evolving industries.

    Related Posts

    Stock Market News Today Live Updates on March 19, 2025 : Rupee hits nearly two-month high of 86.54 on softer US dollar: Is the domestic currency poised for further gains?

    Stock Market News Today Live Updates: In an ever-evolving financial world, staying informed about stock market trends is crucial. Our Stock Market News provides real-time updates, insightful analysis, and in-depth…

    Vedanta-owned large-cap metals subsidiary fined over ₹10 lakh by BSE, NSE for THIS reason

    Mining giant Vedanta-owned firm, Hindustan Zinc received an official penalty notice from the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) over non-compliance of the number of independent…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Ritholtz says investors shouldn’t interfere with magic of compounding

    These stocks are contenders to start dividends, Morgan Stanley says

    Lenders to Salinas’ TV Azteca Look to Transfer Case to New Judge

    BTC Bull Token Gains Traction as Analyst Expects it to Pump

    BTC Bull Token Gains Traction as Analyst Expects it to Pump

    Plastic-to-Fuel Recycling Plant That Owes Muni Debt Goes Bust

    Chainlink and AVAX show bullish signs, XYZVerse takes the spotlight with $10m buying surge

    Chainlink and AVAX show bullish signs, XYZVerse takes the spotlight with $10m buying surge