Asim premji’s Premji Invest to buy 6% stakes at ICICI Prudential
The valuation is lower than the originally estimated(Rs 36,000 crore) earlier this year, and less than the Rs 38,000 crore the firm was valued at when it priced stock options for employees last year.
Now, ICICI Bank will hold approximately 68% in the company while Prudential Plc, the joint venture partner, will maintain its stake at 26%. The Foreign partner can raise its stake to 49% as permitted by an amendment to the IRDA Bill passed earlier this year. This is the second investment by Premji Invest in life insurance. In December, it bought 0.95 per cent in HDFC Life from HDFC for Rs 200 crore, valuing the insurer at close to Rs.20000 crores.
Transactions in private sector insurance companies are increasing with HDFC Life and Reliance Life selling stakes to financial and strategic investors.