Big deals are happening in the LIFE insurance sector. You know that for a few years the insurance companies have grown as much as no one has probably done.
Insurance giant HDFC Life Insurance has announced on Friday that it is going to buy 100 percent stake in Exide Life Insurance Company Limited. This deal is expected to be done for Rs 6687 crore. This news saw a jump in the shares of HDFC Life. While the shares of Exide Industries shone more.
HDFC Life is buying 100% stake in Exide Life. 8,70,22,444 shares will be issued in this deal. The one share cashew price is Rs 685 per share while the cash payout is Rs 726 crore.
HDFC Life said that customers will get a big benefit from this deal. The quality of his service will be better.
Exide Life customers will benefit the most from this deal. Why they will start getting the service of hdfc life.
HDFC Life reported a 33 per cent decline in net profit for the first quarter of the current fiscal at Rs 302 crore. Due to this, the company had earned a net profit of Rs 451 crore in the same quarter of the previous financial year. The insurance company had said in a communication to the stock exchanges that its total premium increased by 31 per cent to Rs 7,656 crore in the first quarter of 2021-22. It stood at Rs 5,863 crore in the same quarter of the previous financial year. In the April-June quarter, the insurance company’s renewal premium increased by 20 per cent.
HDFC Life on the impact of the pandemic in the first quarter said that the company’s death claims during the second wave increased three-four times as compared to the first wave. The company settled 70,000 claims during this period. The company said it settled claims of Rs 1,598 crore and Rs 956 crore in gross and net worth, respectively, during the quarter.