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Standard Life to raise stake in HDFC Life

(Disclosure:I am market making in the shares of ICICI Pru Life)

British insurer and asset manager Standard Life plc (SL.L) said on Friday that it is seeking approval from Indian regulatory authorities to increase its stake in India’s HDFC Standard Life Insurance Company Ltd.

Standard Life is seeking an increase in stake from 26 percent to 35 percent for a total consideration of about 169 million pounds ($264.45 million).

The company would be seeking approval from India’s Competition Commission of India, The Foreign Investment Promotion Board and the Insurance Regulatory and Development Authority of India following the passing of the Insurance Laws (Amendment) Act 2015 by the Indian Parliament.

The law will shake up India’s overcrowded life insurance sector, allowing global insurers such as Britain’s Prudential (PRU.L) — which holds a minority stake in India’s biggest private life insurer ICICI Prudential Life — and others to increase their Indian stakes.

The legislation could also pave the way for HDFC Life to move ahead with a planned listing of the company.-from Reuters

 

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