Edelweiss has increased the stake to Life insurance JV to 75%.
The rights issue of ETLI, the Company has been allotted 25,00,00,000 equity shares of the face value of Rs. 10 each for a consideration of
Rs. 250 crores. Consequently, the shareholding of the Company in ETLI has
gone up from 66% to 75.08%
Looks like Edel will end up owning the JV as Tokiyo Marine may not want to play significant role here as they could not raise the stake beyond 50%.
9% stake exchange at 250 cr, means Life insurance business is valued around 2500cr, far lower than Rasesh shah quoted intrinsic value of 5000 cr couple of quarters back.
This also means they will report more losses from Life insurance business going forward.
| Subscribe To Our Free Newsletter |
