Federal Bank has announced that it has signed a binding Memorandum of Understanding (MoU) to acquire an additional 4% equity stake in Ageas Federal Life Insurance Company Limited (AFLIC). The deal is being executed with Ageas Insurance International NV and AFLIC.
The acquisition is part of the bank’s broader strategy to strengthen its presence in the life insurance sector. Currently, Ageas and Federal Bank are co-promoters of AFLIC.
This proposed stake purchase is subject to the execution of a Share Purchase Agreement (SPA), fulfillment of customary conditions precedent as outlined in the SPA, and receipt of necessary regulatory approvals.
The bank had earlier communicated updates on March 25 and March 26 regarding the progression of this acquisition. The current MoU signed on March 28, 2025, marks a key step in formalizing the transaction.
Federal Bank has made this announcement in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Further updates will be made available on the bank’s official website.
