ICICI Lombard shares trade at 52-week-high of Rs 1500 post receiving 'in-principle approval' to acquire Bharti AXA

ICICI Lombard General Insurance Company’s share prices rallied 2 percent in a day on December 1 and traded at a 52-week-high of Rs 1500 post received the ‘in-principle approval’ to acquire Bharti AXA General Insurance.

The Insurance Regulatory and Development Authority of India (IRDAI) on November 27 had given the ‘in-principle approval’ to ICICI Lombard General Insurance Company Limited to acquire the General Insurance business of Bharti AXA General Insurance Company Limited by, the company stated in an exchange filing. Bombay Stock Exchange Limited, National Stock Exchange of India Limited and the Competition Commission of India (CCI) had previously approved of the proposed acquisition by ICICI.

The stock was up by Rs 37.05 or 2.55 percent and traded at Rs 1,492.80 at 10:44 hours. The stocks touched a 52-week high of Rs 1,500 intraday and an intraday low of Rs 1459.50. “Post submission of all the required documents/information, the authority hereby grants ‘In-principle’ approval under section 35 to 37 read with IRDA Regulations, 2017 for demerger of general insurance business undertaken by Bharti AXA to ICICI Lombard,” the statement read.

Currently, 51 percent is held by Bharati Enterprises in Bharti AXA General and the firm has a joint venture with French firm AXA which owns 49 percent stake. With the acquisition deal with ICICI Lombard in place, Bharti and AXA will be public shareholders in the combined entity.

ICICI Lombard shares trade at 52-week-high of Rs 1500 post receiving ‘in-principle approval’ to acquire Bharti AXA