InvestorQ : Why has HDFC sold part of its stake in HDFC Life and what could be the implication?
Aditi Sharma made post

Why has HDFC sold part of its stake in HDFC Life and what could be the implication?

Answer
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Aashna Tripathi answered.
4 months ago


HDFC sold 2.6 crore shares of HDFC Standard Life Insurance Company worth Rs.1275 crore via open market transactions on 03 June 2020. This was disclosed in the bulk deals data on the BSE. The average price of the sale was around Rs.490 per share. Prior to the sale, HDFC held 51.44% stake in HDFC Standard Life. This has been a conscious strategy by HDFC to monetize part of its group investments to handle the post COVID situation. It is unlikely to have any negative impact either on the price of HDFC or on HDFC Life.