ERGO, one of the major insurance groups in Germany and Europe,
has decided to increase its stake in HDFC ERGO General Insurance Company to 48.742 per cent from 25.84 per cent in a deal valued at Rs 1,122 crore.
“Under the agreement, ERGO will acquire 12.33 crore shares of HDFC ERGO at a price of Rs 90.973 per share aggregating to Rs 1,122 crore. As a result of this, ERGO’s shareholding in HDFC ERGO will increase from 25.84 per cent to 48.742 per cent, while that of HDFC will come down from 73.634 per cent to 50.732 per cent. This values HDFC ERGO at Rs 4,900 crore. HDFC ERGO remains a subsidiary of the corporation,” HDFC said.
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