News: Federal Bank has announced its plan to increase its stake in Ageas Federal Life Insurance Company Limited from 26% to 30% by acquiring 3.2 crore equity shares at ₹30.45 per share, totaling ₹97.44 crore. The acquisition, pending approvals from RBI and IRDAI, is expected to be completed by October 31, 2025. Ageas Federal, a joint venture with Ageas Insurance International NV, reported FY24 net profit of ₹107 crore, AUM of ₹17,455 crore, and gross written premium of ₹2,697 crore.
View: Acquiring an additional 4% stake is not materially significant in the near term. However, it signals strategic intent to deepen presence in the insurance space, which could support long-term value creation.
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