HDFC Life falls on stake sale

HDFC Life Insurance fell over 3.5% to Rs.402, the moment it opened for trading today morning. It currently trades at Rs.405 levels.

The stock is down as Standard Life Mauritius is set to sell another 1.78% in HDFC Life Insurance worth  Rs.1,400 crore starting today.

The OFS will be open for institutional investors on Friday and for retail investors on May 6. At a floor price of Rs.390/share, the share-sale can yield as much as Rs.1,404 crore.

Standard Life had previously in March’19 sold 3.47% stake, before which it has sold 5.42% in the IPO in Nov 2017.

As at 31st March 2019, HDFC holds 51.48% stake in the private sector insurer and Standard Life held 24.66%.