LONDON (Alliance News) - Standard Life PLC late Tuesday said it does not plan on selling its stake in HDFC Life after the Indian life-insurance firm initiated plans to launch an initial public offering.
The board of HDFC Standard Life Insurance Co Ltd apprnoved taking steps toward a initial public offering of HDFC Life on Monday. The IPO would be facilitated by Housing Development Finance Corp Ltd offerDFing up to a 10.0% stake in HC Life, Standard Life said.
Standard Life spent GBP179.0 million to increase its stake in HDFC Standard Life Insurance Co Ltd to 35% from 26% in early April. The company is a joint venture with HDFC Ltd, the Indian financial group.
"Standard Life PLC notes that it has no intention to dispose of its shares in HDFC Life as part of the initial public offering," said the London-listed firm.
The IPO is subject to regulatory and other approvals including that of the Insurance Regulatory and Development Authority of India and the Securities and Exchange Board of India.
Standard Life shares closed down 0.1% to 339.60 pence per share on Tuesday.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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