IRDA approves revised PNB-MetLife deal

IRDA approves revised PNB-MetLife deal. The Insurance Regulatory and Development Authority (IRDA) has approved Punjab National Bank’s (PNB) plan to acquire a 30 per cent stake in MetLife India Insurance.

The transaction had been awaiting the regulator’s approval for more than a year. IRDA was not comfortable with the deal structure and had directed the insurance company to re-work the sale agreement.

Under the revised structure, the shareholders of MetLife India will sell part of their stake to the state-run bank. This will ensure the equity capital base is not increased, leaving MetLife’s key efficiency ratios unchanged.

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