Bajaj Finserv Slips 2% After Acquiring Allianz’s 26% Stake in Bajaj Allianz

Stake Acquisition Breakdown:
- Bajaj Finserv will acquire 1.01%
- Bajaj Holdings and Investment Ltd. will acquire 19.95%
- Jamnalal Sons Pvt. Ltd. will acquire 5.04%
- Total acquisition: 26% in each insurance company
Market Reaction:
- Bajaj Finserv’s share price dropped nearly 2% on Tuesday.
- The stock fell 1.90% to an intraday low of ₹1,836.15 on the BSE.
Acquisition Details:
- Bajaj Finserv signed Share Purchase Agreements (SPAs) to acquire Allianz SE’s 26% stake in Bajaj Allianz General Insurance (BAGIC) and Bajaj Allianz Life Insurance (BALIC).
- This increases Bajaj Group’s ownership in both companies from 74% to 100%.
Financial Terms:
- Agreed consideration for the 26% stake:
  - ₹13,780 crore for BAGIC
  - ₹10,400 crore for BALIC
Impact on Joint Venture:
- The 24-year-old JV agreements between Bajaj Group and Allianz SE will be terminated after the first tranche of acquisition.
- Allianz will be reclassified from Promoter to Investor.
Post-Acquisition Stake Distribution:
- Bajaj Finserv’s stake in both companies will increase to 75.01%.
Regulatory Approvals:
- The deal is subject to approvals from:
  - Competition Commission of India (CCI)
  - Insurance Regulatory and Development Authority of India (IRDAI)