Max Financial Services Block Deal: 16 lakh shares worth ₹270 crore change hands

As many as 16 lakh shares, or 0.46% equity, of Max Financial Services Ltd. changed hands at ₹1,681 per share in a block deal window on Friday, November 21. This took the total transaction value to ₹268 crore.

On Thursday, CNBC-TV18 reported, citing sources, that Max Ventures Investment Holdings was likely to sell 0.46% stake in Max Financial Services in a block deal worth up to ₹270 crore.

Buyers and sellers in the transaction are not officially known. Sources said the floor price had been fixed at ₹1,675.7 per share.

At the end of the September quarter, Max Ventures held 1.62% stake in the company.

For the September quarter, Max Financial Services reported a 96% decline in its net profit to ₹4.1 crore compared to ₹113 crore in the previous year. This was largely because of lower earnings from its life insurance arm Axis Max Life.

Its net interest income (NII) increased 13.9% to ₹131 crore from ₹115 crore in the second quarter last year. However, its life insurance segment revenue declined to ₹9,790.7 crore from ₹13,370.5 crore in the previous year. The segment's profit also declined to ₹23.7 crore from ₹170.8 crore in the year-ago period.

Shares of Max Financial Services were trading 0.7% lower after the block deal at 1,681.5 apiece in early trade on Friday. It has gained 54.2% this year, so far.

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