HDFC Life trades in green as Street welcomes IRDAI merger nod with Exide Life: Buy, sell or hold - Zee Business panellist suggests strategy

HDFC Life Share Price Today NSE, HDFC Life Share Price Target: HDFC Life share price on Friday traded in green as investors cheer the IRDAI's final approval for the merger of Exide Life. The stock price gained more than 2 per cent in the early trade to hit the day's high of Rs 534.40 apiece on the NSE.  

Zee Business panellist Siddarth Sedani said that the overall perspective on the stock is positive, adding that the insurance sector is still growing in India. He suggested investors to Buy HDFC Life share and hold it for the long term (minimum 1 year) as it could yield a bumper return. 

In January this year, HDFC Life acquired 100 per cent stake in Exide Life Insurance Company from its parent firm Exide Industries for Rs 6,687 crore in order to increase its presence in the south India market.

The Insurance Regulatory and Development Authority of India (Irdai), vide its letter dated October 13, 2022, has given its final approval to the scheme of amalgamation and transfer of life insurance business, HDFC Life said in a regulatory filing on Thursday.

With the transfer of its life insurance business to HDFC Life, Exide Industries acquired 4.12 per cent stake in HDFC Life. Exide Life worked through an agency-based distribution model with a strong presence in south India covering tier II and III cities. This came as a complement for HDFC Life to expand its market and bolster proprietary distribution.

HDFC Life share price today

Last month, the insurer had received approval from the Mumbai bench of the National Company Law Tribunal (NCLT) for merger of Exide Life into itself. Stock of HDFC Life closed at Rs 520.65 apiece on BSE, down by 1.05 per cent from previous close.

Also Read | Stock Market News Today LIVE: Sensex zooms over 1000 points, Nifty50 opens above 17300 on robust global cues