Shares of Axis Bank traded 4% higher intraday in Thursday's volatile session after the company announced that Insurance Regulatory and Development Authority of India (IRDAI) gave its formal approval for the acquisition of up to 12 per cent stake in Max Life Insurance by Axis Bank and its subsidiaries, Axis Capital & Axis Securities (together Axis Entities).
As per the proposed transaction, Axis Bank share opened with a gain of 2.3% at Rs 766 against its previous close of Rs 748.75. Later, the stock touched an intraday high of Rs 779.05, rising 4.6% on BSE. The stock also hit an intraday low of Rs 760.
Gaining for the second straight day, Axis Bank shares traded 3.11% away from 52 week high of Rs 800. The stock has touched a 52-week low of Rs 285.
Market capitalisation of the lender rose to Rs 2.37 lakh crore. The share has risen 15.95% in the last 3 days. Axis Bank stock trades higher than 5, 20, 50, 100 and 200-day moving averages.
Axis Bank share has gained 17% in a month and 5% in one year. Year-to-date, the stock is up 24%.
Meanwhile, shares of Max Financial Services opened with a gain of 5.38% and touched a new 52 week high today of Rs 938.65, up 10%, post the announcement.
The long-awaited joint venture transaction was first announced in April 2020.