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Financial Services

Abrdn sells 5% stake in HDFC in India for £268mln

Abrdn retains a 16.22% stake that is currently worth around £1bn

Abrdn PLC (LSE:ABDN) sold another chunk of its holding in India-based life insurer HDFC for around £268mln net in cash.

Subsidiary Standard Life Investments Limited (SLI) sold 10.65mln shares on the stock markets in India at an average price of R2,873.8 or around a 6% discount to the market price at the time.

Proceeds from the sale will be used for general corporate purposes, said a statement from Abrdn.

The shares sold constituted 5% of the paid-up, issued equity share capital of HDFC and reduces SLI's remaining shareholding to 16.22%.

Based on the current share price of Rs 2,915.40, the value of this remaining shareholding is approximately Rs 101bn (£1.0bn).

The UK group previously sold a 5.6% stake in June 2020.

SLI's remaining 16.22% stake still gives it the right to right to nominate a director to the board of HDFC, said Abrdn.

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