Axis Bank board approves reclassification of United India Insurance as public shareholder

Axis Bank on Saturday said its board has approved a proposal to reclassify United India Insurance Company Ltd (UIICL) as a public shareholder category investor in the bank from promoter category.

UIICL, one of the promoters of Axis Bank, had requested the bank through a letter dated February 26, 2021 to reclassify the insurer to public category from promoter category, in accordance with listing regulations of Sebi, Axis Bank said in a regulatory filing.

"The said letter was placed for consideration of the board at its meeting held today...The board at the said meeting has considered and approved the said request received from UIICL to reclassify it to public category from promoter category," said the lender.

The board's nod is subject to approval from the stock exchanges, regulatory authorities and shareholders of the bank, it said.

UIICL held 0.03 per cent of the total issued and paid-up equity share capital of Axis Bank as on February 20, 2021.

The private sector lender said it will seek approval from the shareholders through an ordinary resolution for the required reclassification.