UPDATE 2-IPC shareholders vote down Max deal, Max says

* Max says IPC shareholders voted against deal

* Says dropped merger agreement with IPC

* Says not "advantageous" to raise offer for IPC

* IPC shares fall 2 pct; Max shares rise 8 pct (Adds comment from Max letter to shareholders, background, share activity, byline)

By Lilla Zuill

NEW YORK, June 12 (Reuters) - Shareholders of Bermuda-based insurer IPC Holdings (IPCR.O: Quote, Profile, Research) voted down a tie-up with Max Capital Group (MXGL.O: Quote, Profile, Research) on Friday, Max said.

The deal between IPC and Max, also Bermuda-based, had the approval of the boards of both companies.

IPC shareholders may have voted against the deal in favor of a rival offer from a third Bermuda insurer, Validus Holdings (VR.N: Quote, Profile, Research). Validus has been working for weeks to thwart the IPC-Max deal.

Max said that in view of the shareholder vote, it was dropping the merger agreement.