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Axis Bank cuts stake purchase in Max Life to 17%

Brochures are seen at a branch of Axis Bank in Mumbai, India, January 22, 2018. REUTERS/Danish Siddiqui/Files

BENGALURU (Reuters) - Axis Bank AXBK.NS said on Monday it has reduced the size of the stake that it plans to buy in Max Life Insurance to 17% from 29%.

The private-sector lender’s move comes months after media reports said the deal, announced in April, ran into a regulatory roadblock over certain clauses in the agreement.

The lender and the insurer did not immediately respond to requests for comment.

The financial terms of the revised deal were not disclosed.

Axis Bank, which already holds a minority stake in Max Life, will own an 18% interest in the insurer after the deal, the Mumbai-based lender said in a regulatory filing.

It had initially planned to raise its stake in the insurer to 30% for about 15.90 billion rupees.

Reporting by Chris Thomas in Bengaluru; Editing by Aditya Soni