Max Financial Services share price jumps 8%
Shares of Max Financial Services gained 7.8 percent intraday on November 7 as brokerages remained bullish on the stock and expect 28-36 percent return in stock after Q2 earnings and terminating agreement with Mitsui.
Max Financial have put up to withdraw the application for share swap and purchase transaction for Mitsui Sumitomo Insurance Company’s (MSI) stake in Max Life for Max Financial shares as agreement for finalization of definitive terms were not reached.
“Transaction arrangement may not be required for reverse merger but some issues have to be ironed out like a one-off pending contingent liability from erstwhile telecom investment. Management also showcased confidence on being strongly associated with Axis but are still to reach any arrangement for future course of action,” said Prabhudas Lilladher which retained buy rating with target price of Rs 596 (revised from Rs 695 earlier), implying 36 percent potential upside from current level.