Max Life shareholders approve non-compete fee to promoters: Srcs

Minority shareholders of the Max Financial Services have voted in favor of paying Rs 850 crore non-compete fee to Analjit Singh and family over four years, sources have told CNBC-TV18. The non-compete fee is a part of the terms of merger between Max Life and HDFC Life Insurance. Many proxy advisors like Association of Mutual Funds (AMFI) and Institutional Advisory Service (IiAS) had earlier opposed the non-compete fee clause. The minority shareholders including KKR, Goldman Sach and Kotak, which has over 25 percent stake in the company, has given a green signal to pay the non-compete fee. The result of the voting are expected to be released by the company in its Annual General Meeting on September 27. Watch video for more..