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US-based insurer Metlife Inc, through its group company, will acquire the combined 15.27 per cent stakes of I.G.E. (India) Private Ltd (IGE) and Elpro International Ltd (Elpro) in the PNB MetLife India Insurance Company Ltd (PNB MetLife) for about Rs 1,906 crore cash.

According to Elpro, it will receive a sum of about Rs 1,424.69 crore while I.G.E. (India) will get about Rs 481.32 crore.

MetLife International Holdings LLC has entered into a share purchase agreement with I.G.E. (India) and Elpro for the purpose.

Elpro said the tentative date for completion of the transaction is November 30, 2021 subject to regulatory approvals.

With the purchase of the additional stake, MetLife's stake in PNB MetLife will go up to 47.325 per cent.

"MetLife's joint venture in India has all of the hallmarks we look for in deploying capital to create long term shareholder value: a track record of consistent execution, an extensive distribution network, strong growth and an advantaged position in one of the world's most attractive life insurance markets," MetLife Asia Regional President, Kishore Ponnavolu, said.

"I am pleased that this transaction supports MetLife's continued growth in India and will enable us to deliver even more value for our customers, partners and shareholders. The Dabriwala family has been a strong supporter of PNB MetLife and valued members of its board, and we thank them for their contribution to the company."

Elpro Director Surbhit Dabriwala said: "We have enjoyed a strong relationship with MetLife for close to 20 years and seen PNB MetLife grow. Our involvement in PNB MetLife is part of a long tradition at Elpro of working with leading multinational partners in India, including in past ventures with GE and FANUC."

On Tuesday morning, Elpro's shares shot up to Rs 72.65 after closing at Rs 60.55 on Monday.