Bajaj Finserv has confirmed that Allianz Group plans to exit its joint ventures in India, specifically Bajaj Allianz Life Insurance Company and Bajaj Allianz General Insurance Company.

This decision comes after ongoing speculation since 2016 regarding Allianz's inability to increase its stake in the ventures due to regulatory constraints and the Bajaj Group's reluctance.

Despite Allianz's exit, the operations and strategic direction of the insurance companies are expected to remain unchanged.

If Allianz pursues an IPO or seeks a strategic investor, it could lead to price discovery for the insurance entities.

The impact on Bajaj Finserv's share price will depend on the transaction price if they acquire Allianz's stake, which would require a capital raise through cash payments or offering shares of Bajaj Finserv in exchange.