Buy Bajaj Finserv, target Rs 2445: Deutsche Bank

Deutsche Bank maintains a buy rating on Bajaj Finserv and has also raised its 12-month target price to Rs 2445 from Rs 2215 earlier. The company could buy 26 per cent stake held by Allianz in two insurance JVs.

The global brokerage firm believes that any clarity on Allianz's stake in insurance business which could address investor concerns. Allianz call option to raise stake is expiring by end July 2016 is another factor which will fuel uncertainty.

The company's economic interest to increase, but need clarity on funding of potential deal.

If Bajaj Finserv were to buy 26 per cent stake held by Allianz then co would need to pay Rs 8,000 crore.