Bharti Airtel may acquire AXA’s 49% stake in Bharti AXA Life Insurance

12 Oct 2023 , 10:20 AM

Bharti Group said on Wednesday that it has reached an agreement with its joint venture partner AXA to buy its 49 percent investment in Bharti AXA Life Insurance.

Bharti Life Ventures Private Limited (BLVPL), the holding company of Bharti AXA Life Insurance Company, will own 100% of stake in the life insurer following the deal.

AXA, based in France, currently holds 49% stake in the joint venture with Bharti.

Following the two parties’ decision to merge Bharti AXA General Insurance with ICICI Lombard in 2020, and AXA’s subsequent exit from ICICI Lombard’s shareholding, BLVPL has now entered into a deal to purchase AXA’s 49% interest and wholly own the company, the company said.

Bharti’s objective is to ensure that the life insurance business continues to service the Indian market, and it is engaging with additional strategic and financial investors to partner or merge in order to scale this business, according to the company.

The purchase is planned for completion in December 2023, subject to regulatory approvals, according to the company.

Bharti established the joint ventures with AXA in 2006, having a 74% share in both – Bharti AXA Life Insurance and Bharti AXA General Insurance.

According to the share exchange ratio advised by independent valuers and approved by the boards of both businesses, Bharti AXA shareholders received two shares of ICICI Lombard for every 115 shares of Bharti AXA held.

 

For feedback and suggestions, write to us at [e-mail]