In May this year, UK-based Prudential plc announced that it would acquire a majority 75 per cent stake in Bharti Life Insurance for Rs 3,500 crore from Bharti Life Ventures Pvt Ltd and 360 ONE Asset Management.
New Delhi:Fair trade regulator CCI on Tuesday cleared the proposal of Prudential Corporation Holdings, an arm of UK-based financial giant Prudential plc, to acquire a stake in Bharti Life Insurance Company Ltd.
“The proposed combination envisages the acquisition of certain equity shareholding in Bharti Life Insurance Company Ltd (Target) by Prudential Corporation Holdings Ltd (Acquirer),” the Competition Commission of India (CCI) said in a release.
Prudential Corporation Holdings acts as the holding company of the acquirer Group’s insurance and asset management operations in Asia and provides management and support to its Asia and Africa business operations, while Bharti Life Insurance is an IRDAI-licensed insurer.
“CCI approves acquisition of certain equity shareholding in Bharti Life Insurance Company Limited by Prudential Corporation Holdings Limited,” the regulator said in a post on X.
In May this year, UK-based Prudential plc announced that it would acquire a majority 75 per cent stake in Bharti Life Insurance for Rs 3,500 crore from Bharti Life Ventures Pvt Ltd and 360 ONE Asset Management.
Prudential currently holds around 22 per cent stake in its life insurance venture with ICICI Bank. With the proposed acquisition, it will need to reduce its holding in the existing venture to meet regulatory requirements.
The transaction involves an initial cash consideration of Rs 3,500 crore (about USD 389 million) payable on completion, Prudential Plc had said earlier.