TestCloud
Prep • Practice • Perform
Log In

Bajaj Finserv to Purchase Allianz SE's 26% Stake in Insurance JVs for Rs 24,180 Crore.

Banking & Finance | Dated: 20 Mar 2025

In March 2025, Pune (Maharashtra)-based Bajaj Finserv Limited (BFS), India’s most diversified Non-Banking Finance Company (NBFC), will acquire Munich (Germany)-based Allianz SE’s 26% stake in their Indian non-life and life insurance Joint Ventures (JVs) for Rs 24,180 crore.

🎯 Key Highlights:

  • - The consideration for acquiring a 26% stake in Bajaj Allianz General Insurance Company Limited (BAGIC) and Bajaj Allianz Life Insurance Company Limited (BALIC) is Rs 13,780 crore and Rs 10,400 crore, respectively.

💡 Other Important Facts:

  • (i) Post-acquisition, BFS will hold 75.01% in both ventures, while the promoter entities will hold 24.99%. This will increase Bajaj Group’s ownership in the JVs to 100%.
  • (ii) The acquisition is subject to regulatory approvals. Under the Share Purchase Agreement (SPA), BFS will directly acquire approximately 1.01% of each company, Bajaj Holdings & Investment will acquire approximately 19.95%, and Jamnalal Sons (promoter entities) will acquire approximately 5.04%.
  • (iii) Once the acquisition is completed, Allianz will no longer be a promoter of these JVs, and the JV agreements between Allianz SE and BFS will be terminated, marking the end of a 24-year partnership between Bajaj and Allianz.

📚 Test Your Knowledge:

Which company is acquiring Allianz SE's 26% stake in insurance JVs for Rs 24,180 crore?

Correct Answer: Bajaj Finserv

🚀 Quick Recap: