Prudential to Acquire 75% Stake in India's Bharti Life Insurance For INR35 Billion
Prudential (SGX:K6S, HKG:2378) agreed to acquire a 75% stake in India's Bharti Life Insurance Company for 35 billion Indian rupees, according to a Sunday filing with the Hong Kong bourse.The insurer's Hong Kong-listed shares fell 2% in morning trade Monday.Prudential is acquiring the stake from Bharti Life Ventures and 360 ONE Asset Management, pending regulatory approval. The firm may be required to pay an additional 7 billion rupees if certain conditions are met.Following completion, the firm's Indian operations will include majority-owned Bharti Life Insurance and Prudential HCL Health Insurance, as well as minority shareholdings in ICICI Prudential Asset Management and ICICI Prudential Life Insurance (NSE:ICICIPRULI, BOM:540133).To secure regulatory approval, Prudential is expected to reduce its 22% shareholding in ICICI Prudential Life Insurance to under 10%, the firm said.Proceeds from the stake sale will be used to support future growth of the business, Prudential said.
