MUMBAI: South African financial services major Sanlam Group, which has a joint venture with Chennai-based Shirram group for its insurance ventures, has bought out the stake held by PE major TPG in both general and life insurance entities for an undisclosed sum. With this, the group increased its holding in these companies to over 50%.
In a statement on Friday, Sanalm said its wholly-owned subsidiary Sanlam Emerging Markets Mauritius, has agreed to buy the stakes that TPG India Investments has been holding in the insurance verticals of the Shriram group.
TPG held 6.29% in Shriram General Insurance and 7.04% in Shriram Life. TPG entered the Shriram Group holding firm Shriram Capital in 2011 by investing Rs 795 crore. But after the merger of the finance verticals of the group, the PE got these stake being sold now in these two entities, a company source told this newspaper.
It said raising stakes in these JV recognises India as a core market and strategic pillar to achieving long term earnings growth and sustainable shareholder value creation for them.