Videocon Industries Ltd. will sell its entire 51.32 percent stake in its general insurance business to Diamond Dealtrade Ltd. and Enam Securities Pvt Ltd. for an undisclosed amount.
Liberty Videocon General Insurance will be renamed as Liberty General Insurance Company Ltd., according to a stock exchange filing. U.S. based Liberty Mutual Insurance Group holds 49 percent stake. Diamond Dealtrade, part of the Gurugram-based DP Jindal group, will own 26 percent and Enam Securities will hold 25.32 percent.
Venugopal Dhoot-led Videocon was named among the second list of stressed companies that the central bank had identified for resolution under the Insolvency and Bankruptcy Code. State Bank of India moved the National Company Law Tribunal to initiate insolvency proceedings against Videocon.
The company had a debt of Rs 43,000 crore, according to a Care Ratings report of June 2016.