KKR to aquirestake in Shriram insurance

Global investment major KKR & Co has entered into a definitive agreement to acquire a 9.99 per cent stake in Shriram General Insurance (SGI) for around Rs 1,800 crore. The stake is currently owned by Shriram Capital.

“KKR’s investment will position Shriram General Insurance for continued growth in India’s fast-growing general insurance industry,” the insurer said in a statement. The agreement awaits regulatory approvals. SGI was valued at around Rs 18,000 crore. There will be one representation from KKR on Shriram General’s board post the consummation of the deal.

KKR’s investment builds on strong tailwinds in the Indian general insurance industry and SGI’s continued expansion into new segments and investment in its digital capabilities to meet the evolving needs and preferences of Indian consumers, the statement added.

“We are delighted to welcome KKR as our investor, and look to benefit from their global insurance expertise as well as significant experience, taking Indian companies to the next level. We look forward to collaborating closely to strengthen Shriram General Insurance’s offerings to Indian consumers and achieve continued success,” said Anil Kumar Aggarwal, managing director and chief executive officer, Shriram General Insurance.