Warburg Pincus is reportedly considering divesting its stake in the Indian company IndiaFirst Life Insurance by selling its 26% stake.

The discussions are said to imply a valuation of more than Rs100bn ($1.1bn) for the Mumbai-based insurer, The Times of India has reported.

The stake is held via Warburg Pincus affiliate Carmel Point Investments India.

A range of potential buyers are understood to have shown interest, including strategic investors and private equity firms.

The process follows a previously planned initial public offering (IPO) that was put on hold due to market volatility.

Warburg Pincus agreed in June 2018 to acquire the full 26% shareholding of Legal & General and completed the purchase in early 2019.

Legal & General had been a promoter from IndiaFirst Life’s launch in 2010 and exited as part of a shift in focus to other markets.

Reported parties reviewing the opportunity include Prudential and BNP Paribas, along with private equity funds and at least one South Korean life insurer conducting due diligence.

Market reference points have included the listing of Canara HSBC Life.

Attention has also been linked to the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Bill, 2025, that was passed by India’s Parliament in December 2025.

The changes increase the foreign investment cap in insurance companies to 100% from 74% under the automatic route and loosen several operating and governance requirements.

In June this year, Warburg Pincus was reportedly in discussions to sell its 10% stake in SBI General Insurance, a move that could have valued the insurer at around $4.5bn.

SBI General Insurance is a subsidiary of the State Bank of India (SBI) and the company employs more than 8,000 people, operating a multi-channel distribution model across bancassurance, agency, broking, direct retail channels and digital partnerships.