The Competition Commission of India (CCI) has approved Generali Participations Netherlands’ (GPN) proposed acquisition of shares of Future Generali India Life Insurance Company (FGLIC).
Upon completion of the transaction, GPN’s shareholding in FGLIC will be increased up to approximately 71% from 49%.
GPN proposes to purchase stake in FGLIC in three tranches.
Under the first tranche, the company will subscribe to equity shares of FGLIC. This will be issued by FGLIC through a preferential allotment.
Additionally, GPN will buy all of Industrial Investment Trusts’ (IITL) shareholding of FGLIC under the second tranche.
This will allow IITL to cease to be FGLIC shareholder, and completely exit FGLIC.
Under the third tranche, GPN will subscribe to FGLIC equity shares, which will be issued by FGLIC through a preferential allotment.
GPN, which is a wholly-owned unit of global insurance provider Assicurazioni Generali (Generali Group), provides life insurance services through FGLIC in India.
FGLIC is engaged in providing life insurance services/products in India.
It also provides simplified solutions for the financial security of enterprises and customers.
FGLIC is a joint venture between three groups – retailer Future Group, global insurance group Generali Group, and investment company Industrial Investment Trust.