India’s Niva Bupa Well being Insurance coverage Firm (Niva Bupa) is seeking to offload its minority stake, Bloomberg reported citing unnamed sources.
The well being insurer is a three way partnership between British United Provident Affiliation (Bupa) and True North, an Indian non-public fairness fund.
Niva Bupa has employed an adviser for the sale, which might fetch as a lot as $100m at a $2bn valuation, the sources stated, including that True North might weigh divesting a part of its holding.
In accordance with one of many sources, the transaction might additionally see the insurer issuing new shares.
These issues are reportedly at a preliminary part, and specifics of the deal together with dimension and construction might nonetheless change.
The insurer might additionally resolve in opposition to the stake sale, the sources stated.
Niva Bupa, which was earlier often known as Max Bupa Well being Insurance coverage Firm, was established as a JV between Bupa and Max India.
In 2019, Max India divested its stake within the JV to True North and two years later the insurer was renamed as Niva Bupa.
As per the UK insurer’s annual report, Bupa elevated its stake within the Indian JV to 44.75%.
Indian non-public sector lender Axis Financial institution acquired a 9.9% stake in Niva Bupa in 2021 from True North.
Earlier this week, the publication, citing sources, stated that Kotak Mahindra Financial institution is contemplating stake sale in its basic insurance coverage enterprise.
