Chennai, March 26 (IANS) India's largest mortgage lender State Bank of India (SBI) has decided to lower its stakes in its general insurance joint venture to 51 percent and has decided to begin the process, the bank said on Thursday.
In a regulatory filing in BSE the bank said its executive committee of the central board (ECCB) on March 25 decided to initiate the necessary action as per the joint venture agreement for dilution of its stake in SBI General Insurance from 74 percent to 51 percent.
SBI said the other partner, Insurance Australia Group (IAG) of Australia would increase its holding in the general insurance company from 26 percent to 49 percent.
According to SBI, the process for diluting its holding in favour of IAG would begin as per the joint venture agreement which includes the appointment of valuer to estimate the enterprise value and the price discovery.
The bank's decision comes in the wake of Indian parliament passing amending the insurance laws to allow foreign direct investment (FDI) up to 49 percent subject to the condition that the management control remains with Indians.
Along with the stake change the insurer would most likely undergo a name change to signify the revised shareholding pattern.
SBI General is hoping to close this fiscal with a premium of Rs.1,600 crore and increase that by 50 percent next fiscal.
SBI also has a 74:26 life insurance joint venture with BNP Paribas Cardif called SBI Life Insurance Company Ltd.
However the bank has not said anything on possible changes in the shareholding pattern.
Russia-Ukraine War: Russia-Ukraine war completes one year, G-7 increases financial aid to Ukraine to $ 39 billion
The Russia-Ukraine war has completed one year today. On 24 February 2022, Russia attacked Ukraine. Since then till now a fierce war is going on between the two countries. According to different
Roopa-Mannu wanted to go to Rinda in Pakistan: Moosewala's killers were crossing the border at the behest of Goldie, and police killed
Gangsters Jagroop Singh Roopa and Manpreet Singh Mannu, who was involved in the murder of Punjabi singer Sidhu Moosewala, had planned to flee to Pakistan on the advice of Goldie Brar, an underground
Navratri 2023: Worship Goddess Brahmacharini with this method on the second day of Navratri, income and good fortune will increase.
Shardiya Navratri 2023 Day 2: Shardiya Navratri is celebrated every year from Pratipada Tithi of Shukla Paksha of Ashwin month to Navami. This year Shardiya Navratri is from 15th October to 23rd
Diwali gift: Modi government will pay interest on the interest of the moratorium period
The Modi cabinet has given Diwali gifts to crores of people. The Central Government has approved the scheme for payment of interest on interest during the term of the loan moratorium. Late on Friday,
A pink cold knocked in Delhi, snowfall started in the mountains; Rain alerts issued for many states
The pink cold has knocked in the national capital Delhi-NCR. Subar and evening weather have changed a lot. For the last one or two days, a drop in the morning temperature is being recorded. It is
It's Kiwis bowling vs Windies batting in quarters (Preview)
Wellington, March 20 (IANS) A much-anticipated pulsating battle between New Zealand's bowlers and two-time champions West Indies' big hitters may well decide the fourth quarter-final of the
Khaleel Haqqani, the most wanted terrorist seen in Kabul, America has declared a reward of 35 crores
Kabul: Most wanted terrorist Khaleel Haqqani was seen roaming freely on the streets of Kabul. On the head of Khaleel Haqqani, America has declared a reward of 5 million dollars i.e. about 37 crores 15
Nepal asked India - How did Gautam Buddha become an Indian?
Recently, a controversy arose with the statement of Nepal Prime Minister KP Sharma Oli regarding the birthplace of Ram and now the latest name of Gautam Buddha is in the link of the dispute.
After all, how long will China's 'Ji Hujuri' Pakistan? India gave free vaccine to neighbors, but dragon 'insult' to Pak
How concerned India is for its neighbors and friends in this era of Corona crisis can be gauged from the fact that it has given millions of doses of Corona Vaccine as a gift to many neighboring
JEE Main 2022: The second phase of JEE Main begins, BE-BTech exam will be held in 10 shifts, read guidelines
JEE Mains 2022 Session-2: The examination of session-2 of JEE Main, the country's biggest engineering entrance exam, has started. The second phase i.e. July session examination will be conducted from