Chennai, Feb 18 (IANS) City-based Sundaram Finance Ltd will acquire 26 percent stake held by Britain's RSA Group in Royal Sundaram Alliance Insurance for Rs.450 crore, the company said Wednesday.
In a statement issued here Sundaram Finance said the entities - Sundaram Finance and RSA Group - have reached an agreement whereby the RSA would sell its 26 percent holding in the Royal Sundaram Alliance to Sundaram Finance for Rs.450 crore.
The overall enterprise value for the Rs.1,437-crore premium general insurer works out to around Rs.1731 crore.
In its statement RSA Group said it expects to receive cash consideration of approximately 46 million euros ($52.4 million), and the transaction is expected to result in a gain on sale of approximately 16 million euros ($18.2 million).
The non-banking finance company (NBFC) Sundaram Finance holds 49.90 percent in the Royal Sundaram Alliance, a general insurance company.
Following the acquisition, Sundaram Finance's holding in the Royal Sundaram Alliance would go up to 75.90 percent.
The rest will be held by the associates of Sundaram Finance.
"RSA Group had recently undertaken a review of their businesses globally and decided to exit non-core markets, of which India is one. While we are sorry to part company with them, we recognise that this is part of their larger global portfolio strategy," T.T. Srinivasaraghavan, managing director, Sundaram Finance was quoted as saying in the statement.
Samsung Galaxy M13 Launch Date: The launch of the Samsung Galaxy M13 series in the Indian market
US scientist questions green nod to Indian hydel projects
Kolkata, March 12 (IANS) A top American researcher has qu
Hearing in the matter of lapse in the security of Prime Minister Narendra Modi is going on in the
Kejriwal to meet Modi, Rajnath Wednesday
New Delhi, Feb 10 (IANS) AAP leader Arvind Kejriwal, whose party won a landslide victory in the
Nushrratt Bharuccha Spotted outside Sanjay Leela Bhansali's office, got wind of filming together
Nushrat Bharucha was recently seen in the Netflix film 'Ajeeb Dastaan'. Now she has been spotted
In his first call from space, Indian astronaut Shubhanshu Shukla recalled the experience of Wedne
In the second ODI between India and England played at Lord's on Thursday, Indian captain Rohit Sh
Antilia Case: Crime Branch demands custody of Sachin Waje and PI Sunil Mane, know the whole matter
Crime Branch Seeks Custody of Sachin Waze: The Crime Branch of Mumbai Police has demanded the cus
After Deepika Padukone's exit from Sandeep Reddy Vanga's film 'Spirit', Sandeep Reddy Vanga made
Israeli Prime Minister Benjamin Netanyahu has strongly criticized international organizations, wo
