
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.
On Wednesday, Russia started a nuclear drill amid the ongoing war with Ukraine. During this, ball
Salaar Collection Day 4: 'Salaar' is not stopping, collected such a huge amount in just four days
Salaar Box Office Collection Day 4: The film 'Salaar: Part 1-Ceasefire' from the south state is m
Motor rally helped India-Nepal relations: Sushma Swaraj
New Delhi, March 8 (IANS) The first India-Nepal friendship motor rally has "significantly contr
Had the system been alerted 47 years in advance about the landslide happening in Joshimath town o
After imposing a lot of sanctions on Russia during the Ukraine war, America is now going to tight
Hardik Pandya's career started questioned after the T20 World Cup 2021. Hardik then played for Te
The government and the army held a press conference after the Indian Armed Forces' strike 'Operat
The debate in the country has not ended since the reaction of L&T Chairman SN Subramanian on
Strong tremors of the earthquake have been felt in Japan late at night. Four people have died due
The ongoing conflict between Russia and Ukraine has intensified and with this, the price of crude