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.
If knockout match between Hyderabad and Bengaluru, they will face Delhi in qualifiers
The 13th season eliminator of IPL will be played in Abu Dhabi between Sunrisers Hyderabad (SRH) a
Meet with Modi is Mamata's 'ghar wapsi': CPI-M
Kolkata, March 8 (IANS) The Communist Party of India-Marxist (CPI-M) on Sunday described West B
Its effect on the market started showing soon after the RBI hikes the repo rate. RBI on Friday in
President Remark Row: Why did Smriti Irani do this to Sonia Gandhi? Read what is the whole matter
Senior Congress leaders and former Union Minister and Union Minister Smriti Irani are calling it
As the lockdown continues till May 17, there is relief news from the capital Delhi. While the num
America has once again made a statement after US President Joe Biden called Pakistan the most dan
Chandigarh: The Punjab Legislative Assembly has passed a resolution against three new agricultura
Cow's calf serum is used to make Covaxin. For this, a calf less than 20 days old is killed. This
Normal life has been affected due to heavy rains in Delhi NCR on Monday morning. The roads were w
Terror on the Internet: Internet playing the role of an ally in spreading terror
It is important to build a consensus among the world community to stop the use of internet media
