As a part of the disinvestment towards sale of all of its Asian insurance and investment management operations, Dutch banking and insurance group – ING announced to sell its 26% shareholding in Vysya Life Insurance to its joint venture partner Exide Industries. The sale of the stake in ING Vysya Life Insurance, which is subject to regulatory approval, is expected to be completed during the first half of the year.
ING Vysya Life Insurance has over a decade of experience serving more than one million customers in over 200 cities in India. Headquartered in Bangalore, ING Vysya Life Insurance distributes its products through more than 30,000 ING Life Insurance Advisors, bancassurance partner INGVysya Bank, Referral Partners, corporate agents and brokers.
Exide Industry also intends to buy remaining 24 per cent stake is held by other two promoters Hemendra Kothari Group and Enam Group. On the completion of the acquisition of the remaining stake, Exide Industries, which already owns 50 percent of ING Vysya, will “induct a new international life insurance venture to infuse fresh equity into the business”.
It also said that sale of shares in Vysya Life Insurance will neither have any material collision on ING Vysya Bank, a public sector bank in which the Dutch group has 44% stake nor on ING’s fund management operation in India. Further ING management said that, “ING’s withdrawl from the Indian life insurance joint venture was part of the previously announced divestment of ING’s Asian Insurance and Investment Management businesses”.
Exide Industries is India’s largest producer of automotive and industrial batteries, with 7 manufacturing plants located across the country. Exide Industries has been a shareholder of ING Vysya Life Insurance since 2005.
