Competition Commission of India (CCI) has approved the 23 percent stake sale deal of Tata Life Insurance Company to its
joint venture (JV) partner AIA group. The stake of AIA in Tata Life Insurance Company, which currently stands at 26 percent, will increase to 49 percent after the acquisition.
The anti-monopoly body -the Competition Commission of India (CCI) - tweeted "approves acquisition of additional 23% shares in Tata AIA Life Insurance Company Ltd by AIA International Ltd".
Tata AIA Life Insurance Company (Tata AIA Life) is a joint venture formed by Tata Sons and AIA Group. Tata AIA Life combines Tata and AIA's presence is a listed pan-Asian life insurance group spanning 17 markets in the Asia Pacific region.
Indian insurance companies have witnessed a spate of stake sale deals to foreign insurers after parliament eased norms by passing the insurance amendment bill in March.
The government passed the Insurance Laws (Amendment) Bill in March, 2015, lifting the limit of foreign ownership in domestic insurance companies to 49 percent from 26 percent.