IIHL, owned by Hinduja Group, has received permission to acquire Reliance Capital. Insurance sector regulator IRDAI gave this approval on Friday. IIHL said that they were given this information on the auspicious occasion of Akshaya Tritiya. Now, this acquisition will await further regulatory approvals.
IIHL Thanks Stakeholders, Including IRDAI
According to an IIHL spokesperson, Reliance Capital Insurance Company has received approval from IRDAI to buy IndusInd International Holdings Limited (IIHL) and its Indian subsidiaries. IIHL is a Mauritius-based company. To speed up the legal acquisition process, efforts will be made to complete other work as soon as possible. The company will try to settle this transaction before the date given by the National Company Law Tribunal (NCLT) of 27th May. We thank all the stakeholders, including IRDA, for this decision.
IIHL Had Restructured The Consortium
Earlier, IIHL restructured the consortium formed to buy Reliance Capital. Four new Indian companies, Cyqure India, Ecopolis Properties, Cyqurex Technologies, and IIHL BFSI, were included in this study. Due to this, the rule of a maximum 74 per cent share of FDI in the insurance sector was followed. Ashok Hinduja, Harsha Hinduja, and Shom Hinduja have a major stake in the consortium.
IRDAI Had Raised Questions About IIHL’s Stake
IRDA had raised questions about IIHL’s stake in Reliance Capital. He holds a majority stake in Reliance Capital. Due to this, it has a 51 per cent stake in Reliance Nippon Life Insurance Company (RNLIC). Japan’s Nippon Life has a 49 per cent stake in RNLIC. Reliance Capital also has a 100 per cent stake in General Insurance.
