ICICI Venture Funds Management Company Limited, Morgan Stanley Private Equity Asia Limited, Cyza Chem Pvt. Ltd. and others agreed to acquire an unknown minority stake in Magma HDI General Insurance Co Ltd. for INR 2.75 billion.
March 16, 2021
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ICICI Venture Funds Management Company Limited, Morgan Stanley Private Equity Asia Limited, Cyza Chem Pvt. Ltd. and others agreed to acquire an unknown minority stake in Magma HDI General Insurance Co Ltd. for INR 2.75 billion on March 16, 2021. ICICI Venture Funds Management Company Limited will pay INR 833 million, Morgan Stanley Private Equity Asia Limited will pay INR 497 million, Cyza Chem Pvt. Ltd. will pay INR 843 million and others will pay INR 574 million for their stake. In a related transaction, ICICI Venture and Morgan Stanley will inject fresh capital of INR 2.5 billion. ICICI Venture and Morgan Stanley will appoint nominee Directors to the Board. Post completion, Magma Fincorp Limited will hold 24.2% and HDI Global SE will hold 17.1% in Magma HDI General Insurance Co Ltd. The transaction is subject to shareholder and regulatory approvals,statutory approval, including from the insurance regulator Irdai and the Competition Commission. As of June 17, 2021, The Competition Commission of India has approved the acquisition. Ambit Private Ltd acted as financial advisor and Wadia Ghandy & Co acted as legal advisor to Magma HDI General Insurance Co Ltd. AZB & Partners acted as legal advisor to ICICI Venture Funds Management Company Limited.
Poonawalla Fincorp Limited is an India-based non-banking finance company engaged primarily in the business of financing. The Companyâs financial services include pre-owned car finance, personal loans, loan to professionals, business loans, loan against property, supply chain finance, machinery loans, medical equipment loans and consumer loans. Its personal loans include unsecured personal loan, urgent personal loan, short term personal loan, personal loan for salaried employees and instant loan online. Its business loans include unsecured business loan, small business loans, business loan for women and business loan for working capital. Its other loans include pre-owned car loan, loan against property, medical equipment loan and auto lease. Its professional loan includes professional loan for chartered accountants (CA), professional loan for company secretaries (CS) and professional loan for doctors. The Company has widespread coverage across approximately 21 states.
ICICI Venture Funds Management Company Limited, Morgan Stanley Private Equity Asia Limited, Cyza Chem Pvt. Ltd. and others agreed to acquire an unknown minority stake in Magma HDI General Insurance Co Ltd. for INR 2.75 billion.