Bajaj Group—controlled by the Bajaj family—agreed to buy out Allianz’s stakes in their insurance joint ventures in the subcontinent for 241 billion rupees ($2.8 billion).
Under the deal, Bajaj Group—comprising Bajaj Finserv, Bajaj Holdings and Jamnalal Sons—will acquire Allianz’s 26% stake in Bajaj Allianz General Insurance Company for 137.8 billion rupees and Bajaj Allianz Life Insurance Company for 104 billion rupees, according to a stock exchange filing on Monday. The group will own 100% of the companies once the deal is completed, ending its 24-year partnership with the German insurer.
“Given the advantage of a single ownership in both companies, we are confident that the acquisition will become a big driver of value for our stakeholders in the years to come,” Sanjiv Bajaj, chairman and managing director of Bajaj Finserv, said in the statement.
Bajaj Finserv offers a range of financial services beyond insurance, including savings, consumer loans, and investments. It serves over 230 million customers through digital platforms and operates in more than 4,000 locations across India.
With a net worth of $23.4 billion, the Bajaj family controls the almost century-old Bajaj Group, best known for motorcycle maker Bajaj Auto and financial services arm Bajaj Finserv. The group was founded in 1926 by Jamnalal Bajaj. Today, it is one of India’s largest conglomerates with 40 companies with interest across automotive, electrical appliances, energy, industrial machinery and financial services.