The Swiss Zurich Insurance Group has agreed to acquire 51% of the capital of non-life insurer Kotak Mahindra General Insurance.
Through this deal, Europe's third-largest insurer is looking to capitalize on the Indian market's dynamism and significant growth potential.
The transaction is valued at 488 million USD, making it the largest investment ever made by a foreign insurer in an Indian non-life insurer.
Zurich Insurance has also announced its intention to acquire a further 19% stake in Kotak General Insurance over the next three years.
It is worth recalling that in 2021, India relaxed the foreign investment limit in the insurance sector, raising it from 49% to 74%.
Founded in 2015, Kotak General Insurance is a subsidiary of Kotak Mahindra Bank, the country's third-largest bank in terms of capitalization.