Zurich Insurance to acquire 70% stake in Kotak General for ₹5,560 crore

Zurich Insurance company will acquire a 70 per cent stake in Kotak General Insurance Company Limited for ₹5,560 crore in a single tranche, informed Kotak Mahindra Bank in a regulatory filing to the stock exchanges on Friday, February 23. Zurich Insurance had earlier announced of an initial acquisition of 51 per cent and a remaining 19 per cent in three years. ‘’We refer to our disclosure dated November 2, 2023 in respect of the proposed acquisition of the shares of Kotak Mahindra General Insurance Company Limited by Zurich Insurance Company Ltd, by way of initial acquisition of 51 per cent of the share capital through a combination of capital infusion and share purchase, followed by a subsequent acquisition of additional stake of 19 per cent within a period of three years from the initial acquisition to take Zurich’s shareholding to 70 per cent of the share capital of Kotak General,'' said Kotak Mahindra Bank in its exchange filing. ‘’The parties to the aforesaid transaction, viz., the Bank, Zurich and Kotak General have mutually agreed that Zurich will acquire 70 per cent stake in Kotak General by way of a combination of primary and secondary acquisitions in a single tranche, for a total consideration of approximately ₹5,560 crore, instead of the proposal announced in our earlier disclosure,'' added Kotak Mahindra Bank.