ADIA To Invest Rs 665 Crore In Aditya Birla Health Insurance For A 10% Stake

The Abu Dhabi Investment Authority will invest Rs 665 crore in Aditya Birla Health Insurance Co.

After the transaction is completed, ADAI, according to an exchange filing, will own a 9.99% stake in the insurer—a 51:49 joint venture between Aditya Birla Capital Ltd. and Momentum Metropolitan Strategic Investments.

Aditya Birla Capital will hold a 45.91% stake and Momentum 44.1% in the insurer.

The transaction s Aditya Birla Health Insurance at Rs 6,650 crore. The deal is subject to statutory and regulatory approvals, including that of Insurance Regulatory Development Authority of India.

The company said it plans to use this capital to drive its growth in the health insurance market in India.

“We see significant potential in India’s health insurance sector as penetration levels increase, driven by higher awareness and broader economic growth,” Hamad Shahwan Al Dhaheri, executive director of (private equities) at ADIA, was quoted as saying in the statement. “Aditya Birla Health Insurance has a strong management team, a wellness-first product offering and a differentiated distribution model.”