Metlife plans to raise its stake in Indian venture; acquire stake of IGE, Elpro

US-based insurance firm Metlife on Monday said it proposes to raise its stake in its Indian venture by acquiring a 15.27 per cent stake of IGE (India) Private Limited and Elpro International Limited in PNB MetLife India Insurance Company. With the acquisition, MetLife International Holdings, LLC (MIHL) in PNB Metlife will increase to 47.32 per cent, MetLife said in a statement.

The share purchase agreement with IGE and Elpro International is subject to all necessary regulatory approvals, it said.

"MetLife's joint-venture in India has all of the hallmarks we look for in deploying capital to create long term shareholder value: a track record of consistent execution, an extensive distribution network, strong growth and an advantaged position in one of the world's most attractive life insurance markets," said Kishore Ponnavolu, regional president, MetLife Asia.

Founded in 2001, PNB MetLife's shareholders include MIHL (32 per cent stake), Punjab National Bank (PNB), and Elpro other private investors. PNB joined as the promoter of PNB Metlife Insurance with a 30 per cent stake in 2012.

The Dabriwala family, promoted by Rajendra Dabriwala and his son, Surbhit Dabriwala through their companies, IGE and Elpro, is one of the initial investors in PNB MetLife, with access to more than 200 million customers across 15,000 sales locations nationwide.

"The Dabriwala family has been a strong supporter of PNB MetLife and valued members of its board, and we thank them for their contribution to the company," he said.