Zurich Insurance in talks to acquire Kotak General Insurance

Sources close to the matter have confirmed that Zurich Insurance has entered into exclusive negotiations with Kotak Mahindra Bank to acquire a stake in its non-life insurance company, Kotak General Insurance.

The Swiss group has expressed an interest in acquiring a 49% minority stake or a 51% majority stake in Kotak General Insurance. The transaction would be worth 400 million USD.

The acquisition would be a major gamble for Zurich Insurance in the fast-growing Indian market.

For the record, India has approved a draft law raising the ceiling for foreign direct investment (FDI) from 49% to 74% in 2021.