Pharmaceutical major Ranbaxy stepped into the life insurance and asset management business on Thursday, with its financial services arm Religare signing the definitive agreement for a joint venture with Aegon, a Netherlands based insurance and pension company.
In the life venture, Ranbaxy Promoter Group will hold 44 per cent stake, Aegon 26 per cent, with Bennett Coleman, owners of The Times of India, holding the remaining shares.
The asset management venture has been structured on an equal ownership basis between Religare and Aegon.
"We are very happy to join hands with Aegon to establish business in the high growth areas of life insurance and asset management," said Malvinder Mohan Singh, managing director of Ranbaxy.
"These ventures are part of the strategic initiatives of the group to consolidate its position and become a meaningful player in the financial sector covering a wide spectrum of activities," said Shivinder Mohan Singh, managing director of Fortis Healthcare and member of the board of Ranbaxy.
"India is an important market for Aegon, given the significant growth potential for the products and services we provide," added Alexander Wynaendts, member of the Executive Board of Aegon NV.
Ranbaxy's Religare has interests in equity, commodity, portfolio management, investment banking, corporate finance, mutual fund distribution, insurance broking and personal credit.
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