Patanjali Ayurved, an Indian consumer goods company owned by Baba Ramdev, has entered the insurance sector, CNBC-TV18 reported. The company has purchased a majority stake in Magma General Insurance.
Following the purchase, Patanjali Ayurved will assume the role of Magma General Insurance's promoter entity. This will further diversify Patanjali's portfolio, which currently focuses on healthcare and food.
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Companies apart from Patanjali Ayurved which have purchased a stake in Magma General Insurance include SR Foundation, RITI Foundation, RR Foundation, Suruchi Foundation and Swati Foundation.
One notable company that is part of the sellers in the transaction is Senoti Properties, a joint venture between prominent businessman Adar Poonawalla and Rising Sun Holdings which held a 74.5% stake in Magma General Insurance before the sale.
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Other companies which sold stakes include Celica Developers, Jaguar Advisory Services, Keki Mistry, Atul DP Family Trust, Shahi Sterling Exports, and QRG Investments and Holdings.
{{/usCountry}}Other companies which sold stakes include Celica Developers, Jaguar Advisory Services, Keki Mistry, Atul DP Family Trust, Shahi Sterling Exports, and QRG Investments and Holdings.
{{/usCountry}}With the sale of its stake, Magma General Insurance is likely to get access to a new user base, particularly keeping in mind the loyal customer base of Patanjali Ayurved.
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Patanjali Ayurved's foray into the general insurance sector, which already includes giants like Life Insurance Corporation of India (LIC), HDFC Life, ICICI Prudential Life and SBI Life.