Intimation under Regulation 30 and 51 of the SEBI (LODR) Regulations, 2015 - Acquisition of Equity Stake in Future Generali India Insurance Company Limited (FGIICL)
Awaiting price reaction for this filing.
Central Bank of India has completed the acquisition of a 24.91% equity stake (35.06 crore shares) in Future Generali India Insurance Company Limited (FGIICL), a general insurance company, for a cash consideration of up to INR 451 crores. The acquisition was completed on 4th June 2025 pursuant to a Letter of Intent received under the IBBI's Insolvency Resolution Process. FGIICL, incorporated in 2006 and headquartered in Mumbai, reported a Gross Written Premium of INR 4,910.89 crore in FY24, up from INR 4,546.23 crore in FY23 and INR 4,210.35 crore in FY22, and operates through 150+ branches in India. This marks the Bank's entry into the insurance sector, and approvals from CCI, RBI, and IRDAI have already been obtained. Generali continues to be the largest shareholder in FGIICL with a 74% stake.
This is a strategic diversification move for Central Bank of India into the general insurance sector, which could create new fee and investment income streams for the bank. Shareholders should view this as a measured, calculated entry at a reasonable valuation rather than a transformative deal, given the modest stake size.