Global investor KKR has acquired an approximate 9.95% stake in Max Financial Services, the newly demerged entity of the Max Group that owns an approximate 72% stake in Max Life, India’s fourth-largest private life insurance player.
KKR acquired its stake from a sponsor group led by Analjit Singh, Chairman Emeritus of the Max Group.
KKR made its investment from its Asian Fund II through the portfolio investment route. Further details of the transaction were not disclosed in an announcement on February 18, 2016.
The partnership between KKR and Max Financial Services comes as the Indian life insurance sector steadily recovers from a recent slowdown and is poised for robust growth. Life insurance as a product category is significantly under-penetrated in India versus some of its Asian peers. India’s increasing workforce, a rise in the country’s median age and favorable savings trends are all expected to drive insurance growth.
Max Group has a rich history of nurturing and building market-leading businesses. Max believes that at this pivotal time for India’s insurance industry KKR brings significant experience and deep understanding of financial services and the life insurance space. fii-news.com
