New Delhi: Fair trade regulator CCI has approved BNP Paribas Cardif‘s proposal to acquire a stake in IndiaFirst Life Insurance Company Ltd.
“CCI approves the acquisition of certain equity share capital in India First Life Insurance Company Limited by BNP Paribas Cardif,” the competition watchdog said in a post on X.
The Competition Commission of India (CCI) on Tuesday said it has cleared the proposed deal.
In July this year, BNP Paribas Cardif announced that it has entered into a definitive agreement to acquire a 26 per cent stake in IndiaFirst Life Insurance Company Ltd (IndiaFirst Life) from private equity giant Warburg Pincus.
After the completion of the transaction, IndiaFirst Life’s shareholding will comprise Bank of Baroda holding 65 per cent, BNP Paribas Cardif having a 26 per cent stake and Union Bank of India holding 9 per cent equity.
For BNP Paribas Cardif, the insurer said the transaction marks a further step in its international growth and diversification strategy and strengthens its presence in Asia, particularly in India, which offers compelling long-term growth opportunities.
It reinforces the partnership-led business model and strengthens its position in a dynamic insurance market.
BNP Paribas Cardif, the insurance arm of France-based financial services company BNP Paribas Group, is a world leader in bancassurance partnerships, while IndiaFirst Life is a private life insurer promoted by Bank of Baroda.
In a separate deal approved on Tuesday, CCI has granted its nod to Crystal Crop Protection Ltd to acquire FMC India Pvt Ltd.
“The proposed combination relates to the acquisition of 100 per cent shareholding of FMC India Pvt Ltd on a fully diluted basis by Crystal Crop Protection Ltd from FMC Netherlands Holdings II BV and its affiliates,” the anti-trust regulator said in a release.
Incorporated in 1994, Crystal Crop is engaged in the development, manufacturing and distribution of crop protection products, seeds and agricultural equipment.
FMC India is in the business of manufacturing and marketing crop protection products, including insecticides, herbicides, fungicides, seed treatment, and plant health and nutrition products and is a part of the US-based FMC Corporation group.
In May, FMC Corporation announced it has signed a definitive agreement to sell FMC India to Crystal Crop Protection for consideration of USD 252 million.
Deals beyond a certain threshold require approval from CCI. The regulator keeps a watch on unfair business practices and also promotes fair competition in the marketplace.
