• In line with the new shareholding structure, the name of the company will also be changed to Reliance Nippon Life Insurance Company Ltd.
  • Reliance Capital said the transaction pegged Reliance Life Insurance's valuation at approximately at Rs 10,000 crore (USD 1.5 billion).
  • The valuation is amongst the highest valuations for any life insurance company in India despite the economic slowdown in the country.
  • Nippon Life Insurance's investment also represents an implied Embedded Value (EV) multiple of over three times for Reliance Life Insurance.

"We are delighted that the outstanding relationship between our two companies has now grown into an equal partnership, with NLI (Nippon Life Insurance) increasing their stake - first, in our asset management business, and now, in our Life Insurance business - to 49 percent," Anil D. Ambani, Chairman, Reliance Group, was quoted as saying in the statement.

"Ever since our initial investment in 2011, we have developed a mutual understanding and built more than just a financial partnership but an interactive relationship based on solid trust," Yoshinobu Tsutsui, President, Nippon Life Insurance, was quoted as saying in the statement.

The Boards of Directors of both the companies - Nippon Life Insurance and Reliance Capital - have approved the increase in stake by the Japanese partner, subject to regulatory approvals. The stake hike is expected to be completed within the current fiscal.


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