The proposal to arrange three way partnership agency Paytm Common Insurance coverage Restricted (PGIL) was authorized by the board on Could 20, the corporate stated in a regulatory submitting.
Initially, One97 Communications (OCL) will maintain a 49 per cent stake in PGIL whereas the remainder of the 51 per cent stake is to be owned by OCL’s managing director Vijay Shekhar Sharma owned and managed firm VSS Holding Non-public Restricted (VHPL).
Submit the funding, Paytm will maintain 74 per cent stake in PGIL, lowering VHPL’s stake within the firm to 26 per cent.
“PGIL intends to register for and undertake basic insurance coverage enterprise. PGIL is but to begin its basic insurance coverage enterprise, which is presently topic to receipt of certificates of registration from IRDAI (Insurance coverage Regulatory and Growth Authority of India),” the submitting stated.
The choice of Paytm board got here after its group agency’s transaction right into a share buy settlement to accumulate Raheja QBE Common Insurance coverage Firm Restricted didn’t consummate inside stipulated time-frame.
Paytm in July 2020 had introduced that the corporate together with its founder Vijay Shekhar Sharma will purchase Mumbai-based personal sector basic insurance coverage firm Raheja QBE.
In its alternate submitting, OCL stated that it has reappointed Sharma as its managing director for 5 years. Madhur Deora, the corporate’s Group CFO and president, has been appointed on its board as a whole-time director for the following 5 years.
