Bajaj Finserv shares in focus as firm completes acquisition of 23% stake in insurance companies from Allianz SE

The acquisition marks the end of a 24-year joint venture between Bajaj Finserv and Allianz SE. “The acquisition takes the ownership of the Bajaj Group in both insurance companies to 97% from 74%, giving Bajaj Finserv complete control of the insurance companies with a 75.01% stake,” the company said in a regulatory filing.

Bajaj Finserv further said that the transfer of Allianz’s remaining 3% stake is expected to be completed over the next few months through a proposed buyback of shares by the insurance companies, subject to applicable law and necessary approvals.

If the buyback is completed, the stake of Bajaj Finserv is expected to go up to approximately 77.3%, with Bajaj Holdings & Investment Limited holding approximately 18.1% of the stake, with the balance being held by Jamnalal Sons Private Limited.

The acquisition, however, has no impact on the operations of the insurance companies or the interests of policyholders and business partners, the statement added.

Here's what management said

“We are very excited about the insurance businesses, which are at this stage poised for a long period of growth. The acquisition provides us strategic flexibility to access new markets, introduce new products, build scale and advance growth, as insurance penetration in India is set to grow exponentially over the next 2 decades. We will continue serving millions of our policyholders even better and delivering sustainable value to our shareholders with a long-term horizon,” said Sanjiv Bajaj, Chairman & Managing Director, Bajaj Finserv.

The Bajaj Group had previously announced its agreement to expand ownership in both insurance companies from 74% to 100% through a Share Purchase Agreement on 17 March 2025. The transition to complete Indian ownership started with the rebranding of the insurance companies in October 2025 as Bajaj General Insurance and Bajaj Life Insurance.

The corporate headquarters of the Bajaj General Insurance and Bajaj Life Insurance will continue to be based in Pune.

The transaction, the largest ever in the Indian insurance sector, also marks one of the most significant acquisitions of a global joint venture partner by an Indian business group, Bajaj Finserv said.

Commenting on the development, S Sreenivasan, President – Insurance & Special Projects, Bajaj Finserv, who led the transaction, added: “This deal also demonstrates the strength of domestic capital and that of the Bajaj Group, being funded fully by the Bajaj Group with no leverage. Approvals from CCI and IRDAI for the acquisition of Allianz’s 26% stake were received in just 4 months, and this is a great message for those wishing to invest in India and looking for ease of business.”

Sreenivasan said that the passage of the Sabka Bima Sabki Raksha Act, 2025, by the Indian Parliament, along with the imminent rollout of Ind-AS and risk-based capital norms for the insurance sector, is expected to provide strong tailwinds for a phase of sustained, secular growth.

On Thursday, Bajaj Finserv shares closed at ₹2,005 apiece on the National Stock Exchange, declining 1.32%.