Bajaj Finserv has decided to fully acquire Allianz's 26% stake in its insurance business for ₹24,180 crores. With this move, Bajaj Finserv's subsidiaries, Bajaj Allianz General Insurance and Bajaj Allianz Life Insurance, will become fully Indian-owned companies. This acquisition is considered the largest deal in the Indian insurance sector to date.
Sanjiv Bajaj, Chairman and Managing Director of Bajaj Finserv, made a significant statement regarding this decision. On Wednesday, during the Lokmat Maharashtrian of the Year 2025 event held at Raj Bhavan in Mumbai, Mr. Rishi Darda, Joint Managing Director and Editorial Director of Lokmat Media, had an in-depth conversation with Bajaj on several topics. During this conversation, Darda asked Bajaj about the rationale behind exiting the partnership with Allianz.
Bajaj explained that their partnership with Allianz, which began in 2001, had been based on the significant opportunities India offers across various sectors, including financial services. At the time, Bajaj held a 74% stake in the joint venture, and Allianz held 24%. Both companies had ambitions to expand their businesses, but Bajaj pointed out that "two captains can't steer the same ship." He further added, "If that were the case, we could predict the outcome of the ship. That’s why we decided to buy out their stake. You’ll hear about their next steps directly from them."
When asked about rumors of Allianz partnering with Jio, Bajaj noted that the insurance sector in India is vast, with nearly 50 players. "Allianz is still our partner. While we’ve decided to exit, the deal requires regulatory approval, which will be completed in the coming months. We’ll see who they partner with in the future," he said. Bajaj also spoke about the opportunities in India, highlighting the country’s growth potential. "India presents tremendous opportunities. I left Bajaj Auto in 2007 to start our journey in financial services. Initially, the scope was small, but our journey has been incredibly exciting. Our goal has always been to build a globally recognized company from India. We believe not only in 'Make in India' but also in 'Make by India for India,' which is why we decided to acquire our partner’s stake," he concluded.