CCI approves Temasek, India Business Excellence Fund-IV stake buy in Niva Bupa Health Insurance

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The Competition Commission of India (CCI) on Tuesday said it has given its nod for Temasek controlled entity’s stake buy in Niva Bupa Health Insurance Company Ltd (Niva Bupa). 

Simultaneously, the fair trade regulator has also approved the acquisition of certain stake in Niva Bupa by India Business Excellence Fund-IV (Motilal Oswal Alternate Investment Advisors).

In October this year, Niva Bupa Health Insurance Company Ltd had announced that it is all set to welcome new investors who had collectively committed to invest ₹800 crore in the company for a minority stake, subject to regulatory approval. The investors include India Business Excellence Fund IV; Temasek and Paragon Partners Growth Fund II amongst others.

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“Commission approves subscription to the equity shares of Niva Bupa Health Insurance Company Limited by V-Sciences Investments Pte Ltd”, said a CCI post in platform ‘X’, formerly Twitter.

In another post, the fair trade regulator said, “CCI approves the proposed combination involving acquisition of certain equity shares and special rights in Niva Bupa Health Insurance Limited by India Business Excellence Fund-IV”.

It maybe recalled that CCI had in November 2023 approved the acquisition of an additional stake in Niva Bupa Health Insurance Company by Bupa Singapore Holdings Pte.

Bupa Singapore Holdings is a shareholder of Niva Bupa and a subsidiary of international healthcare group The British United Provident Association Ltd (Bupa).

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The deal, which led to Bupa buying 20 per cent stake in Niva Bupa from True North, was cleared by the competition watchdog under the green channel route.

In September, True North had announced that it would be selling a 20 per cent holding in health insurer Niva Bupa for ₹2,700 crore. 

True North became Niva Bupa’s majority shareholder in 2019 after it had acquired a 51 per cent stake in the standalone health insurer from Analjit Singh’s Max India.