Global insurance company Allianz Group has completed the sale of 23% stake in two joint ventures, Bajaj General Insurance Company and Bajaj Life Insurance Company, to Bajaj Promotor Group (Bajaj) for a total consideration of approximately 2.1 billion euros. The updated price is approximately 2.6 billion euros based on current exchange rates.
Previously, Allianz Group announced on March 17, 2025 that it had agreed to sell its 26% stake in non-life and life insurance joint ventures in batches. Allianz expects to complete the sale of the remaining 3% stake in the second quarter of 2026.
The partnership between Allianz and Bajaj began in 2001 and has contributed to mutual growth and success. However, Allianz’s ability to operate in the Indian market remains limited due to its minority position in the joint venture.
The decision to divest has been taken following constructive and amicable discussions with Bajaj and Allianz is grateful for the smooth approval process with the relevant authorities since the deal was announced.
Allianz expects to recognize non-operating IFRS gains of approximately €1.1 billion from the transaction in its first quarter 2026 results and expects a positive impact of approximately 5 percentage points on its group Solvency II ratio.
During 2026, Allianz plans to use IFRS gains for strategic growth and productivity initiatives and realize losses to accelerate reinvestment in fixed income instruments to achieve higher yields. These actions are expected to support future profitability and create future options.
Allianz continues to view India as an important growth market and is committed to continuing to actively serve the country’s dynamic and rapidly expanding insurance industry.
It was announced on July 18, 2025 that Allianz Group, through its wholly-owned subsidiary Allianz Europe BV, has entered into a binding agreement with Jio Financial Services Limited (JFSL) to form a 50:50 domestic reinsurance joint venture and a non-binding agreement to establish an equally held joint venture for general insurance and life insurance businesses in India.