The Burman family — promoters of the Dabur Group — and the US-based Liberty Mutual Group, announced on Monday that they plan to form a non-life insurance company in India. The Burmans have another joint venture with UK?s Aviva for life insurance business.
Liberty Mutual, through one of its fully owned subsidiaries, will initially hold a 26% stake in the new company, while Dabur Group firm, Dabur GI Invest Corp, will hold the remaining 74 %.
Post approval by Indian regulators, the new entity will operate under the name Dabur Liberty General Insurance Company.
The company will provide personal and commercial insurance products through a range of distribution channels such as agents and banks.
?Entering India?s insurance marketplace at this exciting time offers tremendous growth opportunity for our international operations while reinforcing our position among the leading global insurance companies,? said Edmund F Kelly, Liberty Mutual Group?s chairman, president and chief executive officer Liberty Mutual will begin the licencing application process for the new company before the end of the second quarter this year.
?The Dabur Group has a deep understanding of the Indian market, based on domain knowledge acquired over several years. This will help us become one of India?s leading non-life insurers in days to come,? said VC Burman.
Liberty Mutual Group?s International business, which has presence in 24 countries, reported 2007 revenue of approximately $6.1 billion. Overall, the Liberty Mutual Group reported annual consolidated revenue of $25.9 billion for 2007.
Dabur GI Invest Corp is an Indian partnership comprised of members of the Burman family, promoters and majority shareholders of the over Rs 2,300 crore Dabur India Ltd.
Dabur India is a publicly listed firm on the Indian stock exchange with a market capitalisation of over $2 billion. The firm is engaged in the manufacturing and marketing of healthcare, personal care, food products and related businesses in India and other parts of the world.
