India’s Niva Bupa Health Insurance Company is considering a minority stake sale at a valuation of $2 billion, Bloomberg News reported on Tuesday.
The company is a joint venture between British United Provident Association Ltd. (Bupa) and Indian private equity fund True North. Niva Bupa is working with an adviser on the potential stake sale, Bloomberg News said, citing people familiar with the matter. True North may consider selling some of its stake, according to the report. A deal could also involve issuing new shares, it said. However, deliberations are still at an early stage. Details such as size and structure could change and the insurer could decide not to go ahead with the stake sale, it added.
Niva Bupa was originally a joint venture between two promoter entities – Max India Limited and Bupa Singapore Holdings Pte. Ltd. Shares were transferred to True North after Max’s exit in December 2019, according to Niva Bupa’s website. The firm rebranded as Niva Bupa two years later, and Bupa increased its stake to 44.75%, according to the UK insurer’s annual report