Diversified entity Aditya Birla NuvoBSE -0.89 % Ltd (ABNL) today announced formation of a joint venture with MMI Holdings — a South African insurance based financial services group — to enter Indian health insurance and wellness market.
"As per the agreements, ABNL will hold 51 per cent share in the joint venture company named Aditya Birla Health Insurance Co Ltd (ABHICL), subject to the regulatory approvals," the company said in a filing to the BSE.
ABHICL is in the process of making an application to the Insurance Regulatory and Development Authority of India for obtaining license to start health insurance and wellness business operations, it added.
"The company expects to commence operations in next 12-15 months," the filing said.
ABNL already has presence in difference segment of financial services, including the Birla Sun Life Insurance Company (BSLI) — a 74:26 joint venture between the Aditya Birla Nuvo and Sun Life Financial, leading international financial services organisation from Canada.
As per the company's website, it has asset under management worth USD 4.8 billion.
MMI, which has a market capitalisation of 26.7 billion rand, is mainly into long and short-term insurance, asset management, savings, investment, healthcare administration, health risk management, among others.