Multinational risk and insurance-focussed professional services firm Aon plc has picked up a 49% stake in Anviti Insurance Brokers Pvt. Ltd, a domestic composite insurance broker.
Mumbai-based Anviti said in a statement the investment will help it strengthen its operations and services in the country, as well as access global support resources from Aon.
The deal marks Aon’s re-entry into India’s insurance broking market. In 2017, Aon had sold its 26% stake in a local joint venture, Aon Global Insurance Brokers Pvt. Ltd, to its partner. The year before, Aon had also signed a pact to form an insurance broking JV with Catamaran but the deal couldn’t be completed.
Under the new deal, Aon will eventually take a controlling stake in Anviti, multiple media reports said.
The deal comes after the Indian government in February amended its foreign direct investment policy to allow 100% FDI in the domestic insurance intermediary business, from 49% previously.
Anviti said its chief executive officer Jonathan Pipe will continue to lead the company. “We have strong capabilities in India and have established trusted advisory relationships since we started operations in 2017. I look forward to building upon this platform and accelerating results for our clients, colleagues and communities,” Pipe said.
The insurance broking firm was set up in 2016 and is backed by Catamaran Ventures LLP, the private investment firm set up by Infosys co-founder NR Narayana Murthy.
Catamaran, set up in 2009, manages a diversified portfolio across asset classes including private equity, venture capital, fixed income and real estate. Anviti is not the only insurance-focussed firm in its portfolio. It has also invested in digital insurer Acko, which raised $60 million (around Rs 441.4 crore) in September.
Anviti says it provides insurance and reinsurance broking services to corporate clients in the country, with areas of specialisation including employer health insurance and benefits, financial lines and casualty insurance, and crisis management insurance.
According to VCCEdge, the data research arm of Mosaic Digital, Anviti reported net sales of Rs 24.24 crore for 2018-19 and a loss of Rs 27.06 crore.