Central Bank of India Gets Approval to Acquire Stakes in Future Generali Insurance Companies

The Competition Commission of India (CCI) approved the Central Bank of India’s plan to acquire stakes in two Future Generali insurance companies on Tuesday. Central Bank of India, a government-owned bank, will take a 24.91% equity stake in Future Generali India Insurance Company Ltd (FGIICL), which offers personal, commercial, social, and rural insurance services.

Additionally, the CCI approved a 25.18% equity stake in Future Generali India Life Insurance Company Ltd (FGILICL). This acquisition is part of a bid submitted by Central Bank of India under the Insolvency and Bankruptcy Board of India regulations. FGILICL provides various insurance products, including savings plans, investment plans (ULIPs), health insurance, child plans, retirement plans, and group insurance.

In August, Central Bank of India announced that it had successfully bid for the stake of Future Enterprises Ltd (FEL) in the life and general insurance sectors. The bank was selected by the Committee of Creditors for the sale of FEL’s Category 1 assets, which included a 25% stake in FGIICL and a 33% stake in FGILICL.

The National Company Law Tribunal (NCLT) had initiated insolvency proceedings against Future Enterprises in July 2022 after the Bank of India filed a petition due to loan defaults.