Bandhan Financial Holdings (BFHL) has entered into a “definitive agreement” with Aegon India Holding and Bennett, Coleman & Company for the acquisition of the entire shareholding of Aegon and BCCL in Aegon Life Insurance Company.

The acquisition is subject to receipt of necessary regulatory approvals and customary closing conditions, BFHL said in a statement.

Aegon Life, a digitally focused life insurance company, had a competitive bidding process that witnessed participation from various investors. BFHL was selected as the successful bidder to acquire Aegon Life. Upon completion, this will mark BFHL’s foray into the life insurance sector in India in addition to their presence in banking and mutual fund sectors, enabling an important step towards creation of a diversified financial services group.

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The agreement envisages continuity of the current management team and existing employees which would help in developing and supporting Aegon Life’s strategy under BFHL’s ownership, the statement said.

“We believe that life insurance in India is a large multi-faceted market and together with the demographic advantage as well as favorable economic outlook, it presents a significant business opportunity. The acquisition of Aegon Life provides us an opportunity to enhance our portfolio of products and services in the financial services sector combined with access to an established technology platform and product suite, coupled with an experienced management team,” Karni S Arha, MD, BFHL, said in the statement.

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