Reliance Capital Ltd’s 100 per cent subsidiary Reliance General Insurance Company Ltd (RGI) on Tuesday (5 September) has received in-principle approval from Insurance Regulatory and Development Authority of India (IRDAI) for the process of its proposed initial public offering (IPO).
The company announced this information in Bombay Stock Exchange (BSE) filing.
Listing of RGI is expected to be completed in FY18, subject to necessary approvals. RGI provides a wide range of general insurance products like fire, motor, health, home, crop, travel etc.
The company outperformed the industry growth rate of 30 per cent, and reported 41 per cent growth in FY17. RGI’s gross direct premium stood at Rs 3,935 crore in the year ended 31st March, 2017.
Profit Before Tax stood at Rs 130 crore, up 32 per cent, while the investment book stood at Rs 6,724 crore, up 25 per cent for the year ending 31st March, 2017.
The company has a diversified distribution network including corporate agents and bancassurance partners, amongst others.
RGI is also an active participant in various government crop Insurance schemes – including the Pradhan Mantri Fasal Bima Yojna. In FY17, the company insured over 3 million farmers under this financial inclusion initiative.