Mortgage lending major HDFC on Thursday said that it has completed the acquisition of 50.80 per cent share of Apollo Hospitals Group in Apollo Munich Health Insurance Company worth Rs 1,485.14 crore.
According to HDFC, 0.36 per cent shareholding held by employees has been acquired for Rs 10.67 crore.
"The acquisition was approved by the Competition Commission of India (CCI), the Reserve Bank of India and the Insurance Regulatory and Development Authority of India (IRDAI)," HDFC said in a statement.
"Subsequent to this approval, Apollo Munich Health Insurance Company Limited has been renamed as HDFC ERGO Health Insurance Limited (HDFC ERGO Health) and will operate as a subsidiary of HDFC Limited."
As per the statement, Anuj Tyagi, Executive Director & Chief Business Officer at HDFC ERGO General Insurance Company Ltd (HDFC ERGO General) has been appointed as the new Managing Director & CEO of HDFC ERGO Health, subject to approval from the IRDAI.
"HDFC ERGO Health and HDFC ERGO General will shortly be applying to the National Company Law Tribunal (NCLT) seeking approval for the merger of HDFC ERGO Health with HDFC ERGO General. Post-merger, the resultant entity will be the 2nd largest private insurer in Accident & Health segment in the country," the statement added.