Prudential to Acquire Majority Stake in Bharti Life Insurance for ₹7,000-₹8,000 Crore: Report

Bharti Group in Talks to Sell Majority Stake in Life Insurance Business

The Bharti Group is in discussions to sell as much as 85 per cent of its life insurance business to Prudential Plc in a deal that could value the company at around Rs 7,000-8,000 crore, according to an Economic Times report.

The proposed valuation marks a significant increase from last year, when the sale of a 15 per cent stake to 360 One implied a valuation of about Rs 3,000 crore, or nearly 1.1 times the embedded value (EV). This marks a substantial rise in the valuation multiple, with recent life insurance transactions valuing companies at around 1.5 to 2 times EV.

A breakdown of recent life insurance transactions is shown below:

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Prudential may not be able to acquire the entire company, as existing investor 360 One is not expected to exit the business. Due diligence is currently underway, although discussions are still in progress, and key terms such as valuation and deal structure could change.

The deal would mark Bharti Group's exit from the life insurance segment while significantly expanding Prudential's presence in India's underpenetrated insurance market. Bharti AXA Life has shown improving fundamentals in recent periods, with a capital infusion of Rs 461 crore lifting its solvency ratio to 2.41 times as of June 2025.

The company has also posted a 44 per cent rise in total premium income in FY26 to Rs 1,059 crore, compared with Rs 741 crore in the previous year. While its base remains relatively small, Bharti AXA Life Insurance has emerged as one of the faster-growing players in the sector in terms of premium growth, supported by stronger distribution.

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Prudential Plc has also been exploring options to pare its 21.93 per cent stake in ICICI Prudential Life Insurance, where ICICI Bank continues to hold a majority stake of about 50 per cent. The company's India strategy has accelerated since the appointment of Naveen Tahilyani as regional CEO for India, Africa, and Southeast Asia in 2025, with an additional mandate for the health insurance business.

Tahilyani, the former CEO of Tata AIA Life Insurance, is leading the next phase of investments, including plans to build a standalone health insurance platform. His experience in expanding distribution networks and improving profitability is seen as supporting Prudential's long-term strategy in India's growing insurance market. The company has also formed a health insurance joint venture with an HCL subsidiary.