Edelweiss Financial Services Limited Tuesday announced that it is selling a minority stake in wholly owned subsidiary Edelweiss Insurance Brokers Limited (EIBL) to US-based Arthur J. Gallagher & Co., a brokerage and risk management services firm.
Financial details of the deal were not disclosed.
“This partnership brings to our clients a much broader access to international markets and expertise, and a wider range of insurance products and services,” Rashesh Shah, chairman and CEO, Edelweiss Group said.
EIBL, which started operations in 2005, provides general insurance solutions to institutions as well as individuals and reinsurance solutions to insurance companies. The firm provides services such as risk management and monitoring, claims management services and designing insurance programmes.
“EIBL presents an exciting opportunity to expand Gallagher’s commercial insurance footprint in India, in keeping with our growth strategy to invest in market-leading businesses that broaden our specialist capabilities and diversify our geographic presence,” J. Patrick Gallagher, Jr., chairman, president and CEO, said.
Founded in 1927, Gallagher has operations in 35 countries and offers client service capabilities in more than 150 countries through a network of correspondent brokers and consultants. It globally employs 30,000 people worldwide.
In recent months, the Edelweiss Group has cemented several partnerships with marquee global institutions to strengthen its financial services business.
In March, Edelweiss said that Canadian fund Caisse de dépôt et placement du Québec (CDPQ) has agreed to invest $250 million in its non-banking financial arm.
A month back, German insurer Allianz AG, through its investment management arm Allianz Investment Management, invested more than $200 million in the private debt platform of financial services group Edelweiss.