Swiss Re is going to invest Rs 920 crore in Paytm’s insurance unit
IPO-bound Paytm said on Wednesday that Zurich-based reinsurance giant Swiss Re will invest Rs 920 crore in its insurance unit, Paytm Insuretech Pvt Ltd, for a 23% stake. Swiss Re will invest around Rs 397 crore upfront and the remaining capital will come in tranches, subject to fulfilment of certain milestones by Paytm Insuretech. The deal is subject to regulatory approval.
According to Vijay Shekhar Sharma, chairman of Paytm’s parent firm, One 97 Communications, It is an important milestone in Paytm's financial services journey of taking general insurance products to the masses. They look forward to gaining from Swiss Re’s global insurance capabilities and building innovative products to tap into the Indian market.