Cigna to raise stake in Indian JV to 49%

Health insurance firm Cigna has applied with the regulator to increase its stake in its Indian joint venture Cigna TTK to 49 percent from the current 26 percent. Cigna Corporation will put in an additional investment of INR113 crore (USD17.6 million) in Cigna TTK Health Insurance, a joint venture between the US firm and India’s TTK Group. The stake increase will be through fresh issue of shares which will be subscribed by Cigna. It is estimated that the fresh investment will value the joint venture at around INR491 crore.

“Cigna TTK will continue to strengthen its market position in India by further growing our distribution network through expansion and new alliances, focusing on product and service innovation and enhancing our digital and technological capabilities while keeping the customer at the center of everything we do,” said Sandeep Patel, MD & CEO, Cigna TTK Health Insurance to Business Line. The Indian venture has recorded a gross premium of INR221 crore in FY17, which was expected to grow over 100 percent during the current fiscal.