Edelweiss Financial Services on Monday said its insurance brokerage arm EasyBL It ceases to be a subsidiary after the transfer of the majority stake to Arthur J. Gallagher & Company had informed about the acquisition of stake in its subsidiary by Edelweiss in July this year. Edelweiss Gallagher Insurance Brokers Ltd. (EGIBL) by Arthur J. Gallagher & Company (AJG). On receipt of necessary approvals, the Company transferred 61 per cent stake of the Company in EGIBL to AJG on October 18, 2021, in the first tranche.

“As a result, AJG now holds 91 percent of EGIBL, as a result of which EGIBL ceases to be a subsidiary of the company,” Edelweiss said in a regulatory filing. The disinvestment of stake in EGIBL comes after approval from the Insurance Regulatory and Development Authority of India.irdai) the business will turn into the Gallagher brand in the coming months. Edelweiss Group The company will focus on growing its life and non-life insurance businesses, which are the fastest growing in the industry, the company said in a release.

“At Edelweiss, we are always motivated by creating partnerships at the right time to create long-term value, seeding, nurturing businesses, building scale. We have enjoyed an excellent relationship with the Gallagher team, and we are confident that they will add enormous value to the business and give it a global edge,” said Rashesh Shah, President, Edelweiss Group. Shah said the move brings flexibility to the Edelweiss Group to reallocate capital, which happens after this transaction and the strategic partnership in the wealth business is substantial.

“We now have substantial capital and a strong balance sheet and look forward to growing our rapidly growing life and non-life insurance businesses as India turns a corner after the pandemic,” he said. Shares of Edelweiss Financial Services closed at Rs 81 on the BSE, up 1.69 per cent from the previous close.

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