Govt to relax equity dilution norms for insurance firms Economic Times
25.08.11
Section 6AA of the Insurance Act, 1938, stipulates that a promoter holding over 26 per cent in an insurance company, including re-insurance, will be required to divest their stake and bring it below this threshold limit in a phased manner "after a period of 10 years from the date of the commencement of the said business by such Indian insurance company or as prescribed by the central government".
This provision does not apply to the foreign promoters of insurance firms, as per the explanation of the section.
Sources said even the Law Ministry is of the view that there are no regulatory hurdles if promoters of life and general companies and re-insurance firms dilute their stake before the 10-year period stipulated in the clause.
With the enabling provision, insurance firms can dilute their stake anytime, sources said.
ADAG-promoted Reliance Life came into existence with the acquisition of AMP Sanmar in 2005. AMP Sanmar started operations in January, 2002, which implies Reliance Life would complete 10 years of operations in January next year.
Source:
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Since the days of the gold rush and of bushrangers AMP Australia has been helping people manage their financial well being, so they can enjoy the future they want.
Beginning in 1849 as “The Australian Mutual Provident Society” an organization offering life insurance, AMP has evolved over 150 plus years to be a publicly listed company. The goal is to be acknowledged as a high performing company that meets and exceeds their responsibilities to share holders, customers, planners, employees and the communities in which they operate.
AMP wants to position itself as Australians leading provider of quality financial advice, delivering simple, value for money products and superior investment performance. SEOUL - HYUNDAI Motor, the world's fifth-biggest carmaker along with affiliate Kia Motors, said on Tuesday it aims to sell 500,000 new Accent compact cars next year in a bid to keep its sales momentum. In South Korea alone, Hyundai is targeting sales of 20,000 units of revamped Accent vehicles in 2011, the South Korean automaker said in a statement. […] SEOUL - US AND South Korean leaders agreed on Tuesday to complete work on a free trade accord before next week's G-20 summit in Seoul, the South Korean president's office said. The agreement came at telephone talks between South Korean President Lee Myung Bak and his US counterpart Barack Obama, who agreed to make 'joint efforts' for a co […]
