Piramal Finance to sell entire 14.72% stake in Shriram Life Insurance for ₹600 crore — Details here

Mumbai-based non-banking financial company (NBFC), Piramal Finance, on Friday, 19 December 2025, announced its plan to sell the entire 14.72% stake it owns in Shriram Life Insurance to Sanlam Emerging Markets (Mauritius) for ₹600 crore, according to an exchange filing.

The transaction is expected to close by the end of the current fiscal year, subject to receipt of necessary regulatory approvals.

“This transaction is aligned with our focus on monetizing non-core assets, and we will continue doing the same for our other residual non-core assets,” Piramal informed the exchanges. The proceeds from the stake sale will be used to strengthen the company's balance sheet.

In 2024-25, Piramal Finance earned ₹12.68 crore from its investment in the life insurance company through dividends.

Shriram Life is a joint venture between Shriram Capital and South Africa-based Sanlam Group. The promoters collectively held a 75% stake in the company as of 30 September. Herein, Shriram Capital holds 47% and Sanlam Emerging Markets (Mauritius) Ltd holds another 23%. Among institutional investors, in addition to Piramal Enterprises’ 15% stake, TPG India Investments II INC, Mauritius, has 7% share.

Following the proposed stake sale by Piramal, Sanlam will have around 38% shareholding in the life insurer.

Shriram Life reported a 17% year-on-year growth in individual new business premium in H1 FY26 to ₹635 crore compared with 8% growth for the sector. Individual new business annualized premium equivalent (APE) was up 8% to ₹544 crore, whereas the APE for renewal premiums was 43% higher at ₹1,024 crore for the six-month period. The insurer's assets under management increased by 15% to ₹14,187 crore.

Piramal Enterprises had earlier exited its entire shareholding in Shriram Group’s flagship NBFC, Shriram Finance, when it sold its entire 8.34% stake for ₹4,824 crore in June 2023, via multiple block deals.

The deal comes as Shriram Finance today approved raising ₹39,618 crore from Japan-based Mitsubishi UFJ Financial Group (MUFG) for a 20% stake in the company.

Shares of Shriram Finance climbed to a 52-week high of ₹913.50 on NSE. However, the stock later pared some gains to end 4.1% higher at ₹905.10 at close on Friday. Shares of the company have risen about 50% so far in 2025.