French insurer BNP Paribas Cardif is set to bring its global bancassurance expertise to IndiaFirst Life Insurance after signing a definitive agreement to acquire around a 26% stake in the insurer from private equity firm Warburg Pincus, marking the latter's exit. The transaction is subject to regulatory approvals, and the deal value has not been disclosed, according to Times of India report.

The move reunites BNP Paribas Cardif with a business model it helped pioneer in India. The insurer had played a key role in establishing the country's first bancassurance-led life insurance model through SBI Life, and now aims to leverage similar expertise alongside Bank of Baroda and Union Bank of India, the promoters of IndiaFirst Life.

According to Pauline Leclerc-Glorieux, CEO, BNP Paribas Cardif, the acquisition aligns with the company's strategy of supporting insurers through its global partnership and bancassurance capabilities.

"With BNP Paribas Cardif joining us as a partner, we are extending a relationship that has already proven successful through our joint venture in asset management, and we look forward to leveraging their global insurance expertise alongside Bank of Baroda's extensive distribution franchise and deep local market insights. Together, we remain focused on broadening access to quality protection and savings solutions for customers across India," said Debadatta Chand, MD and CEO, Bank of Baroda told TOI.

IndiaFirst Life was originally established with Legal & General as its foreign insurance partner. The UK-based insurer later exited by selling its stake to Warburg Pincus. With the latest transaction, BNP Paribas Cardif will replace the private equity investor as the strategic foreign partner.

Following the acquisition, Bank of Baroda will hold around 65% in IndiaFirst Life, BNP Paribas Cardif about 26%, and Union Bank of India roughly 9%, creating a three-way partnership between the French insurer and the two public sector banks.

(With TOI report)