Max Bupa Health Insurance on Monday announced that it is set to become one of the first companies in India to benefit from the recently increased foreign investment limit in insurance sector.
Following the recent insurance ordinance receiving legislative assent in the budget session of Parliament, Bupa proposes to increase its stake in Max Bupa from 26 per to 49 per cent.
Bupa, an international healthcare group, will submit applications to the relevant authorities for the regulatory approvals required in order to increase the stake, a joint statement issued by Bupa and Max Bupa Health Insurance said.
Commenting on Bupa's decision to increase its stake in Max Bupa, David Fletcher, Managing Director of International Development Markets at Bupa said: "This decision underlines Bupa's commitment to the Indian health insurance market and represents a major milestone in the development of Max Bupa".
Bupa's intention to increase its stake is testimony to the huge oportunity for health insurance in India and Max India's reputation in successfully managing joint ventures, said Rahul Khosla, Managing Director, Max India Ltd.