SBI Life eyes 35-40% growth in new business premium

SBI Life Insurance is eyeing to achieve 35-40 per cent growth in the new business premium collection in the current fiscal, said a company official on Monday.

"We have prepared strategies for growth in new business premium. We are targeting to achieve 35-40 per cent growth in new business premium in the current fiscal," said Sanjeev Pujari, President (Actuarial & Risk), SBI Life Insurance Co Ltd.

He said the growth would be primarily driven by bancassurance channel that would grow 52 per cent. Besides, the company expects 32 per cent growth in agency channel.

The life insurer will remain focused on banking and agency channel to achieve the growth, he added.

SBI Life Insurance proposes to open an initial public offering (IPO) of up to 120 million equity shares of face value of Rs 10 each on September 20.

It comprises of an offer for sale of up to 80 million equity shares by State Bank of India and up to 40 million equity shares by BNP Paribas Cardif S.A.

SBI Life expects to mop up Rs 8,400 crore from the IPO proceeds.

The offer would constitute up to 12 per cent of post-offer paid-up equity share capital and the net offer shall constitute 10.60 per cent of the post-offer paid up equity share capital, said Pujari.

The company is a joint venture between India's largest bank State Bank of India and the leading global insurance company BNP Paribas Cardif.

--IANS

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