Mahindra & Mahindra Ltd. (M&M) announced on Thursday that its board has approved forming a 50:50 life insurance joint venture with Canada’s Manulife Financial Corporation, subject to regulatory clearances. Under the agreement, both companies will hold equal stakes in the new entity. The partnership aims to strengthen their presence in India’s growing financial sector and enhance customer financial wellbeing. This marks an expansion of their existing collaboration, which began with the launch of Mahindra Manulife Investment Management in 2020.
Each partner has committed capital of up to ₹3,600 crore ($400 million) over ten years, with an expected initial investment of ₹1,250 crore each within the first five years. Both teams will now work together to secure the necessary insurance license.
Anish Shah, Group CEO and MD of M&M, said Manulife’s global expertise in insurance, underwriting, and reinsurance makes it an ideal partner. The venture will leverage technology to build a customer-focused insurer. Both companies will nominate two directors each, while Mahindra will retain rights over changes in capital structure, business plans, and key appointments. Kotak Investment Banking advised M&M, with AZB & Partners and Debevoise & Plimpton LLP as legal counsels.