Mahindra & Mahindra (M&M) and Manulife today announced that the two companies have entered into an agreement to establish a 50:50 life insurance joint venture, subject to regulatory approval. This new venture will strengthen Mahindra and Manulife's existing footprint in India and underscores their commitment to enhancing the financial wellbeing of customers in one of the world's fastest-growing markets. The vision is to be the #1 life insurance company for rural and semi-urban India, and in serving urban customers through leadership in protection solutions.
The joint venture aims to offer long-term savings and protection solutions tailored to the diverse and growing needs of India's population, in line with India's “Insurance for All” vision by 20471. Combining Mahindra's deep access and extensive distribution in rural and semi-urban areas with Manulife's proven quality agency capabilities catered to urban customers, the joint venture will create long term value by driving customer centricity and leveraging new technologies.
Upon regulatory approval, this joint venture will expand on the collaboration between Mahindra and Manulife in India, following the successful launch of Mahindra Manulife Investment Management in 2020. The total capital commitment from each shareholder is up to Rs 3,600 crore (US$400 million), with each shareholder expected to invest Rs 1,250 crores (US$140 million) in the first 5 years.