Angel One shares in focus after announcing a foray into the life insurance business

Shares of Angel One Ltd. are in focus on Thursday, July 24, as it is set to enter the life insurance space.The company will enter a joint venture with LivWell to start a digital-first life insurance company, subject to regulatory approvals, it said in a filing.
LivWell is backed by Olympus Capital, a private equity firm with over $2.6 billion invested across Asian financial services including HDFC Bank, CreditAccess Grameen, among others.
The joint venture is poised to be India’s first fintech-partnered life insurance business.
The proposed capital infusion in the joint venture is of ₹400 crore. Of this, Angel One will contribute 26% or ₹104 crore and LivWell will add 74% or ₹296 crore.The proposed chairperson and CEO for the joint venture are Wilf Blackburn, the former regional CEO of Prudential Asia, and Nikhil Verma, the former deputy CEO of Aviva Vietnam, respectively.

Angel One sees opportunity in the 83% protection gap, especially  between the age group of 26-35. This will also deepen financial lifecycle offerings such as savings, investing and protection. The JV will open new revenue streams. It will also strengthen Angel One’s digital distribution network with in-house insurance products, the company said.

Angel One shares ended the previous session 0.8% up at ₹2,828 apiece. The stock has declined 6.3% this year, so far.

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