IndiaFirst Life receives Rs 125 cr capital infusion

NEW DELHI: IndiaFirst Life Insurance, jointly promoted by Bank of Baroda, Andhra Bank and Britain's Legal & General, on Wednesday said its shareholders have infused Rs 125 crore capital for expanding distribution network.

"With the Rs 125 crore infusion, the total paid up capital of the company now stands at Rs 455 crore," IndiaFirst Life Managing Director and CEO P Nandagopal.

He said the company will take up the capital base to Rs 2,500 crore in 10 years.

"In the next fiscal we will infuse about Rs 200 crore. We will take up the equity base to Rs 1,500 crore by the end of the first five years. We have finished our capital infusion for this fiscal," Nandagopal said.

IndiaFirst, which started operations in November 2009, is the 23rd player in the life insurance space. While BoB holds 44 per cent, Andhra Bank has an equity stake of 30 per cent and the remaining 26 per cent is with the British partner.

"We will be coming out with two traditional products for which we will file with (insurance regulator) IRDA in two weeks time. We will come out with health insurance plans next year," Nandagopal said.

The company has a network of 4,500 bank branches.