PB Fintech Ltd., the parent entity of insurance brokerage firm Policybazar, on Tuesday said it proposes to infuse Rs 696 crore in its subsidiary PB Healthcare Services Private Limited in the next financial year to grow its business. The decision was taken by the Board of Directors of PB Fintech Ltd. in a meeting held on Tuesday.
According to a regulatory filing, PB Fintech would be holding up to 33.63% on a fully diluted basis.
“As part of the company’s strategic investment, the present investment allows the company to strengthen the financial health of its mentioned wholly-owned subsidiary to meet its general
operating expenses and enhancing brand awareness, office presence and strategic initiatives,” the company said in a statement.
The said investment is, however, subject to the shareholder’s approval through postal ballot and will be made along with other external investors in PB Healthcare Services Private Ltd., it said. It further said that the capital infusion would be done to meet its general operating expenses and enhance brand awareness, office presence and strategic initiatives.
After the proposed investment, PB Fintech will hold up to 33.63 per cent of PB Healthcare on a fully diluted basis. Additionally, PB Fintech’s board approved a postal ballot notice to seek shareholder nod for the investment. This also includes participation from Chairman and CEO Yashish Dahiya, Executive Vice Chairman Alok Bansal, three key managerial personnel, and other external investors.
The company stated that all regulatory approvals required for the investment would be obtained by PB Healthcare as necessary. The transaction is expected to be completed within 90 days of receiving the required approvals. PB Fintech is a digital financial services platform known as Policybazaar and Paisabazaar.
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