Flipkart co-founder and former CEO, Sachin Bansal, has reportedly acquired DHFL General Insurance from Wadhawan Global Capital (WGC) for around Rs. 100 crore. The acquisition, which is said to be a distress sale for Kapil Wadhawan-led WGC group, has been done via Sachin Bansal co-founded Navi Technologies, reported media outlets including Economic Times and Business Today.
With this acquisition deal, Sachin Bansal has entered into insurance business, besides being a prominent investors in technology startups such as Ola, Vogo and Bounce, among others.
WGC, which is the parent company of Dewan Housing Finance Limited (DHFL), has admitted for bankruptcy recently. According to the reports, Navi Technologies (formerly BAC Acquisitions) has bought out the entire stake in DHFL. Navi was co-founded by Bansal with his IIT-Delhi batchmate Ankit Agarwal after selling his stake in Flipkart.
Notably, WGC also owns other financial services entities such as Aadhar Housing Finance, Avanse Financial Services, DHFL Pramerica Asset Managers, DHFL Pramerica Life Insurance and DHFL General Insurance.
DHFL is also an investor in a few startups. In 2017, EarlySalary, a Pune-based startup that offers Salary Advances and Instant Cash Loans, had raised funding of $4 Million co-led by DHFL.
To recall, last month Navi Technologies has also acquired Mavenhive, a Bengaluru-based technology consulting firm.
Navi is also an investor in grocery and milk delivery startup MilkBasket, which had raised Rs 20 crore ( ~ US$2.863 million) in venture debt led by Navi Technologies in April last year.
The acquisition report comes within a few hours after Bansal’s another fintech venture, Chaitanya India Fin Credit, has applied for universal bank license from India’s central bank RBI. Sachin Bansal holds majority stake in Chaitanya India Fin Credit, which is a microlending firm and got a NBFC license from RBI in the year 2009. Bansal has invested Rs 739 crore in Chaintanya, in September last year.
In 2016, Sachin Bansal along with his Flipkart co-founder Binny Bansal were chosen for the extremely prestigious “Asian of the Year” as part of a group called the “The Disruptors” by the Straits Times of Singapore.