Sanlam won't go solo as local expertise key

South Africa's Sanlam is not keen on full ownership of its Indian insurance venture as it values the local expertise of its long-time partner Shriram, a top executive said.

- Shayan Ghosh, Anshika Kayastha & Satish John

South Africa's Sanlam is not keen on full ownership of its Indian insurance venture as it values the local expertise of its long-time partner Shriram, a top executive said. Meanwhile, it is investing to grow its wealth and asset management ventures with the Chennai-headquartered group.

The Union budget for FY26 proposed to allow foreign entities to hold 100% stake in local insurance companies, a move aimed to attract foreign capital. Sanlam's partnership with the Shriram group has lasted over 20 years, across businesses such as insurance, asset management and now, wealth management.

"We have to be very careful. We want our partners to have enough skin in the game. There's got to be enough in it for everybody," Group CEO Paul Hanratty said in an interview. In April 2024, Sanlam had proposed raising its stake in Shriram General Insurance to 51% from 40%, and in Shriram Life Insurance to 54% from 42%. Hanratty said the group is yet to receive regulatory approval for this, and therefore, any talks on raising its stake even further is a "moot point". "It is like asking if I like to go to the moon, but I don't have a spaceship to get there," said Hanratty.