In a key step to expand beyond traditional banking, the Central Bank of India has acquired a 24.91% equity stake in Future Generali India Insurance Company Limited (FGIICL). The deal is valued at up to ₹451 crore.
The acquisition comes following a Letter of Intent received in August 2024, as per the Insolvency and Bankruptcy Board of India (IBBI) regulations.
The Bank confirmed that it has secured all necessary regulatory approvals from the Competition Commission of India (CCI), Reserve Bank of India (RBI), and the Insurance Regulatory and Development Authority of India (IRDAI).
With this acquisition, Central Bank of India is entering the fast-growing insurance sector. The Bank described Future Generali as a well-established and operationally sound company that was available at an attractive valuation.
This move is part of the Bank’s broader strategy to diversify its business and build new revenue streams beyond traditional lending and deposit services.
Established in 2006, Future Generali operates across more than 150 locations in India. It offers a wide range of insurance products for individuals, businesses, and rural customers.
The company covers areas like personal, commercial, and retail insurance. Italian insurance major Generali owns 74% of the firm.
In April, the Central Bank of India reported its Q4FY25 results, with a 28% year-on-year rise in net profit to ₹1,033.6 crore. However, net interest income fell by 4% to ₹3,399 crore. Overall income improved by 7.57% to ₹10,433 crore.
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As of June 5, 2025, Central Bank of India share price closed at ₹40.48, up 0.65% for the day. The stock opened at ₹40.60, hit a high of ₹40.75 and a low of ₹39.90 during the session. The bank has a market capitalisation of ₹36,550 crore and a price-to-earnings (P/E) ratio of 8.94. Over the past 52 weeks, the stock has touched a high of ₹67.75 and a low of ₹32.75.
By acquiring a significant stake in Future Generali, the Central Bank of India has taken a bold step to strengthen its business portfolio. The move aligns with its long-term vision to grow in non-banking sectors and tap into India’s booming insurance market. This could help the bank generate more stable, diversified revenues in the years to come.
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Published on: Jun 5, 2025, 4:50 PM IST
Kusum Kumari
Kusum Kumari is a Content Writer with 4 years of experience in simplifying financial market concepts. Currently crafting insightful content at Angel One, She specialise in breaking down complex topics into easy-to-understand pieces, blending expertise in market fundamentals and technical analysis.
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