A team from Shardul Amarchand Mangaldas & Co (SAM) advised QorQl in its acquisition of Raheja QBE General Insurance, which is 51% owned by Prism Johnson and 49% by QBE Australia.
While Prism Johnson – a Rajan Raheja group company – said in a stock exchange filing that it was selling its stake for ₹2.9 billion (US$38.8 million), the entire deal is reportedly valued at US$76 million. The deal was signed on 6 July.
QorQl, a technology company that connects doctors and patients, is majority owned by the founder of Paytm, Vijay Shekhar Sharma. Paytm owns the remainder of QorQI.
SAM’s team included lawyers from several practice areas including M&A, competition and IP. The firm’s M&A team comprised partners Iqbal Khan and Ambarish, principal associate Faraz Khan, senior associate Tanvee Vasudevan and associate Amrita Rana. Its insurance team comprised partners Shailaja Lall and Anu Susan Abraham, principal associate Shivangi Talwar, senior associate Arush Upmanyu, and associates Christina Shaju and Rachel Noronha. Its competition team comprised partners Shweta Shroff Chopra and Manika Brar, and senior associate Supritha Prodaturi.
Partners Abhay Sharma, Amit Singhania and Rajat Bose, principal associate Ankita Bhasin, and senior associate Priyanka Jain were part of the firm’s tax team on the deal. Partner Pooja Ramchandani and associate Suryansh Gupta provided employment advice. SAM’s IP team was led by partner Mukul Baveja.
Paytm was advised by its in-house lawyers, including deputy general manager Aayushi Sehgal and senior manager, M&A and investments, Ankit Jaiswal.
Trilegal advised Raheja QBE General Insurance and Prism Johnson. Its team comprised partner Ashwyn Misra, counsel Deep Choudhuri and associates Diksha Maheshwari and Shikha Rawal. Cyril Amarchand Mangaldas advised QBE Holdings and QBE Asia Pacific Holdings.
Prism Johnson said in stock exchange filings that the deal is to close by 31 March 2021, and requires the approval of the Insurance and Regulatory Authority of India.
The deal is expected to further Paytm’s “aim to take insurance products to the grassroots of India”. The company announced in March that it had secured an insurance brokerage licence.
Australia-headquartered QBE said its exit from India is part of its strategy to simplify its business. The company entered India in 2007 through a joint venture with the Rajan Raheja group. Initially QBE had a 26% stake in Raheja QBE, which was set up in 2009. In 2015, QBE increased its stake in Raheja QBE to 49% in a deal valued at US$16 million.