Reliance Capital in talks to sell a 23% in insurance biz

Financial services firm Reliance Capital is in talks with a host of banks to sell a 23-per cent stake in subsidiary Reliance Life Insurance and the Anil Ambani group company intends to use the investments to boost distribution networks.
  
The company is in talks with both state-run and private-sector lenders, including Axis Bank and Syndicate Bank for the stake sale, according to a report in The Economic Times.
  
Reliance Capital is into offering insurance, asset management, broking, and consumer and commercial finance services among others.
  
Earlier in March, Japan's Nippon Life Insurance Company entered into an agreement to purchase a 26-per cent stake for $680 million. The deal, however, is awaiting regulatory approval.
  
The stake purchase by Nippon Life is the latest move by a Japanese insurer to expand overseas as the country's traditional life insurance market shrinks with an ageing population.
 
Indian rules do not allow foreign companies to own more than 26 percent stake in an Indian insurance joint venture.
 
The other Anil Ambani, who was ranked 103 in the Forbes' global rich list this year, group firms are telecom firm Reliance Communications and construction and infrastructure company Reliance Infrastructure.