Deutsche Insurance Company, Deutsche Investitions-und Entwicklungsgesellschaft mbH (DEG) has expressed its interested in acquiring 20 percent shares in the Pakistani insurance company TPL Insurance.
According to the notification issued to PSX, the listed company TPL Insurance, a subsidiary of TPL Corporation informed its stakeholders that the management will execute the deal after the approval of the board of directors, and then other regulatory authorities including Security and Exchange Commission and other entities.
Deutsche Investitions- und Entwicklungsgesellschaft mbH is the wholly-owned subsidiary of KfW Group based in Cologne, which is a major development finance institution of Germany.
DEG is re-entering into the Pakistani market with the investment being a first in an insurance company by a Development Finance Institution in recent times in Pakistan. With the experience and expertise of DEG as a major institutional investor, the company will greatly benefit in terms of custom shaped solutions in all respectable areas including but not limited to best corporate governance practices, business support, risk management, and environmental and social matters.
TPL Insurance is comparatively a small but growing insurer in the local market. It remained a profitable entity till March 2020 with profit reported over Rs. 11 million.
Established in 1992, it continued the business of general insurances across the country. In 2014, it commenced the services of Takaful through the general window of Takaful.