Former SBI chairman Arundhati Bhattacharya is looking to start a general insurance business, reported LiveMint. As per an anonymous source, she plans to work alongside Sunil Mehta, former country head and chief executive of American insurer AIG, and Deepak Ishwarbhai Amin, a former director of SBI in this venture, said the report.
The former SBI chief along with Mehta registered their company, Welmo Fintech Pvt. Ltd., earlier in the month, said the report. “They will soon be approaching the insurance regulator to obtain an R1 approval…They are looking to raise capital from venture capital investors," the source cited earlier was quoted as saying in the report.
The report, citing the Ministry of Corporate Affairs data, said that the insurer has a paid-up share capital of Rs 1 lakh.
However, the company still has a long way to go since there are two more stages left for it to finally get the green signal. This will include having a minimum of Rs 100 crore as paid-up equity share capital to obtain the second stage of regulatory approval, added the report.
The development comes at a time when Irdai has started granting licences to a number of general insurers, mostly promoted by insurance veterans.