- The acquisition represents one of the largest TPA deals in India, with an Enterprise Value of INR 311.8 crore, and Equity Value expected to exceed INR 400 crore, subject to regulatory (IRDAI) approvals.
- Medi Assist market share by premiums managed will increase by ~6% in the Group segment and by ~4% in the health insurance industry (Group + Retail), on March 2024 basis
Bengaluru, 26 August 2024: Medi Assist Insurance TPA Private Limited (“Medi Assist TPA” / “Company”), a wholly owned subsidiary of Medi Assist Healthcare Services (“Medi Assist”), today announced the signing of definitive documents for 100% acquisition of Paramount Health Services & Insurance TPA Pvt. Limited (“Paramount TPA”), a prominent player in the TPA space, owned by Fairfax Asia and the Shah family. This acquisition marks a milestone in the TPA sector consolidating Medi Assist’s position as a market leader. The transaction is subject to customary closing conditions and regulatory approvals from the Insurance Regulator (IRDAI).
Paramount TPA works with 30 Insurers and 3,000+ group customers and retail policyholders. With the acquisition of Paramount TPA, Medi Assist TPA market share will grow to 36.6% for the group segment and 23.6% of the health insurance industry, by premiums managed.
This acquisition is expected, amongst others, to leverage Medi Assist’s technology, automation (AI/ML), provider networks that position the combined business as a long-term strategic partner to Insurers (General, SAHI and Life).
“Paramount TPA has performed really well over the past years under Dr. Nayan Shah’s leadership. We are thrilled that in its new home, Medi Assist TPA, it will reach greater heights.” said Gobinath Athappan, Chairman & CEO, Fairfax Asia.
“Paramount TPAs 28-years of leadership in the TPA industry stands testament to its success. Our COO, Atman Shah’s leadership has been instrumental in the growth of the business. The coming together of 2 leading TPAs will go a long way in delivering on the promise of Insurance for all by 2047.” said Dr. Nayan Shah, MD Paramount TPA.
“This strategic move strengthens our market leadership and aligns with our long-term vision of making quality healthcare accessible and efficient. I welcome the Paramount team to the Medi Assist family and to achieving greater milestones.” said Satish Gidugu, CEO Medi Assist.
