ICICI Prudential Life Insurance Co. Ltd has granted permission for Prudential Corporation Holdings Ltd. to be re-classified from a promoter to an investor, as part of a restructuring of the insurer's ownership. The board has also approved seeking regulatory approval to change the name of the company from ICICI Prudential Life Insurance Co. Ltd. to ICICI Life Insurance Ltd.

The move comes as Prudential is set to acquire a controlling stake in Bharti Life Insurance Company. “The Board has reviewed and accepted Prudential's request for a reclassification from ‘Promoter' to ‘Investor',” the company's exchange disclosure reads. The insurer will now approach the Insurance Regulatory and Development Authority of India (IRDAI) for approval.

Prudential had 21.89% stake in ICICI Prudential Life and ICICI Bank held 50.84% stake as of June 30, 2026. According to the insurance rules, Prudential will have to dilute its shareholding in ICICI Prudential Life to less than 10% and cease to be a promoter before it becomes the promoter of another life insurance company in India.

The reclassification will be associated with Prudential's proposal to purchase a 75% stake in Bharti Life Insurance Company Ltd. from Bharti Life Ventures Pvt. Ltd. and funds under the management of 360 ONE Asset Management. 

The transaction includes an upfront cash consideration of Rs. 3,500 crore and potentially a contingent consideration of up to Rs. 700 crore. It also has long-term strategic distribution contracts with Bharti Airtel and 360 ONE WAM Ltd.

On Saturday, ICICI Bank and Prudential Corporation Holdings signed a Letter of Undertaking to regulate any possible conflicts of interest arising in the transition. The deal will be in effect from the date of filing of the reclassification application with IRDAI till Prudential finalises the Bharti Life transaction or till any other date as regulated.

Also Read: ICICI Bank Q4 Results: Net Profit Jumps 18% to ₹12,629 Crore, Dividend of ₹11 Per Share Recommended

At this time, Prudential will not vote on any special resolution unless it has an impact on its rights or interests in ICICI Prudential. It will also make sure that its appointee director resigns from the insurer's board and will not nominate a successor during the time of the undertaking.

ICICI Prudential Life delivered an annualized premium equivalent of Rs. 10,641 crore in FY26, which rose by 2.2% YoY. New Business Premium increased by 9.9% to Rs. 24,810 crore. APE was up 14.5% to Rs. 1,340 crore for the two months to May 2026, and the new business premium jumped 18.8% to Rs. 2,899 crore.

Prudential had earlier said India is a “strategically” important, exciting and attractive market. “The business is expected to leverage the combined brand strength of both Prudential and Bharti, reinforced by Prudential’s operational capabilities,” it said.