The Insurance Regulatory and Development Authority of India (IRDAI) has approved the acquisition of Magma General Insurance by Patanjali Ayurved and Dharampal Satyapal (DS) Group for nearly Rs 4,500 crore, clearing the final key regulatory hurdle for the transaction announced in March 2026, according to Economic Times, Financial Express and NDTV reports on July 29-30.
Under the share purchase agreement, Patanjali Ayurved will acquire a 73.56% stake in the non-life insurer, while DS Group will acquire 24.5% from Adar Poonawalla-owned Sanoti Properties — which held 72.4% before the deal — and selling shareholders including Celica Developers and Jaguar Advisory Services. The approval, conveyed through an IRDAI letter dated July 28, 2026, is valid for three months, within which the transaction must be completed.
Patanjali, the Baba Ramdev-led FMCG major, will become the promoter of the insurer and has committed to continue infusing capital to support its solvency and growth, while DS Group joins the acquiring consortium as a co-investor. The Competition Commission of India had earlier cleared the deal through its green channel route. Magma General Insurance, which has turned profitable, posted gross written premiums of Rs 3,615.48 crore in FY26, up from Rs 3,334.4 crore a year earlier, and will continue under its existing licence, product suite and distribution network.
The deal marks Patanjali's significant entry into the financial services space, arriving as IRDAI's new shareholding and ownership framework (NWS-059, NWS-063) comes into force.
Sources: Economic Times, Financial Express (July 29, 2026); TOI, NDTV (July 30, 2026)