Liquidity Events
Medi Assist to acquire Fairfax-backed fellow TPA Paramount for Rs.312-Cr
Medi Assist, a third-party administrator (TPA), is to acquire Mumbai-headquartered FairFax Asia-backed Paramount TPA for INR 311.8 crore in an all-cash deal. The deal will be funded through internal accruals and short term debt. The acquisition is expected to be completed by the end of FY2025.Nishith Desai Associates acted as legal advisor to Medi Assist and AZB & Partners acted as legal advisor to Fairfax Asia and the Shah family.Paramount TPA claims to be the 2nd largest TPA by premiums in the group health insurance segment. It is managing INR 3,866 crore of total premiums for the group and retail segment, with revenue from operations of INR 153 crores in FY24. Paramount works with 30 insurers and over 3,000 group customers and retail policyholders.Dr. Nayan Shah, founder and managing director of Paramount TPA and FairFax Asia will be selling out. Fairfax Asia, a subsidiary of Toronto-based Fairfax Financial Holdings had invested USD 11 million for a 49% stake in 2020.
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