Mahindra & Mahindra Ltd. (M&M) and The Manufacturers Life Insurance Company (Manulife) have entered into a joint venture agreement to establish a 50:50 life insurance company in India, subject to regulatory approval. The Board of Directors of M&M approved the agreement on November 12, 2025, marking a significant step in the company's expansion into the insurance sector.

Key Details of the Joint Venture

• Ownership Structure: Each company will hold 50% of the paid-up share capital of the joint venture company (JVCo).
• Capital Commitment: Both parties have agreed to commit up to Rs 3,600.00 crores over the first ten financial years.
• Initial Investment: Expected investment of Rs 1,250.00 crores each in the first 5 years.
• Business Focus: Life insurance and related activities, targeting both rural and urban markets.
• Distribution Strategy: Leveraging Mahindra's distribution network for rural and semi-urban areas, and Manulife's agency capabilities for urban customers.
• Board Representation: Both companies will have the right to nominate 2 directors each to the board of the JVCo.

Market Opportunity and Strategy

The joint venture aims to capitalize on India's rapidly growing life insurance market, which has surpassed US$20.00 billion in new business premiums and has been growing at a 12% CAGR over the past five years. Despite this growth, India continues to have a high protection gap and low insurance penetration, presenting significant long-term growth potential.

Dr. Anish Shah, Group CEO & Managing Director of Mahindra Group, stated, "Mahindra brand strength, deep distribution capabilities in rural and semi-urban India and execution excellence make life insurance a logical extension towards our goal of building a comprehensive financial services portfolio."

Mr. Phil Witherington, President and CEO of Manulife, added, "Today marks an important milestone as we seek to enter one of the world's fastest growing insurance markets – India. This will further strengthen our diverse portfolio and positions us for tremendous growth in a mega economy of the future."

Regulatory and Corporate Governance

The joint venture agreement was executed on November 12, 2025, at 11:40 p.m. (IST). The formation of the JVCo is subject to regulatory approvals and will be incorporated as a public limited company under the Companies Act, 2013.

M&M has disclosed that while Manulife is not related to its promoter or promoter group, it is considered a related party through its subsidiaries. The company has assured that all transactions arising from the joint venture agreement will be conducted at arm's length.

Investor Relations and Future Outlook

Following the announcement, M&M has scheduled several investor meetings, including participation in the CLSA 28th India Forum 2025 and the Goldman Sachs Annual India CIO Conference. These events provide an opportunity for the company to discuss its strategic move into the life insurance sector with analysts and institutional investors.

The joint venture builds on the existing collaboration between Mahindra and Manulife, following the launch of Mahindra Manulife Investment Management in 2020. With India positioned to become the world's fastest-growing life insurance market over the next decade, this partnership aims to create long-term value by focusing on customer-centricity and leveraging new technologies in the insurance sector.

As the companies work together to apply for an insurance license, the market will be watching closely to see how this joint venture unfolds and its potential impact on India's evolving insurance landscape.

Mahindra & Mahindra Limited has completed another transfer of equity shares to its employees under the Employee Stock Option Scheme. The company announced on December 23, 2025, that the Mahindra & Mahindra Employees' Stock Option Trust transferred shares to stock option grantees who had exercised their options, in compliance with listing undertakings to multiple stock exchanges.

Latest Share Transfer Details

The most recent transfer on December 23, 2025, demonstrates the company's ongoing commitment to its employee stock option program. The transfer involved multiple employees exercising their stock options under the company's ESOP scheme.

Employee Beneficiaries

The December 23 transfer included several employees who exercised their stock options. Notable beneficiaries mentioned in the company's notification include employees across various departments and levels within the organization, reflecting the broad-based nature of the ESOP program.

Regulatory Notifications

Mahindra & Mahindra maintained its commitment to transparency by promptly informing multiple stock exchanges about the share transfers. The company sent notifications to:

• National Stock Exchange of India Limited
• BSE Limited
• The Luxembourg Stock Exchange
• London Stock Exchange Plc

The notification was signed by Sailesh Kumar Daga, Company Secretary, and included detailed annexures listing the stock option grantees who received the transferred shares.

ESOP Program Benefits

The Employee Stock Option Scheme serves several strategic purposes for the automotive manufacturer:

Corporate Governance Compliance

This transfer action aligns with Mahindra & Mahindra's obligations under various listing agreements and demonstrates adherence to corporate governance standards. The company's proactive communication to international exchanges, including Luxembourg and London, reflects its commitment to maintaining transparency across all listing jurisdictions.

As the automotive industry continues evolving with shifts toward electric vehicles and sustainable mobility solutions, such employee incentive programs become increasingly important for retaining skilled professionals and maintaining competitive advantage in the market.