Medi Assist Seals Around INR 400 Cr Deal for Fairfax's Paramount TPA, Awaits Regulatory Approval With this acquisition, Medi Assist is likely to bolster its market share to 36.6% in the group segment and 23.6% of the health insurance industry, measured by premiums managed.

Medi Assist Healthcare Services is set to significantly expand its footprint in the third-party administration (TPA) sector with its acquisition of Paramount Health Services & Insurance TPA. The deal, valued at approximately Rs 400 crore, marks a major consolidation in the Indian TPA market.

Medi Assist Insurance TPA, a wholly-owned subsidiary of Medi Assist Healthcare Services, has signed an agreement with Fairfax Asia and the Shah family, the owners of Mumbai-based Paramount TPA, to complete the acquisition.

Paramount TPA works with 30 insurers and has over 3,000 group customers and retail policyholders.

With this acquisition, Medi Assist is likely to bolster its market share to 36.6% in the group segment and 23.6% of the health insurance industry, measured by premiums managed.

The deal was concluded with an enterprise value of about INR 311 crore, with an additional INR 110 crore in cash equivalents to be paid as part of the acquisition. Legal advisories for the deal were provided by Nishith Desai Associates for Medi Assist and AZB & Partners for Fairfax Asia and the Shah family.

"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," Medi Assist CEO Satish Gidugu said.

Paramount TPA MD Nayan Shah said the coming together of two leading TPAs will go a long way in delivering on the promise of insurance for all by 2047.

The acquisition is one of the largest TPA deals in India and is currently awaiting regulatory approval from the Insurance Regulatory and Development Authority of India (IRDAI), the company said.