According to a recent press report HDFC Ergo, which is in an expansion stage is in need of about Rs. 80 crore from the promoter end.
Mr. Ritesh Kumar Chief Executive Officer HDFC Ergo General Insurance informed that they already invested about Rs 75 crore, additionally they require Rs 25-30 crore in the current fiscal and they require Rs 50 crore in the next fiscal.
The promoters of the HDFC Ergo are HDFC and Ergo International, the insurance company’s equity share capital is RS 500 crore.
Mr. Kumar said that the company will attain profit in the near future so it doesn’t require any additional support from the promoters.
Reports said that the April-June net profit results were about Rs. 14 crore and the company will hold on the profit for the rest of the months. The premium collection is about Rs 1300 crore, and the company has planned to achieve 35-40 percent profit in future.
Reports also said that the revenue to the company was particularly from the three main segments in which 1/3 is from the accident and health insurance, the second segment is the motor, and the third is from the corporate. As a result the company has attained growth in almost all segments.