An affiliate of Premji Invest, Napean Opportunities LLP, has acquired a 16.01 per cent stake in SBI General Insurance — a joint venture between the State Bank of India and Insurance Australia Group.

Insurance Australia Group (IAG) is selling its entire 26 per cent stake to Napean Opportunities and Warburg Pincus Group’s WP Honey Wheat Investment for an undisclosed amount. The Warburg Pincus firm will pick up a 9.99 per cent stake.

“IAG has entered into definitive agreements to sell the whole of its 26 per cent interest in SBI General via two transactions,” the State Bank of India said in a regulatory filing.

The country’s largest lender and Insurance Australia Group currently own 70 per cent and 26 per cent, respectively, in SBI General Insurance, which is valued at over Rs 12,000 crore.

Last month, State Bank chairman Rajnish Kumar had said the bank has dropped its plan to list its general insurance arm as there is no need for additional capital now.

Shares of the State Bank were trading 0.70 per cent higher at Rs 257.70 apiece on the BSE.

PTI