Sri Lanka’s Softlogic Life Insurance PLC has signed an agreement to acquire a 60 per cent stake in Bangladesh’s Diamond Life Insurance Company Limited for about $1.9 million, equivalent to more than Tk23 crore.
The company disclosed the deal to the Colombo Stock Exchange, saying it forms part of its regional expansion strategy.
The transaction marks Softlogic’s formal entry into Bangladesh’s life insurance market. The group said it will provide further updates once the acquisition is completed.
The deal confirms earlier reports that Softlogic Group was in advanced discussions to buy a Bangladeshi life insurer. TIMES of Bangladesh had identified Diamond Life Insurance as the target.
Founded in 2014, the company operates in a market with very low insurance coverage. Industry estimates suggest life insurance remains below 5 per cent of the population.
Overall insurance penetration is around 0.4 per cent to 0.5 per cent of GDP. Softlogic Life is among Sri Lanka’s fastest-growing insurers.
It is the second-largest player in its domestic market. The group is expected to bring a technology-driven model into Bangladesh.
Softlogic chairman Ashok Pathirage has previously described Bangladesh as a strategic market. He said the group is also exploring opportunities in healthcare.
This includes attracting Bangladeshi patients to Sri Lanka for treatment.
He has also indicated interest in acquiring a hospital in Bangladesh.
Diamond Life Insurance chairman Riad Mahmud had earlier declined to comment on the transaction. He said the company has operated in full regulatory compliance since its launch.
Softlogic previously attempted to enter Bangladesh in 2022. That plan involved the retail chain Agora but did not proceed. The deal fell through amid foreign exchange pressures on Sri Lanka then.
Founded in 1991, Softlogic Holdings PLC is a diversified conglomerate. Its interests span insurance, healthcare, retail, technology, financial services and hospitality.
Its healthcare arm runs the Asiri hospital network in Sri Lanka. Its retail portfolio includes Glomark supermarkets and franchises such as Nike, Levi’s and Burger King.
The latest acquisition signals renewed foreign investor interest in Bangladesh’s financial services sector.
