A major development finance institution from Germany, DEG has expressed its intent to purchase a 20 percent stake of Pakistan based TPL Insurance Limited, it was learned on Tuesday.

TPL Insurance Limited, a subsidiary of TPL Corp Limited in its filing to the Pakistan Stock Exchange (PSX) announced that DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH (“DEG”), a wholly owned subsidiary of KfW Group based in Cologne, has expressed interest in acquiring 20pc stake in the company.

The transaction shall be executed subject to approval of the Board of Directors’, Shareholders’, Securities and Exchange Commission of Pakistan and other regulatory bodies, informed TPL Insurance Limited.

“DEG is re-entering into the Pakistani market with the investment being a first, in an insurance company by a Development Finance Institution in recent times in Pakistan. With the experience and expertise of DEG as a major institutional investor, the company will greatly benefit in terms of custom shaped solutions in all respectable areas including but not limited to best corporate governance practices, business support, risk management and environmental and social matters,” informed TPL.

“This is the beginning of a promising future for our organization. DEG, with a portfolio of EUR 8.6 billion and a geographic presence in over 80 countries, finances enterprises that focus on lasting success and operate responsibly – just as we do. It is indeed our privilege to play a pivotal role in strengthening Pakistan’s relationship with Germany, create jobs to stimulate the economy and continue to offer value added services to our customers. I am confident that our partnership with DEG will not only bring growth and prosperity for Pakistan, but also tell a story about TPL’s commitment to growth and our mission to provide unmatched service and product innovations to create sustainable value for our stakeholders,” said, Muhammad Aminuddin, CEO, TPL Insurance.