Tatas exit race to buy Reliance Capital's general insurance arm

Group only interested in general insurance, but lenders want firms to bid for entire cluster of companies

Tata AIG General Insurance Company, a subsidiary of Tata Sons, has exited the race to buy the general insurance arm of Reliance Capital, Reliance General Insurance Company (RGICL), following the delayed sale and in light of a rule that the company will have to bid for few other companies alongwith other bidders as partners.

The rule to bid for the more than one cluster and with other bidders was made mid-way by the lenders so as to get better bids for all assets. “The Tata group was interested only in the general insurance company but they were asked to bid