03:56 PM EST, 11/12/2025 (MT Newswires) -- Manulife Financial ( MFC ) rose 2.73% at last look on Tuesday after the company said it agreed with Mahindra & Mahindra to establish a life insurance joint venture in India, expanding on their existing partnership in the market.

The venture, which remains subject to regulatory approval, aims to serve both rural and urban markets by combining Mahindra's deep distribution reach in semi-urban and rural India with Manulife's agency and insurance expertise. The companies said their goal is to become India's leading life insurer in protection solutions and financial wellbeing.

Each partner will commit up to US$400 million, with initial investments of around US$140 million each over the first five years. The new business builds on the companies' prior collaboration in Mahindra Manulife Investment Management, launched in 2020.

"The agreement marks an important milestone as we seek to enter one of the world's fastest-growing insurance markets," said Manulife CEO Phil Witherington, citing the growth opportunity in India's expanding middle class and supportive regulatory environment.

Mahindra Group CEO Anish Shah said life insurance is a "logical extension" of its financial services portfolio and that the partnership with Manulife "offers a very compelling opportunity to create meaningful value for our shareholders."

India's life insurance market, with more than US$20 billion in new business premiums, has grown at a 12% compound annual rate over the past five years, Manulife said, adding that the country is poised to become the world's fourth-largest life insurance market within a decade.

Manulife shares were last seen up C$1.215 to C$48.215 on the Toronto Stock Exchange.

Price: 48.22, Change: +1.22, Percent Change: +2.59