Warburg in lead to buy part of Watsa's ICICI Lombard stake

Stake of slightly more than 25% valued at about $1billion

Warburg Pincus is the frontrunner to acquire a minority stake in Indian insurer ICICI Lombard General Insurance Co from Prem Watsa’s Fairfax Financial Holdings, according to people familiar with the matter.

Toronto-based Fairfax, which owns 35 per cent of ICICI Lombard, is looking to sell a little more than a quarter of the company for as much as $1 billion, said the people, who asked not to be identified because the matter is private. Fairfax needs to shrink its holding to appease regulators as it looks to launch a new joint venture in the country, the people said.

Warburg was selected alongside