Chennai, Aug 22 (IANS): Non-life insurer ICICI Lombard General Insurance Company will acquire the business of Bharti Axa General Insurance Company Ltd. in a share swap deal.

In a regulatory filing late Friday, ICICI Lombard said the boards of the two companies -- ICICI Lombard and Bharti Axa General -- had met on Friday and approved entering into definitive agreements for demerger of Bharti AXA's nonlife insurance business into ICICI Lombard through a Scheme of Arrangement.

According to ICICI Lombard, the shareholders of Bharti Axa will receive two shares of ICICI Lombard for every 115 shares of Bharti Axa held by them as on the date on which the Scheme of Arrangement is approved by the Board of Directors of the two companies.

The share exchange ratio was recommended by independent valuers and accepted by the boards of two companies, ICICI Lombard said.

Under the terms of the agreement, Axa and Bharti will receive a total of 35.8 million shares of ICICI Lombard on closing, which would represent 521 million euros, at current market value-the closing price of ICICI Lombard shares on August 21, Axa said in a statement.