Calcutta, Feb. 3: SBI Life Insurance, the most profitable among the non-bank subsidiaries of the State Bank of India in the first half of 2015-16, is targeting a 25-30 per cent growth over the next two-three years.

SBI Life is a 74:26 joint venture between the SBI and BNP Paribas Cardif.

The State Bank of India is looking to divest a 10 per cent stake in the life insurance company in favour of the foreign partner. "Several rounds of discussion on the stake sale have taken place. The valuation is in process," said Arjit Basu, managing director and CEO of SBI Life Insurance.

The stake sale is likely to precede any capital infusion.

"We do not need any extra capital. We have Rs 1,000 crore capital base. Capital requirement as per our growth assessment will come in two years' time," said Basu.

SBI chairperson Arundhati Bhattacharya had indicated at the possible listing of subsidiaries, including SBI Life Insurance. Therefore, any additional capital infusion could come in the form of an initial public offer.