MUSCAT: Gulf insurer Solidarity Bahrain is poised to enhance its market position through the strategic acquisition of two subsidiaries owned by Bahrain National Holding Company (BNH).
The board of directors at Solidarity has approved, in principle, the purchase of 100 per cent of the issued and outstanding shares of both Bahrain National Insurance Company (BNI) and Bahrain National Life Assurance Company (BNL) for a total consideration of 75 million Bahraini dinars (approximately $200 million).
The acquisition underscores Solidarity Bahrain’s commitment to expanding its portfolio and improving its competitive advantage within the increasingly dynamic insurance landscape of the Gulf region.
Awaits regulatory approvals
As confirmed in a recent filing with the Bahrain bourse, the transaction is contingent upon the fulfillment of due diligence, regulatory approvals, and other requisite conditions.
Significantly, last month, Solidarity Group signed a binding offer with BNH, laying the groundwork for this ambitious endeavor.
The potential acquisition represents a crucial opportunity for Solidarity to strengthen its financial position and broaden its service offerings.
The company has indicated that the implications of this merger will be meticulously scrutinized, particularly in relation to its overall financial health. Notably, the transaction awaits approval from the Central Bank of Bahrain, which will assess the strategic fit and regulatory compliance of the proposed acquisition.
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