Iran: Govt sold 17.14% stake in Alborz Insurance
Source: Middle East Insurance Review | Apr 2018
The Iranian government has successfully sold its shares in Alborz Insurance to a consortium made up of pension funds and an investment company.
A total of 693.6 million shares, constituting a 17.14% stake in the insurer, was offered by Iranian Privatisation Organization on behalf of the government with a base price of IRR1,275 (US$0.03) per share. Thirty percent of the acquisition price is to be paid in cash and the rest in four-year installments, reported Financial Tribune.
The consortium – made up of the Civil Servants Pension Fund, Agricultural, Rural and Nomadic Pension Fund and Social Security Investment Company (SSCI) – purchased the stake at a rate of IRR1,301 per share and increased its total stake in Alborz Insurance to 51.27%.
The two funds and SSCI previously had a 33.93% stake in the insurer.
Last December, the government approved the sale of its remaining shares in three major insurance companies which – barring Iran Insurance Company – are the only firms in which the government still held a stake then. All remaining shares belonging to the government in Asia Insurance, Alborz Insurance and Dana Insurance were to be divested. M
IRR1,000 = US$0.03