AXA Egypt Investment has decided to withdraw its offer to acquire shares of Delta Insurance Company, according to an announcement made by the Financial Regulatory Authority (FRA).
AXA Egypt Investment has decided to withdraw its offer to acquire shares of Delta Insurance Company, according to an announcement made by the Financial Regulatory Authority (FRA).
The regulator said that it had received a letter from AXA Egypt Investment regarding the withdrawal of its purchase offer for Delta shares, reported Amwal Aghad.
Last December, Delta Insurance received acquisition offers for its shares from AXA Egypt Investment and Morocco’s Wafa Assurance.
AXA Egypt's offer included a preliminary, non-binding, cash acquisition offer for the merger, directly and indirectly acquiring 100% of the company's capital shares, with a minimum of 75%, at an initial estimated price of EGP5bn ($100.4m) at EGP50 per share, through a mandatory tender offer. Wafa Life Insurance Egypt’s bid was for a stake of 51% to 100% in Delta Insurance.
The acquisition offers included taking over Delta Life Insurance, of which Delta Insurance owns approximately 99.9%.
Delta Life Insurance's shareholders approved at the company’s general assembly an increase in the insurer's paid-up capital to EGP600m from EGP400m, in line with the company's expansion strategy and the requirements of the FRA and the Unified Insurance Law.
The FRA had earlier extended the deadline for submitting the mandatory tender offers to acquire shares of Delta Insurance by 60 working days, starting from the expiration of the original deadline on 4 March 2025.
Delta Insurance is currently 63.22% owned by the investment company Egypt Kuwait Holding which covers the strategic sectors of upstream gas, fertilisers and petrochemicals to gas distribution, electricity and insurance.