Bahrain: Solidarity plans second merger in 3 years
Source: Middle East Insurance Review | Dec 2020
Solidarity Bahrain plans to merge with t’azur Company, creating a shariah-compliant insurance company with a significantly large portfolio.
The proposed deal will be the group’s second M&A initiative in Bahrain in three years.
In 2017, Al Ahlia Insurance, which had converted to a takaful company from a conventional insurer, merged with Solidarity General Takaful. The merged entity adopted the name Solidarity Bahrain.
In a filing with the Bahrain Bourse, Solidarity Group Holding, the parent of Solidarity Bahrain, said that a letter of intent related to the prospective merger has been signed between its subsidiary and t’azur.
The merger between the two companies will be effected by transferring the operations, assets and legal liabilities of t’azur to Solidarity in exchange for ordinary shares in Solidarity at mutually agreed rates.
Solidarity Group Holding expects to complete the merger next year. The merger is subject to final approvals from the relevant regulatory authorities and shareholders. M