The Financial Regulatory Authority (FRA) has approved the publication of a mandatory tender offer submitted by a leading Moroccan insurance company, Wafa Assurance, to acquire shares in Delta Insurance Company.
According to a statement issued by the Authority and published on the Egyptian Exchange, the Moroccan company has submitted a mandatory purchase offer of up to 125m shares, representing 100% of Delta Insurance’s shares, at a price of EGP40 ($0.83) per share, with a minimum execution limit of 51% of the target company’s capital (63.75m shares).
The total value of the tender offer is up to EGP5bn ($103.4m). The acquisition will be fully financed in cash through Wafa Assurance’s own resources. The offer period will begin the day following the date of publication of the tender offer announcement and will last for 20 business days.
Wafa Assurance says that the acquisition will contribute to expanding its operations in a rapidly growing market with strong growth opportunities.
The FRA has has set several commitments to be adhered to by Wafa Assurance, including:
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to purchase all of the shares offered for sale in response to the purchase offer, with a minimum of 51% of the total shares of Delta Insurance while continuing all of the target company's activities and existing projects in Egypt
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not to lay off workers in Delta Insurance for at least one first year from the date of implementation of the purchase process, except in accordance with the provisions of the Labor Law and other applicable laws
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not to sell the acquired Delta Insurance shares within the first year from the date of implementation of the purchase process, and
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not to merge Delta Insurance into other companies within the first year from the date of implementation of the purchase process.
However, Wafa Assurance intends to delist the shares of Delta Insurance from the Egyptian Exchange in accordance with the Capital Market Law.
Wafa Assurance announced the proposed acquisition in June 2025, stating at the time that offer was being reviewed by the FRA.
Wafa Assurance, established in 1972 under the name of Al Jadida Assurance, already operates in the Egyptian life insurance market through its subsidiary, Wafa Life Insurance Egypt. Wafa Assurance intends to merge Delta Life Insurance, a subsidiary of Delta Insurance, and Wafa Life Insurance Egypt.
The Egyptian Competition Authority has approved Wafa Assurance’s proposed acquisition of a stake ranging from 51% to 100% of Delta Insurance.
The deal would involve Wafa Assurance acquiring the entire stake of 63.339% held by Egyptian Kuwaiti Holding Company in Delta Insurance.
Delta Insurance was founded in 1980 as a composite insurer. In 2010, the company established its life insurance arm, Delta Life Insurance.