Bahrain - Solidarity Bahrain, one of the largest insurance companies in Bahrain and a subsidiary of Solidarity Group Holding, has announced the successful acquisition of Bahrain National Insurance (BNI) from its parent company, Solidarity Group Holding.

The acquisition was funded through a BD55 million capital increase, achieved via the issuance of preference shares as Tier I capital and perpetual subordinated debt constituting Tier II capital.

This transaction marks a significant milestone in Solidarity Bahrain’s growth journey and represents a preparatory step towards the company’s proposed merger with BNI and Bahrain National Life Assurance (BNL), which remains subject to the approval of the Central Bank of Bahrain.

The planned merger aims to create a stronger, more diversified entity with a broader product offering, enhanced capital base, and increased operational efficiencies.

This acquisition is the latest in a series of successful mergers and acquisitions (M&A) undertaken by Solidarity Bahrain in recent years.

It follows the integrations of Al Ahlia Insurance Company in 2016, T’azur in 2022, and Al Hilal Life and Al Hilal Takaful in 2023, reflecting the company’s proven ability to execute strategic transactions that drive sustainable growth and strengthen market leadership.

Solidarity Group Holding, the majority shareholder of Solidarity Bahrain, has a strong track record of successful M&A activities both in Bahrain and across the region.

It is worth mentioning the group’s extensive expertise and strategic support have been instrumental in enabling Solidarity Bahrain to achieve this important milestone.

Commenting on the acquisition, group chief executive officer Ashraf Bseisu stated: “The acquisition of BNI represents an important step in Solidarity Bahrain’s strategic evolution. This transaction reinforces our leadership position in Bahrain’s insurance sector and prepares the groundwork for the proposed merger of Solidarity Bahrain, BNI and BNL, that is subject to regulatory approvals. We are confident that this development will enhance our operational scale and enable us to deliver greater value to our customers and shareholders.”

Solidarity Bahrain CEO Jawad Mohammed said: “We are pleased to announce the acquisition of Bahrain National Insurance Company from Solidarity Group Holding, marking another major step in Solidarity Bahrain’s growth and transformation journey. By bringing Bahrain National Insurance and Bahrain National Life Assurance into Solidarity Bahrain, we will leverage their specialised expertise and established market presence to complement our existing strengths.

“The successful completion of the BD55m capital increase underscores our shareholders’ confidence in our strategy and financial strength. We look forward to building this momentum to deliver even greater value and innovation to our clients.”

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