Global insurer AXA has entered into an agreement to sell its insurance operations in the Gulf region, which includes its shareholding in AXA Gulf, AXA Cooperative Insurance Company, and AXA Green Crescent Insurance Company, to Gulf Insurance Group (GIG).
Under the terms of the arrangement, AXA will sell its stake in its operations in the Gulf region for a total cash consideration of USD 269 million (EUR 225 million).
GIG is a leading insurance firm in the Gulf region, boosted by the global footprint and insurance expertise of Fairfax and also the regional market knowledge of KIPCO, its shareholders.
Additionally, the deal sees Yusuf Bin Ahmed Kanoo, one of the largest conglomerates in the Gulf region, also sell its shareholding in AXA Gulf and AXA Cooperative Insurance Company.
Thomas Buberl, Chief Executive Officer (CEO) of AXA, commented: “This transaction marks another step in AXA’s continued simplification journey.
“We are convinced that AXA’s operations in the Gulf region will benefit from GIG’s leadership and scale in the region, to further pursue their focus on delivering growth and excellent customer service.
“I would like to thank the management teams and all the employees of our operations in the Gulf region for their continuous contribution and engagement over the years, and wish them all the success for the future.”
The acquisition remains subject to customary closing conditions and is expected to close by the third-quarter of 2021.
