KSA - The Gulf Union and Al-Ahlia Ins. merger implemented
Monday, 12 07 2020, Category: Insurance and Reinsurance, Country: Saudi Arabia
On Sunday, two of the largest insurance companies in Saudi Arabia announced the implementation of a merger between them in a deal worth about 80 million riyals ($ 21.2 million).
“The Gulf Union” and “Al-Ahlia Insurance” companies informed the Saudi Stock Exchange, in a joint disclosure, that “the merger of Al-Ahlia Insurance into the Gulf Union has entered into force” in exchange for issuing new shares to be registered for the benefit of Al-Ahlia shareholders.
The two companies said, “As a result of the merger deal, all Al-Ahlia shares will be canceled, and the Gulf Union will increase its capital by issuing 7.95 million ordinary shares at a nominal value of 10 riyals per share for the benefit of Al-Ahlia shareholders.”
It is expected that the shares of Al-Ahlia Company will be canceled in the local stock exchange and the new shares will be listed for its shareholders within a period not exceeding the sixth trading session following this announcement.