Solidarity Bahrain, one of the largest insurance companies in the Kingdom of Bahrain and a subsidiary of the Solidarity Holding Group, announced that it has successfully completed the acquisition of Bahrain National Insurance Company (BNI) from the parent group, in a move that is considered a new strategic milestone in its growth and expansion process in the local and regional insurance sector.
The acquisition was financed through a capital increase of 55 million dinars, through the issuance of preferred shares, represented by the first-class capital increase, and permanent subordinated debt instruments, represented by the second-tier capital increase, which reflects the solidity of the company’s financial position and shareholders’ confidence in its future strategy.
This deal comes as a preliminary step to the upcoming merger between Solidarity Bahrain, Bahrain National Insurance Company (BNI) and Bahrain National Life Insurance Company (BNL), which is still subject to approval by the Central Bank of Bahrain. This planned merger aims to establish a stronger and more integrated symbiotic entity, offering a comprehensive range of innovative products and services, and enhancing the capital base and operational efficiency to serve the interests of customers and shareholders alike.
This acquisition is a new addition to a series of successful mergers and acquisitions carried out by Solidarity Bahrain over the past years, including the merger of Al Ahlia Insurance Company in 2016, T’azur Company in 2022, and Al Hilal Life Company and Al Hilal Takaful Company in 2023. These operations confirm the company’s ability to implement thoughtful strategic deals that enhance its leadership position and consolidate its position as one of the most prominent active companies in the Bahraini insurance market.
Solidarity Holding Group, as the majority shareholder in Solidarity Bahrain, also has a proven track record in completing mergers and acquisitions deals inside and outside the Kingdom. Its extensive experience and strategic support have enabled Solidarity Bahrain to achieve this new achievement, which is a pivotal step in its expansion journey.
Group CEO Ashraf Bseiso said: “Solidarity Bahrain’s acquisition of Bahrain National Insurance Company (BNI) represents a pivotal strategic step in the company’s journey, strengthening its leadership position in the insurance sector in the Kingdom. This acquisition also paves the way for the upcoming merger between Solidarity Bahrain and BNI and BNL, which is currently subject to regulatory procedures and approvals. We are confident that this development will contribute “In expanding the scope of our operations and enhancing the added value we provide to our customers and shareholders.”
For his part, CEO of Solidarity Bahrain, Jawad Mohammed, said: “We are pleased to announce our acquisition of Bahrain National Insurance Company from Solidarity Holding Group, in a new achievement added to Solidarity Bahrain’s record of growth and expansion. Combining the expertise of BNI and BNL will enable us to strengthen our leadership in the Bahraini insurance market and create more comprehensive Takaful solutions. He confirms Successful capital increase of 55 million dinars, solid shareholders’ confidence in our strategic vision. We look forward to building on this success to continue providing leading services and an outstanding customer experience.”
