Banque Saudi Fransi sells stake in Allianz Saudi Fransi Cooperative Insurance Company
BSF sells part of stake in insurance unit.
Banque Saudi Fransi (BSF) has announced the signing of a share sale and purchase agreement with Allianz Europe BV dated 05/02/1439H corresponding to 25/10/2017G for the sale of 3,700,000 shares in Allianz Saudi Fransi Cooperative Insurance Company which represents 18.5 per cent of (AzSF) shares (which represents 57 per cent of BSF shares in AzSF) at a price of SAR 22 per share and an overall consideration of SAR 81,400,000 and the bank will achieve a capital profit from this transaction of 37.8 million.
The transaction has received a SAMA non-objection letter and completion is expected to occur after the satisfaction of the agreement conditions and subject to receiving the required regulatory approvals from the relevant government authorities.
After the completion of the transaction, BSF shall remain a strategic shareholder in AzSF and will continue supporting AzSF in its development and growth.
The transaction will be reflected in the financials of BSF in the financial period following the closing of the Transaction and the transaction income will be added to the income statement.
BSF will allow Allianz to increase their share and use the expertise in developing the insurance business in Sadui Arabia. BSF represents that there are no related parties involved in the transaction, and that it will undertake to disclose any material developments regarding the transaction when they occur.