SAMA approves merger of Saudi Enaya, UCA

Logos of Saudi Enaya Cooperative Insurance Co. and United Cooperative Assurance Co. (UCA)

Saudi Enaya Cooperative Insurance Co. and United Cooperative Assurance Co. (UCA) announced obtaining the Saudi Central Bank’s (SAMA) approval on Oct. 15 on their prospective merger transaction and other related matters.

The merger’s completion remains subject to other conditions, including obtaining the remaining regulatory approvals and the affirmative votes of the extraordinary general assemblies of both insurers on the merger, the two companies said in separate statements to Tadawul. 

According to data compiled with Argaam, UCA confirmed, in July, its intention to submit a merger offer for Saudi Enaya and proceed with the deal. 

On May 31, the two insurers signed a binding merger agreement through a share swap deal, under which UCA will issue a 0.837 common share for each issued share in Saudi Enaya for the benefit of eligible shareholders in the latter. 

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