Bupa Investments acquires 4.8 mln shares from Nazer Group in Bupa Arabia

Bupa Investments Overseas Limited (BIOL) completed the purchase of 4.8 million shares, representing 4% of Bupa Arabia for Cooperative Insurance Co.’s share capital from Modern Computer Programs Company, a Nazer Group Company.

The acquisition increases BIOL’s total ownership stake in Bupa Arabia from 39.25% to 43.25%, the insurer said in a bourse filing on Monday.

The private cash transaction concluded at the agreed price of SAR 105 per share, totaling SAR 504 million.

Bupa Group, which owns BIOL, has no immediate plans to make any significant changes to Bupa Arabia’s business activities, shareholder structure, employee structure or otherwise, unless as otherwise may be decided by the board of directors of Bupa Arabia.

There is no financial impact on Bupa Arabia as the transaction was a private cash transaction, the statement noted.

As a result of the shares acquisition, BIOL will neither benefit from any additional rights (other than the increase in voting rights, and dividend distribution rights), nor be subject to any further obligations, in relation to Bupa Arabia pursuant to relevant laws and regulations, other than as provided for in Bupa Arabia’s by-laws. There is not likely to be any financial impact on, or structural changes to, Bupa Arabia as a result of the shares acquisition.

Pursuant to the implementing regulations of the Capital Market Law, BIOL may not trade in the shares of Bupa Arabia for a period of six months following the completion of the aforementioned share acquisition, without prior approval from the Capital Market Authority and in accordance with any conditions it may set.

Bupa Arabia confirmed Bupa Group has indicated it has no immediate plans to make any significant changes to the company’s business activities, shareholder structure, employee structure or otherwise, unless as otherwise may be decided by the board of directors.

Accordingly, Bupa Arabia board does not anticipate any changes to its plans with respect to business activities, shareholders and employees as a result of the completion of the transaction.

In addition, Bupa Group said it views Saudi Arabia as a market with rising customer demand for high-quality healthcare funded by private health insurance. Therefore, it incrementally

increased shareholding in Bupa Arabia over recent years in line with its global strategy of investing in strengthening its existing market positions to deliver sustainable growth.

Bupa Group believes that Bupa Arabia will continue to benefit from its considerable experience and expertise as a leading global health insurer and provider.

The Nazer Group will continue to remain a long-term shareholder in Bupa Arabia, the statement said.

Bupa Group and Nazer Group said Loay Nazer will continue as the chairman of the Bupa Arabia, while Tal Nazer will remain the chief executive officer.