RIYADH: Walaa Cooperative Insurance Co. has received approval from its shareholders to merge with SABB Takaful, after a binding agreement was reached in February between the two parties.
Walaa Insurance also received its shareholders’ approval to raise its share capital to SR851 million ($227 million), out of which 24 percent will go to SABB Takaful's shareholders, according to a bourse filing
The merger will be conducted through a share swap where Walaa will issue 0.6 shares against each share issued by SABB Takaful.
Upon completion of the deal, SABB Takaful’s assets, liabilities, and rights will be transferred to Walaa Insurance, and the former will cease to exist.
