Solidarity Bahrain Acquires BNI and BNL for BD75 Million

Deal News | Jan 13, 2025 | Zawya

Solidarity Bahrain Acquires BNI and BNL for BD75 Million

Solidarity Bahrain has signed definitive sale and purchase agreements to acquire 100% of Bahrain National Insurance (BNI) and Bahrain National Life Assurance (BNL), subsidiaries of Bahrain National Holding Company (BNH), for BD75 million in cash. The agreement marks a transformative move for Solidarity Bahrain, aiming to expand its market position in the Kingdom’s insurance sector. The acquisition will nearly double Solidarity's current scale in Bahrain, with a projected gross written premium exceeding BD100 million. The transaction's completion is pending customary shareholder and regulatory approvals, including the Central Bank of Bahrain’s endorsement. BNH sees this as an opportunity to restructure its capital and enhance liquidity, setting a new industry benchmark.

Sectors

  • Insurance
  • Financial Services

Geography

  • Bahrain – The companies involved, Solidarity Bahrain and BNH, are based in Bahrain, and the regulatory approvals required are from the Central Bank of Bahrain.

Industry

  • Insurance – The acquisition involves two insurance companies, Bahrain National Insurance and Bahrain National Life Assurance, making the insurance sector central to the article.
  • Financial Services – Both Solidarity Bahrain and BNH are part of the financial services industry, focusing on insurance and financial management.

Financials

  • BD75 million – The total cash purchase price for the acquisition of BNI and BNL by Solidarity Bahrain.
  • BD100 million – The projected combined annual gross written premium post-acquisition.

Participants

NameRoleTypeDescription
Solidarity BahrainAcquirerCompanyAn insurance company in Bahrain acquiring full ownership of BNI and BNL.
Bahrain National Holding Company (BNH)SellerCompanyThe parent company of BNI and BNL, selling its 100% stake in these subsidiaries.
Bahrain National Insurance (BNI)Target CompanyCompanyA subsidiary of BNH being acquired by Solidarity Bahrain.
Bahrain National Life Assurance (BNL)Target CompanyCompanyA subsidiary of BNH being acquired by Solidarity Bahrain.
Central Bank of BahrainRegulatorGovernmentThe regulatory body whose approval is required for the transaction completion.